Business Term Loan
Security may be required
Every business is different and has different financial needs. Our Business Term Loan is designed to suit those needs. Suitable for any borrowing amount, the Business Term Loan can be used for virtually any purpose.
In addition, a range of flexible options allow you to tailor your loan to fit your unique circumstances. These include:
- Variable or fixed rates - Choose a fixed rate to enjoy the peace of mind of fixed monthly repayments. Alternatively, opt for a variable rate linked to the Bank's base rate, which can of course rise or fall. (Please note that an early repayment charge may apply in the event that a fixed loan is repaid early during the fixed period.)
- A range of repayment holiday options - take advantage of a payment holiday at the start or even during your loan to boost cashflow
- Choice of repayment styles and frequencies - We offer a range of repayment styles, such as capital and interest, capital only or interest only basis. In addition, you can choose the frequency in which you make repayments including monthly, quarterly, half yearly and yearly
- Staged drawdown - save on interest costs and benefit from lower initial payments.
- Make lump sum repayments - use surplus cash to save interest costs and benefit your business
Taking a payment holiday, paying less when you need to, taking money when you need it and changing your repayment frequency are all subject to satisfactory conduct of your accounts. Interest will continue to accrue whilst any payment holiday or underpayment option is taken and your payments will be increased to include that interest at the end of the payment holiday.
Security may be required. Over 18s only.
Please read this important legal information
Loan Repayment Options
| Option | How it works |
|---|---|
| Capital and capital and interest payment holiday | Pay nothing or just the interest, available at the beginning of and during the term of the loan, so you can focus on your business. Paying nothing (known as a capital and interest holiday) or paying just the interest (a capital holiday) is designed to give you breathing space. Following a holiday, your repayment instalment(s) will be increased to include that element of capital or capital and interest that would ordinarily have been applied during the holiday period. |
| Staged withdrawals | If you don't need all of your loan at once, you can easily arrange to take it in stages. This will save you money as you pay interest only on the amount of the loan you've taken. |
| Make lump sum repayments | Make good use of surplus cash by making a lump sum payment at any time. |
| Change payment frequency | Change your repayment frequency by arranging to pay weekly, monthly or quarterly - whatever suits your cash flow situation. |
Taking a payment holiday, paying less when you need to, taking money when you need it and changing your repayment frequency are all subject to satisfactory conduct of your accounts.
Interest will continue to accrue whilst any payment holiday or under payment option is taken. Following a payment holiday or period of underpayment, your payments will be increased to include the interest that you would have paid during this period.
Your Business Manager will work closely with you to 'hand pick' the best options for you. If your circumstances change later, your Business Manager will help make any adjustments, quickly and easily, helping to keep your business on track.
Optional loan insurance
You may decide to choose Business Loan Protector for insurance cover in the event of accident, sickness or death. You could get immediate cover with no medical. Subject to terms and conditions.
Your home may be repossessed if you
do not keep up repayments on your mortgage
