Payment difficulty

Will asking for help affect my company's ability to borrow from you again?

A common worry is that asking for help now will quietly count against your company later. We would rather be honest about how this works than have you struggle in silence because of a guess about the consequences.

The honest picture

Engaging with us early and keeping to an agreed arrangement is, if anything, a positive signal. It shows a company that communicates, manages problems responsibly and follows through on what it commits to. That is exactly the behaviour any lender values.

  • Reaching out before a missed payment is treated as responsible management.
  • Sticking to an arrangement demonstrates reliability under pressure.
  • Avoiding contact and letting arrears build is what tends to cause harm.

What we look at in future

Any future lending decision considers your company's overall position at that time, including its current trading and repayment record. A single period of difficulty that you handled well is one part of a much bigger picture, not a permanent black mark. We assess each application on its merits.

It is also worth knowing that arrears can be reported to credit reference agencies and affect your company's wider credit profile, which is another reason early engagement is better than silence. As a business lender outside the consumer-credit regime, we are not bound by the same rules as consumer lenders, but our approach rewards openness.

See also: How arrears affect your company's future borrowing with us, Will a late or missed payment affect my company's future borrowing? and What does 'arrears' mean and will it affect my credit file?.

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