Loan COVID-19 payment breaks

Here’s everything you need to know about delaying your loan payments

To make sure this is the right choice for you, please select from the options below.

As a heads up, if you want to extend your payment break don’t hang around – ideally you should apply seven days before your next payment date, so your Direct Debit can be stopped.

    Have you had a Loan COVID-19 payment break?

    Unfortunately applications for an initial COVID-19 payment break closed on 31 March 2021.

    If you’re struggling to make your payments and need more help now, please go to our financial difficulty page.

    You can apply for a COVID-19 payment break extension

    We can only offer payment break extensions lasting until 31 July 2021 – this means your extension may be for less than three months. And to be eligible to extend your payment break you’ll need to apply quickly – ideally you should apply seven days before your next payment date, so your Direct Debit can be stopped.

    Just so you know, payment breaks don’t affect your credit file, but bear in mind that lenders may look at other information – such as bank statements – when assessing credit applications.

    If you’ve already applied and we’ve told you that you’re not eligible, there are other ways we can help. To see the support we can offer please go to our financial difficulty page.

    Apply for extension

    Payment breaks allow you to delay your payments for a maximum of six months. So if you’ve already had a payment break and a payment break extension, we can’t give you another.

    If you’re struggling to make your payments and need more help now, please go to our financial difficulty page.

    Unfortunately you’re not eligible for a payment break extension as it’s been too long since your payment break ended.

    If you’re struggling to make your payments and need more help now, please go to our financial difficulty page.

    Things you may need to know about payment breaks:

    When will my payment break start?

    Once you submit a request we’ll take care of everything, including pausing your Direct Debit, so there’s no need to cancel it.

    Where we can, we'll start your payment break from when your next payment is due. If your payment is due within the next 7 days, this payment will be taken and your break will start in the next month. If you're unable to make your latest payment, it may be too late to stop your Direct Debit - so please call us now on 0345 300 4547.

    If you’ve already missed more than one monthly payment, please get in touch now on 0345 300 4547 so we can discuss how best to support you.

      Will a payment break affect my credit file?

      COVID-19 payment breaks won’t be reported as a missed payment to credit reference agencies. But bear in mind, lenders may look at other information – such as bank statements – when assessing credit applications.

      You may receive letters from us notifying you of outstanding payments, for legal reasons we’re unable to stop these. Rest assured there is nothing you need to do about any ‘missed payments’ related specifically to your COVID-19 payment break.

        Can I still make payments during a payment break?

        If you’d like to make payments towards your loan during your payment break, you still can - it could help you pay your loan off quicker.

        Here are the various ways you can make additional payments to your loan.

          Will I be charged additional interest?

          You won’t be charged any additional interest because you paused your loan payments.

          When we confirmed your loan payment break, we told you there may be additional interest to pay. But we’ve decided not to do this.

          Instead, we’ll just continue to collect your usual monthly Direct Debit payment until your paused payments are repaid. Here’s some more info about how and when these payments will be taken.

              What happens when my payment break ends?

              You don't need to do anything. We'll contact you towards the end of your payment break to let you know when your next payment is due. Then we'll restart your Direct Debit and take the same monthly payment as before.

              If you cancelled your Direct Debit, we’ll reinstate this so it resumes as normal.

              Remember you’ll still need to make your delayed payments, either by paying them off within your original term, or alternatively we’ll extend your loan term automatically to cover the delayed payment.

              If when your payment break comes to an end you still can’t make your payments, we can still help. Just go to our page on financial difficulty to find out how.

                When and how do I make up my delayed payments?

                You can choose how to make up your delayed payments, either:

                • Pay the sum of your delayed payments by making additional payments during your original loan term - here are your ways to pay.
                • If you don’t make up your delayed payments within your original loan term we'll automatically extend your loan term by the number of months needed to cover your delayed payments.

                  This means it could take up to an additional 6 months to pay back your loan depending on the length of your payment break/extension.

                  Why am I receiving letters?

                  You may receive letters from us notifying you of outstanding payments, for legal reasons we’re unable to stop these.

                  Rest assured there’s nothing you need to do about any ‘missed payments’ related specifically to your COVID-19 payment break.

                    Why am I not eligible for a payment break extension?

                    Unfortunately we can’t offer you a payment break extension if:

                    • You haven’t already had a payment break – applications for payment breaks closed on 31 March 2021
                    • Your payment break ended and you restarted your payments
                    • Your account is two months, or more in arrears
                    • You’ve already had one payment break and one payment break extension

                    If you’re not eligible for a payment break extension and are struggling to make your payments, there are other ways we can help. Please go to our financial difficulty page to find out more.

                      Other things you might find helpful

                      Setting up Online Banking

                      Learn how to get set-up and about our features

                      Setting up on our Mobile App

                      Get started with our Mobile App and features we can offer

                      Monthly bills too high?

                      Save money on your bills