New-Blog-OnPoint Accounting Accounting|Bookkeeping|Payroll & Taxes|business advice consultancy|start up|micro and small businesses|quickbooks|quickbooks online uk|new business ideas

OnPoint Accounting News – bounce back loans (bbl) and self employed income support (seiss)

OnPoint Accounting News – bounce back loans (bbl) and self employed income support (seiss)

It’s Tuesday, 5th of May. I just wanted to give you a quick update on everything that happened on Monday the 4th of May. Normally, we just do a weekly update, but a couple of big things happened yesterday, so I just want to take you through that, give you an idea of what we’re hearing from our sources, and hopefully that will provide some helpful information for you.

So, the first one was the government’s bounce back loans did launch yesterday morning at 9:00 AM. Some of the banks were a bit earlier than that, they launched their buttons overnight. So, what I just want to go through quickly is what we’re hearing from clients, and friends, and peers across the industry just to bring you up-to-date of what to expect from your bank, where possible.

So, everyone’s doing it slightly different, as you might expect. However, they are all sticking to the rules of 72 months loan period. That’s not a thing you get asked as to whether you want it to be that long or not, it is just a 72 month period. First 12 months are interest free because the government’s paying, and then the first 12 months are also capital free because your repayments start on month 13. This is what the banks are doing as far as we’ve heard so far.

RBS and Natwest, technically the same bank, they are going to ask you to complete a form online. All this form online is, is a note of interest. That’s you registering to say you’re interested in the bounce back loan. You will then get a confirmation email from them saying they received that note of interest. And then, what will happen is they’ll email you again with a form. Now, this form is taking quite a long time to get out to customers from what we’re understanding. But when it is received, it’s an 18 page document. And what it looks like is you’re actually filling out your own loan offer form to help speed up the admin on the bank side.

Once we’ve got that submitted, we don’t know what the timeframe is yet for the actual money to come to you because none of our clients have gotten to the point where they’ve got past this application form yet. Most of them are still waiting for that form. Some received it last night and filled it out, but we’re still waiting for them to hear back further from Natwest and RBS.

Barclays are having a terrible time of it, their website kept crashing yesterday. We have yet to hear of anyone getting through the Barclay’s application form online successfully, so people just need to keep trying with them. Now, obviously, it’s really important that you go to your banks first. The bank that you’re banking with should be your primary provider of the bounce back loan. So, if you’ve got a poorly performing bank it’s not great, I appreciate, but you’re going to have to stick with it until the other lenders come online end of this week into next.

HSBC have been very quick in processing the applications online. They’re saying yes or no very quickly, but what we haven’t heard about is money being deposited into the banks yet. Whereas, Santander their whole process is online. You fill out a very simple couple of pages online, most of it’s tick boxes. You then get sent an email a few hours later with a offer contract, which you sign using an e-sign facility in the form of DocuSign. Once you’ve sent that back, they will then deposit the money within a matter of hours. So, we had a client who filled out the form 9:00 AM yesterday morning, and the money was in their bank account 8:00 PM last night. So, absolutely fantastic service from Santander there, which isn’t something I’d normally say. I’m not a huge fan of high street banks, as most of you know. But, in this case, Santander have really stepped up to the mark and have been very quick to process everything. So hats off to them.
Starling Bank has said they are going to provide the bounce back loan facility, but it is still being developed. And, hopefully, by the end of this week we’ll have that facility available for you to apply through. Knowing Starling and how quick and easy everything else is with Starling, I would imagine this is going to be a really simple process, just like Santander’s, simple, quick and effective. But they’ve just got to get it rolled out there. They’re one of the later ones to be approved to provide it.

That’s everything we’ve heard about banks at the moment, obviously, appreciate there’s a lot more banks out there. We haven’t heard positive or negative things about any others. These are just the ones we know are having problems, or doing particularly well.

The second piece of news that came out yesterday was the government’s self-employed eligibility checker. This is now available thru the links on website. We’ve also posted this on our Facebook page, but appreciate there’s a lot of fraud, et cetera, going on at the moment. So, totally understand, if you want to go to the website and find the link for yourself. I’ll also re-share the link in the comments of this post.

So, the eligibility checker is available. It has got bugs, lots of people that should be passing the tests are coming back as failed. So, you’re getting false results. For those people it’d be worth waiting for your letter confirming whether you will or won’t be eligible. But HMRC have said they are trying to fix their bugs, and a lot of them got fixed overnight. So, it’s worth running it again, potentially.

What you’re going to need to do this eligibility checker is your UTR and National Insurance Number to start with. When you get to the end of the process, it also wants to clarify your ID and that can be done using the online gateway. And it may ask for your driving license, passport, something like that just to verify you are who you say you are. They’re just putting these steps in place to help prevent fraud, and people claiming money in your name. So, slightly frustrating, but definitely well-placed, and definitely should be followed. If you haven’t got an online gateway yet, there’s an opportunity to set one up as part of this process. And they’re making that all electronic, so it should be done on the same day.

The main thing to note about this self-employed grant is that you have to do it yourself. Agents are not authorized to make this grant application on your behalf, and they won’t have access to your grant application through that agent login. Some accountants will you have your personal login details. We at OnPoint Accounting don’t do this because we have our own dedicated agent login details, and we shouldn’t be holding personal information of yours such as that. So, if your accountant does hold your personal login details, they will be able to help you make this application. But most accountants won’t be able to help because we only use our agent login, which doesn’t give us access to the part we need to be able to make yours self-employed grant application.

So, that’s the update for today. Just a couple of big things there. If you’ve got any questions, as always, reach out to us. We’re on the phones, emails, social media. And if you need any help just get in touch. Stay safe and look after yourselves.


Leave a Reply

Your email address will not be published. Required fields are marked *