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Chancellor of the Exchequer Rishi Sunak (middle) with Stephen Barclay Chief Secretary to the Treasury (right) are briefed outside the cabinet room
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Bounce Back loans start flowing within hours

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Businesses started applying for help under the Bounce Back Loan Scheme (BBLS) this morning (Monday 4 May) after the Chancellor set out the basic terms in a letter  on Friday afternoon.

4th May 2020
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Chancellor Rishi Sunak’s eleventh hour letter specified the rate of interest at which banks would be able to offer loans and other conditions and criteria to differentiate the BBLS from its bigger siblings: CBILS (coronavirus business interruption scheme) and CLBILS (coronavirus large business interruption scheme).

In his note, the Chancellor set the BBLS lending rate at 2.5% “to ensure that these loans are affordable and accessible”. The letter also exempted the loans from inflexible consumer protection laws to simplify the application process and speed the vital funds to small businesses as quickly as possible.

The Chancellor confirmed the following details conditions:

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Replies (6)

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John Stokdyk, AccountingWEB head of insight
By John Stokdyk
06th May 2020 09:33

We've been discussing the bounce back loan scheme in this morning's Q&A webinar with Rebecca Benneyworth and Julie Palmer from Begbies Traynor.

Several people in the chat report getting the loans through quite quickly, but apart from Lloyds and Santander, other banks have struggled with volume and getting money into business accounts, according to Kirsty McGregor from the Corporate Finance Network.

Darrly Ashing said Barclays was pretty quick with one client, but half a dozen others had their applications rejected because they had more than one signatory. Catch up with the conversation here (about 20mins in): https://www.crowdcast.io/e/AWEBLiveCoronavirusQ&A/6

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By jvenegas16
06th May 2020 10:11

It would be interesting to know out of the number of loans approved, how many applications were made, as the statement indicates that no all applications are approved.

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By North East Accountant
06th May 2020 11:06

Is there an end date when this scheme will stop?

Or a case of apply now while stocks last?

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Replying to North East Accountant:
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By jvenegas16
06th May 2020 11:15

The Bounce Bank Loan Scheme will initially be available for six months from 4 May 2020 to 4 November 2020.

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Replying to jvenegas16:
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By North East Accountant
06th May 2020 12:28

jvenegas16 wrote:

The Bounce Bank Loan Scheme will initially be available for six months from 4 May 2020 to 4 November 2020.


Thanks, that's very handy to know.
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By Fati
29th Jun 2020 02:52

hi,
i have applied for bbls 1 week ago with lloyds and after sometime i have recieved a reply email "bbls faciltiy letter",can i plz know what does that mean and whats next ,is it approval to my applicatioin??

thanks in advance

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