HSBC’S Parental Leave Support Package

If you have a business with annual turnover of less than £1m and no more than 5 employees you could benefit from our financial support package when one of your employees go on parental leave.

At a glance

  • 0% interest and no arrangement fee on overdrafts up to £5,000 (subject to standard credit process) for 12 months*#

  • Support with existing Small Business Loan repayments for up to 12 months through an additional overdraft facility with 0% interest and no arrangement fee (subject to standard credit process)*#

  • Capital repayment holiday of up to 12 months on variable rate Flexible Business Loan or Commercial Mortgage (subject to credit status)*

Call us to apply

Lines are open 8am to 10pm every day (except Christmas Day, Boxing Day and New Year's Day). To help us continually improve our service and in the interests of security, we may monitor and/or record your telephone call.

0800 731 8932

Lines are open 8am to 10pm every day (except Christmas Day, Boxing Day and New Year's Day). To help us continually improve our service and in the interests of security, we may monitor and/or record your telephone call.

Textphone 18001 0800 028 3516

This page is about:

* Conditions apply
# A HSBC Business Current Account is required in order to operate the overdraft element of the HSBC Parental Leave Support Package

Key benefits

Provides cash flow flexibility to help take away the pressure of additional costs

Easy to arrange - just call us or visit your local branch

Gives you the confidence to recruit the right person for the job knowing that financial support is available for the business if the employee has to take time off work for parental leave

Could provide additional support to help you continue with the growth plans for your business

HSBC Parental Leave Support Package

Eligible businesses can take advantage of any or all of the below elements subject to standard credit status. All elements of the HSBC Parental Leave Support Package which the business is seeking to take advantage of must be applied for at the same time.

  • 0% interest and arrangement fee-free overdraft on balances of up to £5,000 for up to 12 months
  • Where the business has an existing HSBC Small Business Loan, an optional additional 0% interest and arrangement fee-free overdraft on balances equivalent to the value of up to 12 scheduled repayments of the loan
  • Where the business has an existing HSBC Variable Rate Flexible Business Loan or Commercial Mortgage, a capital repayment holiday of up to 12 months.

Eligibility

  • The business has no more than five employees and an annual turnover of less than £1m;
  • An employee of the business is on Parental Leave at the time the business applies, or due to go on Parental Leave in the next 3 months.
  • Further eligibility criteria applies please read “Important Information” section below.

Contact

  • Business Telephone Banking 0800 731 8932
    Lines are open 8am to 10pm every day (except Christmas Day, Boxing Day and New Year's Day). To help us continually improve our service and in the interests of security, we may monitor and/or record your telephone call.
    Textphone 18001 0800 028 3516
  • Business Specialist at the branch
  • Relationship Manager

Important Information

  1. INTRODUCTION

    1.1 This document sets out useful information in relation to the HSBC Parental Leave Support Package. Each element is described more fully below and has its own eligibility criteria, as well as its own set of terms and conditions (the Product-Specific Documentation).

    1.2 The terms and conditions for Business Current Accounts, Small Business Loans and Flexible Business Loans apply at all times to the HSBC Parental Leave Support Package. If there is a conflict between the Product-Specific Documentation and the information contained in this document, the Product-Specific Documentation will take precedence for the particular service or account.

  2. PARENTAL LEAVE SUPPORT PACKAGE

    2.1 The HSBC Parental Leave Support Package consists of:

    1. 0% interest and arrangement fee-free overdraft on balances of up to £5,000 for up to 12 months;
    2. where the business has an existing HSBC Small Business Loan, an optional additional 0% interest and arrangement fee-free overdraft on balances equivalent to the value of up to 12 scheduled repayments of the loan; and
    3. where the business has an existing HSBC Variable Rate Flexible Business Loan or Commercial Mortgage, a capital repayment holiday of up to 12 months.

    2.2 Eligible businesses can take advantage of any or all of the above elements. All elements of the HSBC Parental Leave Support Package which the business is seeking to take advantage of must be applied for at the same time.

    2.3 Businesses may apply to take advantage of the HSBC Parental Leave Support Package for any period of up to 12 months. If a shorter period is chosen, the business cannot later request an extension.

    2.4 The HSBC Parental Leave Support Package cannot be used in conjunction with any other promotion. For example, if the business already has a 0% interest overdraft because it qualifies for a different offer, the term of the 0% interest overdraft will not be extended. However, subject to meeting the eligibility criteria at the time of application, the business can apply for the HSBC Parental Leave Support Package once the existing promotion has come to an end.

  3. OVERDRAFT BORROWING:

    3.1 £5,000 0% overdraft

    1. 0% interest and no arrangement fee will be charged on overdraft balances of up to £5,000, subject to our standard credit criteria and application process being met.

    3.2 Small Business Loan repayment support via additional overdraft facility

    1. This is only available for customers who already have a HSBC Small Business Loan in place and have started repayments. Customers applying for a new HSBC Small Business Loan are not eligible for this element of the HSBC Parental Leave Support Package.
    2. An additional arrangement fee-free and 0% interest overdraft limit equal to the value of up to 12 scheduled monthly repayments of the Small Business Loan will be provided, subject to our standard credit criteria and application process being met.
    3. Where there are fewer than 12 outstanding repayments on the Small Business Loan, the business can apply for a 0% interest and arrangement fee-free overdraft limit of up to the value of the remaining outstanding repayments.

    3.3 A HSBC Business Current Account is required in order to operate the overdraft elements of the HSBC Parental Leave Support Package. At the end of the HSBC Parental Leave Support Package period, the Business Current Account can be closed if it is no longer required, following full repayment of the outstanding overdraft balance.

    3.4 Please note that the overdraft balance will remain payable on demand for the duration of the HSBC Parental Leave Support Package in accordance with the provisions of the Product-Specific Documentation.

    3.5 Any overdraft provided as part of the HSBC Parental Leave Support Package will be subject to our usual credit checks and application process. If the business has an overdraft limit above the 0% interest and arrangement fee-free amount offered as part of the HSBC Parental Leave Support Package, we will charge our standard debit interest rates and fees on all balances in excess of this amount.

    3.6 At the end of the term of the HSBC Parental Leave Support Package, we will contact the business to discuss the available options.

  4. VARIABLE RATE FLEXIBLE BUSINESS LOAN OR COMMERCIAL MORTGAGE CAPITAL REPAYMENT HOLIDAY

    4.1 The business will have the option of either extending the term of the Variable Rate Flexible Business Loan or Commercial Mortgage by up to 12 months, or keeping the original term but increasing the monthly repayments. In either case, the capital repayment holiday will mean that the amount of the overall interest which is payable on the loan increases.

    4.2 If the business is already benefitting from a capital repayment holiday, the business cannot apply for an extension as part of the HSBC Parental Leave Support Package.

    4.3 Please note that interest will continue to be charged and payable during the capital repayment holiday period, in accordance with the terms of the Variable Rate Flexible Business Loan or Commercial Mortgage. Both capital and interest will be payable after the capital repayment holiday period ends. If the business has opted to keep the original term of the loan, the amount of the monthly repayments will increase. However, the total cost of interest will be less than what the business would pay if it opted to extend the term of the loan.

  5. ELIGIBILITY

    5.1 The HSBC Parental Leave Support Package will be offered to businesses where the following conditions are met:

    1. the business has no more than five employees and an annual turnover of less than £1m;
    2. an employee of the business is on Parental Leave. 'Parental Leave' is defined as time away from work in respect of maternity leave, shared parental leave, adoption or surrogacy leave;
    3. the employee must be eligible to claim some form of remuneration during the Parental Leave from the business according to government guidelines; and
    4. the employee must either be on Parental Leave at the time the business applies, or due to go on Parental Leave in the next 3 months.

    5.2 The business must provide confirmation of eligibility in one of the two following ways:

    (a) Official Documentation

    1. Providing official documentation, as follows:
      • a copy of the MAT B1 form where maternity leave is taken;
      • a copy of shared parental leave forms where this is taken;
      • proof of adoption documentation where relevant; or
      • proof of surrogacy where relevant (this can be a written statement from the employee);
    2. along with the following documents:
      • a copy of the last two month's Full Payment Submission (FPS) sent to HMRC; and
      • the business's latest annual accounts, to be dated in the last 24 months and, in the case of a limited company, certified by a Chartered or Certified Accountant. For unincorporated entities, the accounts can be signed by a member of the Institute of Chartered Secretaries and Administrators;
      or

    (b) Accountant confirmation
    1. written confirmation from the business's accountant, including the following details;
      • name (and, if different, trading name) of the business;
      • company registration number;
      • number of employees on the business's payroll;
      • the type of Parental Leave taken by the employee; and
      • the start and expected end dates of the Parental Leave;
    2. along with the business's latest annual accounts, to be dated in the last 24 months and, in the case of a limited company, certified by a Chartered or Certified Accountant. For unincorporated entities, the accounts can be signed by a member of the Institute of Chartered Secretaries and Administrators.
    3. The accountant's written confirmation must be provided on headed paper and signed. It can either be sent in hard copy or scanned and emailed to us.

    5.3 Please note that the business must obtain consent from the employee before providing us with the relevant document(s) above confirming eligibility for the HSBC Parental Leave Support Package. We will not share this information with any third party for marketing purposes, and will only use or disclose that information in accordance with the Product-Specific Documentation.

  6. DURATION

    6.1 The HSBC Parental Leave Support Package will last for up to 12 months, unless terminated earlier by us or the business. Details of how to terminate are set out in the Product-Specific Documentation.

    6.2 In addition, if we become aware that a business is not eligible for the HSBC Parental Leave Support Package, or that there has been a breach of any other terms and conditions of the offer, we may withdraw the HSBC Parental Leave Support Package immediately, following notification to the business.

    6.3 The HSBC Parental Leave Support Package is provided in respect of one employee only. It will not be doubled or extended if there is more than one employee on leave at the same time. If another employee plans on taking Parental Leave after the initial HSBC Parental Leave Support Package ends, the business can apply for a separate HSBC Parental Leave Support Package in respect of that employee (subject to eligibility requirements being met).

  7. MISCELLANEOUS

    7.1 We may share details of how you manage any current accounts or borrowing from us with credit reference agencies.

    7.2 Security may be required for the borrowing. Each application is considered on its individual merits, and details of any security required will be set out in a separate agreement.

    7.3 We reserve the right to withdraw the availability of the HSBC Parental Leave Support Package at any time. This will not affect businesses already benefitting from any element of the HSBC Parental Leave Support Package.

    7.4 We may withdraw or amend any individual element of the HSBC Parental Leave Support Package offer at any time, in accordance with the Product-Specific Documentation.

Call us to apply

Lines are open 8am to 10pm every day (except Christmas Day, Boxing Day and New Year's Day). To help us continually improve our service and in the interests of security, we may monitor and/or record your telephone call.

0800 731 8932

Lines are open 8am to 10pm every day (except Christmas Day, Boxing Day and New Year's Day). To help us continually improve our service and in the interests of security, we may monitor and/or record your telephone call.

Textphone 18001 0800 028 3516

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