Agreeing a payment arrangement is a positive step — it replaces uncertainty with a plan. It does change how and when you pay for a while, so here is what to expect.
What changes
Depending on the plan, your collections might be reduced for a period, paused, or topped up with an extra amount to clear arrears. During the arrangement your normal Direct Debit is usually adjusted or paused and collected in line with the agreed plan instead. See how to set up a repayment arrangement and clearing arrears in instalments.
What stays the same
The total you owe does not disappear — an arrangement reschedules it, and on an interest-bearing facility interest generally continues to apply. The rate in your offer does not change. See restructuring your repayments.
When it ends
At the end of the arrangement, normal collections resume — check the amount and date and fund the account. See restarting a Direct Debit after a pause and getting back on track after arrears.
We lend only to UK limited companies and LLPs, and the loan is to the company with no director personal guarantee. As business finance arranged outside the consumer-credit regime, it is not covered by the Financial Ombudsman Service or the FSCS, though you can still raise a complaint with us and we will handle it fairly.
See also: How to set up a repayment arrangement step by step, Clearing arrears in instalments, Restructuring your repayments.