Supports for businesses affected by COVID-19

COVID-19 Business Loan Payment Break Options

We at Bank of Ireland are here to help you and we are working hard to support you during this unprecedented and challenging time.

Here you can:

1. Apply for a COVID-19 payment break if you meet our eligibility criteria and if the impacts on your business are temporary in nature. The closing date for applying for your first COVID-19 payment break is 30th September 2020.
2. Choose the option you would like to have applied to your business loan if you are coming to the end of your first COVID-19 payment break.

Please note the term credit facilities and business loans are used interchangeably.

• WHAT A COVID-19 PAYMENT BREAK MEANS FOR YOU
  1. A payment break means that you are not required to make any repayments to the business loan during the payment break period.
  2. There are no additional charges if you wish to apply for an extension to your payment break apart from the additional interest that continues to apply during the term of the payment break. If you do not choose any of the options detailed below, your normal payment to your Loan will recommence upon expiry of the payment break as detailed in Option 1.
  3. If the current interest rate that applies to your business loan is a fixed interest rate or a variable interest rate, the application of a payment break means that the interest payable on the business loan will increase and the amount owing on the business loan will increase.
  4. A payment break will mean that for the duration of the payment break, the “Date of Next Payment” on your Central Credit Register (CCR) profile will be recorded as the date that your monthly payment ordinarily falls due on your Credit Facilities although no payments are required during the payment break. However, a payment break will not be marked as a missed payment and will not be reported to the CCR as “Payments Past Due”.

For more information in relation to what a payment break means for you and for illustrative examples that show what this could mean for the total cost of credit on your loan, please visit our FAQs. It is important that you read all of the information in our FAQs before applying for a payment break and before choosing what option you would like to have applied to your account at the end of your first payment break.

• OTHER IMPORTANT INFORMATION FOR YOU TO CONSIDER IF TAKING A PAYMENT BREAK:
  1. 1. During a payment break we would encourage you to make full or partial repayments to your business loan if you can afford to do so. It will mean that you will not pay as much interest as you would if you did not make any payments at all during the payment break period. To make a full or partial repayment to your loan during the payment break period, please contact your Business Relationship Manager if you have one. If you don’t have a dedicated Business Relationship Manager contact 1890 882 961 or 353 (0) 1 4883035 (lines open 9am-5pm Monday to Friday, excluding bank holidays).
     2. Towards the end of your payment break we will contact you in advance of the expiry of your payment break to advise you what happens at the end of your payment break.
     3. If you have concerns that the impact on your finances from COVID-19 could last longer than 3 months or that you may not be able to meet the repayments on your loan after your payment break ends a payment break may not be suitable for you, however you can use the Apply Now button below to advise us of this and we will explore other more suitable options with you.

HOW TO APPLY

If you have an assigned Business Relationship Manager, please contact them directly and they will talk to you about the options available to you.

If you do not have a Business Relationship Manager assigned to you and wish to apply for your first payment break or are coming to the end of your first payment break, please follow the instructions below:

• I wish to apply for a COVID-19 payment break for the first time

  If you are applying for a payment break for the first time complete the online form ‘COVID-19 Credit Facilities options form’ and choose ‘I wish to apply for a payment break for the first time’.

  If you are experiencing a temporary reduction in your income and as a precaution you would like a payment break you can apply for a first time 3 month payment break with Bank of Ireland up to 30th September 2020 if you meet the eligibility criteria set out below.

  Once the application is completed you will then receive an emailed letter which will be in the form of a DocuSign email, and we ask you to confirm your acceptance of the terms of this emailed letter by providing your electronic signature to acceptance page as requested. When your payment break is coming to an end we will contact you again to further outline the options that will be available to you. If you decide to do nothing your loan repayments will resume at the end of the payment break on the date that your repayments ordinarily fall due.

  Eligibility Criteria
  – This is a precautionary request or reflects a temporary reduction in your income which has occurred as a result of the current health crisis and you are not in financial difficulty and/or were not concerned about your ability to meet future repayments.
  – you are not in a forbearance arrangement with the Bank or, if you are , you have met all terms and conditions for a minimum of 12 months.
  – Prior to 1st March 2020 you were not in arrears, and are not currently in arrears for 2 months or more on any business loan account or any other BOI business or personal loans.
  – Your loan was approved or drawn down prior to the 17th March 2020.

• I am coming to the end of my first payment break

  If you are coming to the end of an existing payment break complete the online form ‘COVID-19 Credit facilities options form’ and choose ‘I am coming to the end of my first payment break-option’ then choose from the options listed below.

  There is some important information that you should be aware of before you decide which option suits your needs, more information on what taking a further payment break will mean for you is available in our FAQs or below.

  Option 1: If you do not need another payment break and you want to return to full capital and interest payments.

  You can do this by completing the online form ‘COVID-19 Credit Facilities options form’ and choosing ‘I am coming to the end of my first payment break’ and choose option 1.

  If you do not take any action, this is the option that will automatically be applied to your account. If you make payments to your Credit Facilities from a Bank of Ireland paying account the Standing Order will automatically start again after the payment break. If you are paying your Credit Facilities from a different Bank and you cancelled your Standing Order contact us on 1890 882 961 or 353 (0) 1 4883035 (lines open 9am – 5pm Monday to Friday excluding Bank Holidays) and we will assist you in ensuring that the correct steps are taken to ensure that your Standing Order has been set up again.

  Under this option, to pay off the Credit Facilities, you will have to make payments for three months longer than the original term and you will need to make an extra payment to clear the extra interest that built up during the payment break. By paying your loan off over an extended term, you will pay more in interest than if you choose to repay your loan within the original term.

  Option 2: You are still experiencing a temporary reduction in your income and you want to apply for a further three month COVID-19 payment break. You can do this by completing the online form ‘COVID-19 Credit facilities options form’ and choosing ‘I am coming to the end of my payment break’ and choose option 2.

  Important: If you have concerns that the impact on your finances from COVID-19 could last longer than 3 months or that you may not be able to meet the payments on your loan after your payment break ends a payment break may not be suitable for you, however, other options that are more suitable for you may be available and you can follow the instructions below (Option 4) to get in touch with us for more information on these.

  What a payment break means for you

  By availing of this option for an additional payment break you are not required to make any payments to the Credit Facilities during the additional payment break but you can do so if you wish at no additional charge. This will reduce the total amount of interest you pay over the term of the Credit Facilities.

  If the current interest rate that applies to your Credit Facilities is a fixed interest rate or a variable interest rate, the application of a payment break means that the term of the Credit Facilities will be extended, the interest payable on the Credit Facilities will increase and the amount owing on the Credit Facilities will increase.

  Option 3: You do not need another payment break and you want us to amend the term of your credit facilities to clear the balance within the original term. You can do this by completing the online form ‘COVID-19 Credit Facilities options form’ and choosing ‘I am coming to the end of my first payment break’ and choose option 3.

  By keeping the original term of the Credit Facilities, the payments to your Credit Facilities will be higher than you would have made prior to you availing of the payment break. However, paying your Credit Facilities as soon as you can will reduce the amount of interest you pay over the term of your Credit Facilities, while options such as extending your payment break or extending the term beyond the original term of your Credit Facilities will cost you more in interest.

  Option 4: You are concerned that you may experience longer-term financial pressure and you would like to explore additional supports to help you to pay your Credit Facilities. You can speak to us about additional supports by completing the online form ‘COVID-19 Credit Facilities options form’ and choosing ‘I am coming to the end of my first payment break’ and choose option 4.

  Important: If you feel as though you will have difficulty in meeting your loan repayments, this option may be most suitable for you.

NOTE: If you feel you need further assistance or that you may not fully meet these criteria, you can call us on 1890 882 961 or 353 (0) 1 4883035 if you are calling from outside the Republic of Ireland.

Qualifying criteria and terms and conditions apply.

Apply Now FAQs

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