Yes. A limited company or LLP with arrears on borrowing elsewhere can still apply to Credicorp. Arrears with another lender are not an automatic bar, and they do not close the door before we have looked at the wider picture. What matters is whether new repayments fit comfortably alongside everything the company is already paying, including any catch-up on what is overdue.
How arrears factor into the decision
We assess the business as a whole rather than reacting to a single negative marker. An arrears position is one input among several. We weigh it against how the company is trading now, the income coming in, and whether there is genuine headroom for another commitment.
- What the arrears are, how large they are, and how recent
- Whether they are being actively managed, for example under an agreed arrangement
- How the company is trading today, from Open Banking data or statements
- Whether new borrowing would relieve the pressure or add to it
It is about affordability, not punishment
Our job is to lend responsibly, so we look at whether finance helps your business or stretches it further. A company with manageable, well-handled arrears and steady income may still receive an offer. A company already at full stretch may be offered a smaller amount, a different product, or declined. That outcome protects both sides. You can read more about the general principle in how existing debt affects the decision and the wider view in how we decide whether to lend.
Be straight with us about the position
Being open about arrears elsewhere helps, rather than hurts, your application. We would far rather see an accurate picture and assess it properly than discover an undisclosed commitment later. Open Banking and the documents we ask for tend to show the real position anyway, so candour up front simply makes the assessment cleaner and faster.
Business purpose still applies
The borrowing must be for a genuine commercial need, as set out in what counts as a business purpose. Using new finance to bring a clear, well-evidenced plan back on track can be a sound business purpose. Borrowing simply to roll one stretched position into another, with no underlying improvement, is the situation responsible lending is meant to avoid.
Arrears with us specifically
This page is about arrears owed to other lenders. If the arrears are on an existing Credicorp facility, the position is handled differently, and how arrears affect future borrowing with us covers that. Either way, we encourage you to talk to us early.
Credicorp is an exempt business lender to UK limited companies and LLPs only, not to sole traders or individuals, and we are a lender rather than a broker. The borrower is the company, with no personal guarantees from directors. Because this is business lending outside the consumer-credit regime, it is not covered by the Financial Ombudsman Service or FSCS. The rate, term and repayments in any offer are specific to your business and shown to you before you commit.
See also: Can a newly formed company apply?, Can a charity or charitable company apply?, Can a CIC or community interest company apply?.