If the company is finding a repayment hard to meet, a repayment arrangement reshapes what you owe into a schedule the business can actually manage — a reduced-payment plan, a short payment freeze, or a longer hardship variation. This page is the practical walkthrough: the exact steps to set one up, what to have ready before you start, and what to check once it is agreed. For the wider picture of what an arrangement is, see what a repayment arrangement is and how to set one up.
The single most useful thing you can do is get in touch early — ideally before a payment is missed. Asking about an arrangement is not a black mark: it is not reported to credit reference agencies as a missed payment, there is no penalty simply for asking, and the earlier you tell us, the more room we have to help. While we are working through a request with you, collections pause so nothing is missed in the meantime.
Before you start: what to have ready
You do not need to prepare a formal file — a rough picture of the company's cash flow is enough. It helps to have in mind: roughly what the business can afford to pay each month right now, when reliable income tends to land, and how long you think the tight period will last. If you already know the shape you want — a smaller payment for a while, a short freeze, or a longer change — say so. If you are not sure, that is fine: we will work it out with you.
Setting it up, step by step
The whole process is designed to be quick and judgement-free. Here is exactly how it goes from first contact to a confirmed new schedule.
- Get in touch before the payment is due. Use the Payment Arrangement Request form, message us from your portal, or call us. Reaching out before a collection date is the key step — it keeps everything in "arrangement" territory rather than "missed payment" territory.
- Tell us what the business can manage. Give us an honest picture of the company's cash flow: roughly what it can afford to pay now, and when income reliably arrives. You do not need exact figures or paperwork to begin — a realistic estimate is enough for us to start shaping a plan around what the business can actually sustain.
- Agree the shape of the arrangement. Together we pick what fits. A reduced-payment plan lowers each payment for a period while cash flow recovers. A short payment freeze of 30 or 60 days gives genuine breathing space. A payment extension handles a single awkward due date. A hardship variation changes the terms more substantially for longer-term difficulty. If you have asked us for extra care, a freeze can be arranged without the usual eligibility checks.
- We confirm the new schedule in writing. Once we agree, we set out the new schedule clearly so you know exactly where you stand — the revised amounts, the dates, and how long the arrangement runs. Your live, exact figures always sit in your signed-in portal; this help centre stays figure-free on purpose so nothing here ever contradicts your account.
- Check it has taken effect, and keep us posted. After it is in place, sign in and confirm your schedule now reflects the arrangement before the next collection date. If the company switched the way it pays — for example moving a Direct Debit — make sure the new instruction is set up so nothing slips through. If anything changes, for better or worse, tell us early so we can adjust again.
An arrangement reshapes your payments; it does not add hidden charges. There is no penalty-rate uplift for being in one, nothing compounds, and the total cost of a single Business Loan stays capped at 100% of what you borrowed — you will never repay more than double, arrangement or not. Payments made under an agreed arrangement are not treated as missed, and while we are working with you — especially if you have asked for extra care — we will not pass your account to a third-party debt collector.
If your circumstances change after it is set up
An arrangement is not set in stone. If the business recovers sooner than expected, you can return to the normal schedule or clear the balance early — interest is only charged for the days you actually hold the balance, so settling early stops the rest. If things get tighter instead, tell us before the next payment is due and we can look at the arrangement again. The rule is the same throughout: talk to us early, and there is no penalty for asking.
Free, independent help
Sometimes the most useful step is to speak to someone independent and free. Business Debtline (businessdebtline.org, 0800 197 6026) gives free, impartial debt advice to small businesses, and MoneyHelper (moneyhelper.org.uk) can help with personal money worries. Getting advice does not affect how we treat your account, and it often makes an arrangement easier to agree. If your circumstances mean you need us to do things differently, see how to tell us you need extra support.
A note on how we are regulated: Credicorp lends to UK limited companies and LLPs, and a Business Loan is exempt from FCA consumer-credit regulation under Article 60C of the FSMA Regulated Activities Order 2001. The company is the borrower, there is no personal guarantee, and any arrangement is made with the company. Because this is exempt business lending, the Financial Ombudsman Service cannot consider a complaint about it; if you remain dissatisfied after our final response, the next step is independent advice or the courts.
See also: A debt collection agency has contacted me - is it genuine?, Can my accountant or another representative deal with you on our behalf?, Can I get a payment extension?.