Bounce Back Loan Scheme

The Bounce Back Loan Scheme (BBLS) is now closed to new applications, including applications for Top-Ups.


BBLS applications received by 11.59pm on 31 March 2021 can be processed through to 31 May 2021. You will be updated via email.

Features of the Scheme, at a glance:

  • The Government provided accredited lenders with a 100% guarantee. However, the borrower remained 100% liable for the debt

  • Any business was able to apply for loans up to 25% of business turnover, between £2,000 and £50,000

  • The scheme closed for new applications on 31 March 2021 at 11:59pm

  • There was no repayment of capital required during the period of 12 months from drawdown

  • The Government paid the interest and fees for the first 12 months

  • The interest rate was fixed at 2.5%

Bounce Back Loan Scheme Frequently Asked Questions

General Information

What other repayment options are available to me?

To help businesses get back to regular trading. Pay As You Grow could give you more time and flexibility to pay back your loan.

Pay As You Grow options will be available to you once you start to repay your Bounce Back Loan, from 12 months after it was first approved.

Using these options won’t affect your credit score, though it may influence how we assess your creditworthiness in the future and your loan may cost you more overall. The options available to you when you are due to make your first payment after 12 months are as follows:

1. If you expect to be in a better position to repay in the future:

You could reduce your monthly repayments for six months by paying interest only. This option is available up to three times during the term of your Bounce Back Loan. OR:

You could take a payment holiday for six months. This option is available once during the term of your Bounce Back Loan.

2. If you’re only able to repay a smaller amount:
You could request an extension of your loan term from six years to 10 years at the same interest rate of 2.5%.
If you’re considering this option you should think carefully about your ability to repay over a longer timeframe, taking into account such things as if you intend to cease trading or retire within the revised term of your Bounce Back Loan.

Please note for all three options that the total amount you owe will go up. This is because your interest costs increase as you’re repaying your loan over a longer period.

You can use options 1 and 2 together if you need to, but only to a maximum term of ten years. Using these options together may require you to repay more over the lifetime of the loan, when compared to using one or none of these options. Both options 1a and 1b will be available throughout the course of your loan term.

Log into Business Internet Banking to make your selection here, or to Register, click here.

These standardised options will be communicated to all borrowers 3 months before repayments start.

What are the Bounce Back Loan terms and conditions?

When you applied for your Bounce Back Loan, you declared that you understood that:

  • You are fully liable for all repayments, and if you are unable to meet these obligations, this could negatively affect your credit score.
  • The 100% government guarantee is provided to cover any losses the lender makes and does not cover any losses that you might suffer if you are unable to meet your payment obligations.
  • We would not carry out any affordability checks on your application.

The full set of declarations you made will be on your Bounce Back Loan application form. Additional terms and conditions you agreed to are detailed in your facility letter.

Do I need to use the same bank account to make my repayments that I used to apply for the Bounce Back Loan?

No – you don't need to use the same bank account that you used to apply for your Bounce Back Loan to make repayments. You can use another HSBC bank account, or a bank account at another bank (in each case, subject to usual transaction checks).

When are repayments due on the top-up?

No repayments are required up to the date on which the capital repayment holiday on your existing Bounce Back Loan expires (i.e. 12 months after the initial draw-down of the original loan amount). Please note that your repayments and interest cost will be higher as a result of receiving a top-up. These will be displayed in your updated loan agreement if your application for a top-up is successful.

What happened to the loan repayments in the first 12 months?

Customers received a payment holiday for the first year of their loan, with the interest being paid by the Government, via a Business Interruption Payment.

After the first 12 months, customers will need to start making monthly repayments to repay the amount borrowed, plus interest from the date that the repayment holiday ends.

We will send a repayment schedule to customers outlining available options around three months before the first payment is due. There is no need to contact us in advance.

What happens if I have a Bounce Back Loan and can’t make the payment on the loan after 12 months?

If you’re concerned that you can’t meet the repayments on your loan after 12 months, then please call the Coronavirus Customer Support Line as soon as possible on 08000 121 614 (we’re open 8am-6pm, Monday to Friday).

We’ll assess your situation and discuss your options.

What happens if I no longer need my Bounce Back Loan?

If you no longer need the loan, you can choose to pay it back early. You’ll then pay less interest. There are no early repayment charges and you won’t pay any interest if you pay the full amount before the end of your initial 12-month repayment holiday.

Or you can make a one-off repayment, as well as additional payments on a regular basis, and doing so will also help save you money on your interest payments.

What was the Bounce Back Loan Scheme?

The Bounce Back Loan Scheme (BBLS) was designed to support small and medium-sized businesses that were impacted by the Coronavirus situation and who were looking to borrow between £2,000 and £50,000.

The Government guaranteed 100% of the loan but the customer remained liable for the entire loan amount. Banks will seek to recover 100% of the outstanding balance of the loan from the Borrower before any claim is made on the Government guarantee.

Can I switch my banking to another bank if I have an outstanding BBL with HSBC?

Yes. You can switch your banking to another bank and keep your Bounce Back Loan (BBL) with us. You'll just need to make sure your Direct Debit for the BBL is switched across to your new bank to maintain your repayments.

If you're using the CASS (Current Account Switching Service), this will happen automatically. If you've chosen to switch without using CASS, you'll need to contact us to change the account details on your BBL Direct Debit by calling 03457 60 60 60 (textphone 03457 125 563; from outside the UK +44 1226 260 878). For line opening hours, see When is Business Telephone Banking open?

Do I need to continue to maintain a bank account with HSBC during the term of the Bounce Back Loan?

No – you don't need to maintain a bank account with HSBC during the term of your Bounce Back Loan. You're free to use another provider to manage your business banking, and you can switch your business current account to another provider while you maintain your loan with HSBC. You're able to make repayments from another bank account at another bank (subject to usual transaction checks).

I am worried about my finances. Where can I go to get help?

If you’re worried about your finances, please go to our support hub here. This page shows how you can contact us directly for help.

You can also contact the following organisations for free advice:

  • Money and Pensions Service: or 0800 138 7777
  • Citizens Advice:
  • National Debtline: or 0808 808 4000
  • Advice NI: or 0800 028 1881
  • Advice UK: or 0300 777 0107
  • Business Debtline: or 0800 197 6026
  • StepChange Debt Charity: or 0800 138 1111 (service not available to Limited Liability Partnerships or Limited Companies)
  • Money Advice Service: or 0800 138 7777

What resources are available from the British Business Bank?

In addition, the British Business Bank has a range of guidance and resources available to all businesses, including content on managing your cashflow and a list of independent advice services. You can visit their hub here.

Key benefits

The government provide a 100% guarantee to help you quickly get access to the cash you need get the funding you need.
We will send you a repayment schedule outlining your options, around three months before your first payment is due. You do not need to contact us in advance.

Important Information

  • You are liable for repaying 100% of the loan and HSBC will always seek to recover the outstanding balance from you
  • State aid restrictions applied, see factsheet for further detail
  • No personal guarantees were required

Loans that were made under the Bounce Back Loan Scheme and any Top Up loan were not subject to the usual consumer protections that apply to business lending and as such you will not have the benefit of the protection and remedies that would otherwise be available to you under the Financial Services and Markets Act 2000 or the Consumer Credit Act 1974.

Our commitments to you under the scheme:

The Bounce Back Loan and any Top-Up loan that you received are offered by HSBC UK as part of the UK Government’s Bounce Back Loan Scheme (the Scheme), which means that HSBC has agreed with the UK Government that we will:

  • provide you with information you need in relation to your loan in a way which is clear, fair and not misleading;
  • review your repayment record and act appropriately in line with our obligations under the Scheme if you appear to have difficulties with repayments;
  • if, after you have drawn down the loan, we identify or have reason to believe that you are vulnerable, consider (and where appropriate discuss further with you) what actions we can take to ensure your circumstances are accommodated;
  • not charge you any fees on the loan (including on default) or default interest, although we may continue to charge interest at 2.5% per annum if the loan is not repaid when due until such time as it is repaid;
  • allow you to repay the loan early at any time.
  • for as long as it takes you to repay the loan, provide you with:
    • details of any missed repayments and what this means for you as well as what you can do to remedy the problem, in what timescales and the impact (if any) on future payments;
    • information about what action we will take if you stop repaying the loan before we take that action;
    • the options available to you for help and assistance, including sources of free independent advice; and
    • an annual statement showing the transactions on your loan and how much is left to repay.
  • timely, clear and adequate information during the term of your loan which enables you to understand, where you fail to make repayments:
    • the amount missed;
    • what can be done to remedy the breach and in what timescales;
    • the impact (if any) on future repayments.

You are able to complain to us if you do not feel that we have met these commitments.

Missing payments

If you do not make your repayments on time we may take the following action which could have serious consequences for you:

  • cancel all or part of the loan and our obligations to you under it;
  • demand immediate repayment of all amounts due to us under the loan; and / or
  • declare that all or part of the loan is repayable on demand,

but we will give you advance notice and (unless the problem cannot be fixed) the opportunity to fix the problem before taking any of these steps.

If you fail to make your repayments on time we may also disclose information about you and the conduct of your loan to credit reference agencies (which may make it more difficult for you to borrow in future).


For information about complaints, including details of our complaint handling procedure and whether you have a right to complain to the Financial Ombudsman Service, please visit

Further information

If you would like any more information or have any questions about the agreement, you can find ways to contact us at Please click for guidance around who may be able to offer you free, independent advice.

Important Information

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