BBL - finally 6 years are up! Spongebob plan has worked

[zeus70]

So finally teh 6 year terms are coming to an end! If you followed the spongebob plan and submitted your ds01 forms, you bank can now claim off the government guarantee. Expect lots of loans to be written off in the coming month.
Once that happends, companies house should allow the dissolution to go through.

Good luck everyone.

 

[JEREMY HAWKE]

So finally teh 6 year terms are coming to an end! If you followed the spongebob plan and submitted your ds01 forms, you bank can now claim off the government guarantee. Expect lots of loans to be written off in the coming month.
Once that happends, companies house should allow the dissolution to go through.

Good luck everyone.

Its not that simple they are investigating alsorts of sculdugerry and its going to take a decade
If you scuppered your company straight after getting the loan then you had better have your ducks in order if you didn't use an IP
The advise for companies with covid funding was clear from this forum when the loans were dished out .
Dissolve the company properly The Sponge Bob plan is not suitable for this

 

[DWS]

As above it’s not that simple, yes the banks can claim the Government guarantee but all this now does is shift the burden to the tax payer.
The tax payer still owes the Government and remains liable for the debt.
Whether this debt is chased or not is another story!

 

[UK Contractor Accountant]

So finally teh 6 year terms are coming to an end! If you followed the spongebob plan and submitted your ds01 forms, you bank can now claim off the government guarantee

Source please for the Government unblocking mechanism for Strike Offs to happen for companies with BBL's outstanding

 

[zeus70]

i know quite a few people in Banking and they sare saying the same thing

1. banks can now claim off the gov guarantee aa loan term has ended.
2. in 12 moths times majority of these loans will be statute barred due to 6 year rule
3. GOV already having behind the scened talk about removeing zombie companies from registrar

Majority of these limted will be allowed to close down, the ones highlighted for fraud will still be investigate. This is the final stretch.

 

[gpietersz]

2. in 12 moths times majority of these loans will be statute barred due to 6 year rule

Is the six year rule not more complicated than that? its six years from when the last payment was made or acknowledged or similar? So this is only going to be true for people who stopped paying immediately - which will have a significant overlap with those being investigated for fraud, I imagine.

 

[zeus70]

Most will be allowed to be dissolved before becoming statute barred that's what I'm hearing. Either way, this is now the endgame.

 

[Lisa Thomas]

i know quite a few people in Banking and they sare saying the same thing

1. banks can now claim off the gov guarantee aa loan term has ended.
2. in 12 moths times majority of these loans will be statute barred due to 6 year rule
3. GOV already having behind the scened talk about removeing zombie companies from registrar

Majority of these limted will be allowed to close down, the ones highlighted for fraud will still be investigate. This is the final stretch.

No. 2 is curious because my understanding of the recovery policy is that the Bank's had to continue making demands to the debtor for the monies and that the 6 year rule won't start until that stops.

 

[Mark T Jones]

No. 2 is curious because my understanding of the recovery policy is that the Bank's had to continue making demands to the debtor for the monies and that the 6 year rule won't start until that stops.

You are correct - and our Government have sheds full of people to take over collections

I suspect there will be a review as to which cases are worth pursuing, but no real withdrawal from collecting our money.

 

[zeus70]

truth is banks have not been chasing most people, as they have been waiting for the loan term to end so they can just claim off the guarantee. Its all planned.

 

[Newchodge]

Most will be allowed to be dissolved before becoming statute barred that's what I'm hearing. Either way, this is now the endgame.

Where have you heard all of this?

 

[Mark T Jones]

Where have you heard all of this?

Daaahn the pub...

 

[UK Contractor Accountant]

I don't know why they haven't let these zombie companies be dissolved in the first place other than to keep the BBL debts of the Governments books.

Even if dissolved fraud can still be investigated by the Insolvency Service thanks to the Rating (Coronavirus) and Directors Disqualification (Dissolved Companies) Act 2021

 

[JEREMY HAWKE]

Where have you heard all of this?

I think he is trying to convince himself to get a better sleep at night
Raising the issue in the first place indicates some level of worry and doubt