Some of our customers took a payment deferral due to payment difficulties arising during the Coronavirus pandemic. The information on this page outlines the impact this has on the loan account and the repayment options.
Repayment of Payment Deferral Amounts
If you took a payment deferral you will have to make up for the missed payments and the additional interest that accrued during the Payment Deferral period, plus any interest that will accrue on these amounts until they are cleared. There are various options for you to do this. For example, by increasing your monthly payments or by making a lump sum payment. When you call we will be able to explain to you what options are available to you and what they will cost.
If having been in:
- a payment deferral; or
- a different solution where a Payment Deferral was deemed not to be in your best interests but your circumstances were affected by the Coronavirus
- we will have waived any extra interest accrued during the relevant period if at the end of it you were entitled to further forbearance under our existing rules.
If at the end of the Payment Deferral period, we were not able to contact you and you subsequently missed any loan payments which fell due then we will have treated the account as being in arrears and act in accordance with our collections and recoveries policy.
What are the repayment options?
There are a number of ways you can pay us:
- pay a one-off lump sum payment to get your account back on schedule; or,
- pay monthly by paying an extra amount, each month, on top of your usual monthly contractual payment; or,
- continue to make your usual monthly payment amount at the end of your contractual loan term, until your balance has been cleared. If you chose this option, interest will continue to accrue on the payments you deferred for the term of the loan. This means that the amount left to repay at the end of your loan term could be significant.
How do I make a payment to UK Credit?
By telephone: please call us on 01603 369 250 to make a debit card payment.
Direct Debit: this is the most convenient method, please call 01603 369 250 to arrange this.
Customer Portal: make payment at myloan.ukcredit.co.uk
Internet Banking: you can set up a standing order using the following details via your bank:
Account Name – UK CREDIT LIMITED
Bank – Natwest Bank Plc
Sort Code 60-15-31
Account Number 68516304
Ref *your loan account No*
Interest on your loan during the Payment Deferral Period
You will still have been charged interest during the Payment Deferral period. However, we will help you work out an affordable repayment plan to repay the interest accrued and the payments deferred during this period.
If you are still experiencing financial difficulty
If you are still not able to make your full loan payments due to circumstances relating to Coronavirus, then we may offer you further help, for example, a payment arrangement, if these are appropriate to your circumstances.
Your credit file
As long as we agreed to your Payment Deferral then we will not report to the credit reference agencies that any contractual payments were missed. However, you should be aware that if you took a Payment Deferral this may impact your ability to obtain credit in the short-medium term future.
Are you a Guarantor?
As a Guarantor, you may also have concerns regarding payments of the loan, for which you are Guarantor. UK Credit is committed to helping both Borrowers and Guarantors in financial difficulty. You should contact us if you are experiencing or reasonably expect to experience payment difficulties because of circumstances related to Coronavirus.
How can we help you?
UK Credit will review each account on an individual basis to ensure that those experiencing financial difficulties receive the appropriate support they need. Please call the team on 01603 369 250 or email us at email@example.com if you require further assistance. In most cases in order to help you find the most appropriate solution to your financial difficulties UK Credit will need to complete a review of your account and complete an income and expenditure assessment. If you have already completed an income and expenditure assessment with another creditor, debt charity i.e. Stepchange, or through a financial advisor then please send this to us. Upon completing this review UK Credit can determine what forbearance is right for your circumstances.
You may benefit from talking to someone other than us although we will always do our best to help you. There are a number of sources of debt help and money guidance available that are free to use and impartial, provided by a number of not-for-profit debt advice bodies.
- A good source of this information is the FCA website
- In addition, the Money Advice Service’s Money Navigator Tool may help.
If you are experiencing short term difficulty you may feel you are able to deal with your own debts without the need for full debt advice. In which case we would recommend you:
- work out your own budget for which the above FCA link may be helpful
- ensure you pay essential expenses and priority debts before any discretionary expenses or non-priority debts. The Money Advice Service may be helpful for this
- contact all creditors (including us) to discuss your repayments and what is affordable.
What we’re doing at UK Credit
We review each account on a case-by-case basis. This means we can help you put in place solutions that are tailored to you and are in your best interests.
If you need to contact us, you can find our details here.
Off work due to Coronavirus?
If you’re required to take time off work and are employed or self-employed, The Money Advice Service has put together some useful information covering your rights and what you’re entitled to receive.
Statutory Sick Pay
The government has introduced changes to Statutory Sick Pay (SSP) for anyone required to self-isolate or take time off. During the crisis, SSP will be paid from the first day of illness rather than the fourth day. You’ll also be able to claim SSP if you’re caring for anyone in your household that has been told to self-isolate.
You can check the government website to see whether you are eligible for SSP. Alternatively, you may be able to claim Universal Credit or Employment and Support Allowance.
How is Coronavirus affecting benefits?
Information and advice can be found from Citizens Advice
Seek financial help as soon as possible
If you’re concerned that your debts are mounting up and you’re unable to repay them, we’d always suggest seeking independent help from a debt advice charity such as StepChange. They provide a free, impartial and confidential service and they have experience helping people in similar positions.