Bounce Bank Loan Calculator: How to calculate accurately Calculating the repayments for the bounce-back loan is not an easy task. If you’re not sure how much your repayments will be per month, if you haven’t already started paying back your loan, or you want to check that you are paying the correct amount each month, UK Tax Calculators has a very handy Bounce Back Loan Calculator to help you, including a loan extension calculator that will work out your new repayments if you’ve opted for PAYG. Many other online tools are also available for calculation.
The Bounce Back Loan Scheme, launched in May 2020, was introduced to help small businesses affected by Covid-19. You can borrow anything between £2,000 up to 25 per cent of your business’s turnover (the maximum amount available is £50,000).
The Government covers any interest payable in the first 12 months through a Business Interruption Payment (BIP) to the lender, while the 29 accredited lenders benefit from the 100 per cent Government-backed guarantee. The interest rate for the loan is fixed at 2.5 per cent per annum and the repayment term is six years. No repayments are due during the first 12 months.