The Western Union Company, a leader in cross-border, cross-currency money movement and payments, has been accredited as a new lender under the Coronavirus Business Interruption Loan Scheme (CBILS).
Following approval by the British Business Bank, Western Union Business Solutions has put in place the operations required to start lending under CBILS and can start receiving applications from existing clients beginning 19 August 2020, who meet eligibility requirements.
Delivered through British Business Bank accredited lenders, CBILS is designed to support the continued provision of finance to UK smaller businesses (SMEs) during the Covid-19 outbreak. The scheme enables lenders to provide facilities from £50,001 up to £5m to smaller businesses across the UK who are experiencing lost or deferred revenues, leading to disruptions to their cashflow.
“We are very aware of the impact that the COVID-19 pandemic has had on small businesses. The CBIL Scheme allows us to play our part in helping this crucial section of the economy to recover,” said David Prendeville, Head of UK FX Sales at Western Union Business Solutions. “We are keen to make our services and experience available to smaller organisations through this new product as they steer through these challenging times while retaining employees and sustaining business.”
Western Union has collaborative relationships with more than 7,000 small businesses across a variety of industries in the UK, offering them cross-border, cross-currency money transfers and payment services. Its online digital tool, WU® EDGE, enables organizations to manage international payments 24/7 and provides access to 200 countries and territories and more than 130 currencies.
Western Union Business Solutions, acting through Western Union International Bank GmbH, will allow term loans to existing customers at competitive interest rates under CBILS.
Existing Clients based in the UK and with an annual turnover of up to £45 million can apply for loans for amounts exceeding £50,000. Those specific CBILS loans will be supported by a government backing of 80% in case the borrower defaults or becomes insolvent (although the borrower will always be responsible for 100% of the loan). To be eligible, borrowers must show that their business would be viable were it not for the pandemic and has been adversely impacted by the coronavirus. Some sectors are excluded such as banks, insurers and reinsurers (but not insurance brokers); public-sector bodies and state-funded primary and secondary schools.
Detailed information on CBILS can be found on the British Business Bank website – Coronavirus Business Interruption Loan Scheme (CBILS).
About Western Union
The Western Union Company (NYSE: WU) is a global leader in cross-border, cross-currency money movement and payments. Our omnichannel platform connects the digital and physical worlds and makes it possible for consumers and businesses to send and receive money and make payments with speed, ease, and reliability. As of June 30, 2020, our network included over 550,000 retail agent locations offering our branded services in more than 200 countries and territories, with the capability to send money to billions of accounts. Additionally, westernunion.com, our fastest growing channel in 2019, is available in over 75 countries, plus additional territories, to move money around the world. With our global reach, Western Union moves money for better, connecting family, friends, and businesses to enable financial inclusion and support economic growth. For more information, visit www.westernunion.com.
The Coronavirus Business Interruption Loan Scheme (CBILS) is managed by the British Business Bank on behalf of, and with the financial backing of the Secretary of State for Business, Energy and industrial Strategy (BEIS).