The British government has announced a series of measures to help business owners and people with mortgages deal with the economic repercussions of the coronavirus. £330 billion of loan guarantees will be made available to business owners, and the previous £1.2 million limit will be expanded to £5 million.
The government also announced that they’re working on measures to assist tenants in need during this crisis. Let’s take a look at what these measures entail, and what they could mean for the millions of business owners, homeowners, and tenants in this country.
Cash Grants and Business Rates Holidays
In addition to loan guarantees, the government also mentioned that they will be making a series of cash grants and business rate holidays available to the businesses affected by the pandemic. It announced that businesses such as pubs, restaurants, music venues or any leisure or hospitality business will be getting a 12-month rates holiday.
In addition, businesses with a rateable revenue under £51,000 will be eligible for up to £25,000 in cash grants. £10,000 grants will be made available for 700,000 of the businesses with the smallest revenue.
Mortgage Payment Delays
The chancellor also announced that homeowners with mortgages will also be getting relief. As a matter of fact, homeowners who won’t be able to make payments due to the consequences of the virus will be getting a three-month payment holiday.
UK Finance also stated that lenders will be obligated to agree to a three-month payment holiday for buy-to-let landlords with tenants who are experiencing difficulties.
What About Tenants?
The government also announced that there will be a three-month ban on evictions for private tenants. There will also be a ban on repossessions for buy-to-let properties. The chancellor also stated that there will be more measures for renters coming in the next few days and that they’re working on additional compensation for workers.
What Are Your Alternatives?
If you had the chance of being able to keep your income, know that there are other options that you can consider if you need some extra cash at the moment, even if you don’t have the best credit. There are plenty of short term loans bad credit direct lenders like BingoLoans that will allow you to borrow small sums of money with little or no credit.
These short-term loan providers will allow you to borrow up to £1500 that can be repaid within 2 to 6 months. Not only that, but these services will be looking at your income first to gauge your ability to make your payments. This means that you could be eligible even if your credit has been compromised.
The government is doing everything in its power to keep the country’s economy afloat and is constantly working to prevent a financial catastrophe. Make sure that you check if you are eligible for any assistance, and don’t hesitate to speak directly with your lenders if you have any outstanding debt.