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Barclays Partner Finance payment holiday ending

See your options

If you need support as your payment holiday comes to an end, here’s how we can help.

Supporting you after your payment holiday

With your Barclays Partner Finance payment holiday coming to an end, there are a number of different scenarios you could be facing. We have a range of options that can help you take the next steps.

The information on this page is for people who already have a payment holiday in place. If you don’t, and need help to pay your Barclays Partner Finance payments, please read our FAQs .

I’m comfortable with my Barclays Partner Finance payments starting again

I need help with my Barclays Partner Finance payments for another three months

Here are some ways we might be able to help, depending on your circumstances.

Make reduced payments on a structured plan

You’d pay 30% of the normal amount for the first two months, then 60% in the third month, returning to the full amount in month four.

This could help ease you back into normal payments. Paying something towards your loan means we’d charge less interest than we would if you extended your payment holiday and paid nothing.

Extend your payment holiday, with the option to make some payments

You can either take a complete break for another three months, or pay any amount you can afford whenever you’re able to. We’ll still charge interest on your loan balance. 

Before you apply, please read this page carefully, so you can see which options you think are best for you.

How will these options affect my loan?

We’ll defer the amounts that would’ve been due during this time to the end of your loan, and if you have a daily interest product we’ll keep charging interest on both your loan and the amount you defer. This means there’ll be some extra monthly payments to make, and a final payment to clear the balance.

After three months, you’ll go back to paying the same amount you did originally, as stated in your loan agreement – we won’t change your monthly payment amount.

You’d have the option to make extra payments to your loan during this time, if you wanted to and were able. This would help to lower your balance and, if you have a daily interest product, would reduce the amount of extra interest we’d charge – so you’d pay less in the long run. You could pay as much or as little as you wanted, at any time and any frequency.

We’ll write to you with information on what to do next before your payment holiday ends, so please keep an eye out for our letter in the post. You don’t need to do anything until you hear from us.

Examples

To help you make the right choice for your circumstances, the tables below show how each option might change the cost of your loan. All examples are based on a three-month payment holiday having already been taken.

This example is based on a remaining loan balance of £4,000, with an interest rate of 8.9% and 56 months left on the loan.

Return to full payments after an initial three-month payment holiday

Reduced payments on a structured plan for three months 

Extend payment holiday by another three months and pay nothing

Extend payment holiday by another three months but make some payments

Current remaining loan balance

£4,000

£4,000

£4,000

£4,000

Loan APR

8.9%

8.9%

8.9%

8.9%

Contractual monthly payment

£86.89

Months 1 & 2: £26.07 (30% of £86.89)

Month 3: £52.13 (60% of £86.89)

Month 4 until the end of the loan: £86.89

 

The final payment to clear any remaining balance as a result of any extra interest might be different from your normal monthly payment.

£0 for the next 3 months

Month 4 until end of loan: £86.89

 

The final payment to clear any remaining balance as a result of any extra interest might be different from your normal monthly payment.

You opted to pay £45 per month

Month 4 until end of the loan: £86.89

 

The final payment to clear any remaining balance as a result of any extra interest might be different from your normal monthly payment.

Estimated interest from first three-month payment holiday 

£129.50

£129.50

£129.50

£129.50

Estimated interest over another three months 

£0

£78.91

£133.57

£62.83

Extra interest charged

£129.50

£208.41

£263.07

£192.33

This example is based on a remaining loan balance of £1,500, with an interest rate of 14.9% and 28 months left on the loan.

Return to full payments after an initial three-month payment holiday

Reduced payments on a structured plan for three months 

Extend payment holiday by another three months and pay nothing

Extend payment holiday by another three months but make some payments

Current remaining loan balance

£1,500

£1,500

£1,500

£1,500

Loan APR

14.9%

14.9%

14.9%

14.9%

Contractual monthly payment

£63.08

Month 1 & 2: £18.93 (30% of £63.08)

Month 3: £37.85 (60% of £63.08)

Month 4 until the end of the loan: £63.08

 

The final payment to clear any remaining balance as a result of any extra interest might be different from your normal monthly payment.

£0 for the next 3 months

Month 4 until the end of loan: £63.08

 

The final payment to clear any remaining balance as a result of any extra interest might be different from your normal monthly payment.

You opted to pay £30 per month

Month 4 until the end of the loan: £63.08

 

The final payment to clear any remaining balance as a result of any extra interest might be different from your normal monthly payment.

Estimated interest from first three-month payment holiday 

£74.27

£74.27

£74.27

£74.27

Estimated interest over another three months 

£0

£45.51

£77.95

£39.26

Extra interest charged

£74.27

£119.78

£152.22

£113.53

These figures are for illustration only and are based on a typical loan rate and remaining term. They assume payments remain up to date until the end of the loan with no overpayments.

* APR stands for the annual percentage rate, which is the total amount you're charged for your finance shown as an annual percentage. This will include all fees and interest charges and will allow you to compare the cost of finance across different financing options, as it gives a like for like comparison.

If your loan is any of the types listed below, we won’t charge any additional interest during your payment holiday or reduced payment plan.

  • Interest free
  • Buy now, pay later
  • Motor (car) finance
  • Caravan finance

If you’re not sure what type of loan you have, you can find out by checking your original agreement. If you’ve lost your original agreement, you can ask us for a copy using our web form.

How will extending my payment holiday affect my motor finance?

At the end of your Motor Personal Contract Purchase (PCP) finance agreement, you’ll usually have the option of making one final balloon payment if you’d like to keep the car. You agree this final payment amount when you sign your agreement, and it’s based on what the car’s Guaranteed Minimum Future Value (GMFV) will be at the end of your payment period.

During a three-or six-month payment holiday, your car’s value might depreciate and fall below the GMFV, but your final balloon payment will stay the same.

If you’d prefer to return the car back to us at the end of your finance agreement, we’ll honour the original GMFV and settle your finance without taking into account any potential changes in value.

How will it affect my motor finance annual mileage allowance?

Your annual mileage allowance will have increased by 25% during your first payment holiday. Extending your payment holiday for another three months will increase your annual mileage allowance by a further 25%.

For example, if your original annual mileage limit was 10,000 miles, this will have increased by 25% to 12,500 miles during your first payment holiday. When you extend your payment holiday, your annual mileage limit will increase by another 25%. This would mean that your annual mileage limit after both payment holidays would be 15,000 miles.

How will extending my payment holiday affect my Buy Now Pay Later finance?

If you’d like to extend your Buy Now Pay Later period by another three months, you can apply for a second payment holiday.

We won’t charge you any extra interest, and you can still make payments at any time to lower your balance.

This would give you more time to pay off your finance in full. When your Buy Now Pay Later period ends (including any payment holidays), we’ll start charging interest on any remaining balance.

Will any of these options affect my credit score?

No – it won’t be recorded on your credit file, so it won’t affect your credit score, but lenders might take it into account when making future lending decisions.

Am I eligible?

You can apply if you’ve already taken a payment holiday that’s coming to an end, and your income is still temporarily affected because of coronavirus.

Can I take another payment holiday if I have already had two payment holidays from Barclays Partner Finance?

If you have already had two payment holidays or one payment holiday plus a short term rebuild plan, then please call us to discuss the options that are available to you on 0800 161 5218

What if my payment’s due in the next seven days and I can’t afford to pay it?

We usually start the payment holiday or reduced payments from the following month, which means you’d need to make this payment. If you can’t afford to do this, please fill in this form and apply for more support, as we might still be able to help you.

How much extra will my payment holiday or reduced payment plan cost?

During your payment holiday or reduced payment plan, we might still charge interest on your Barclays Partner Finance loan. How much depends on a few things, like your loan type, loan balance, interest rate and remaining term. We’ll only charge extra interest if you have an interest-bearing loan, for which interest is accrued daily and applied monthly, based on your balance.

I didn’t cancel my Direct Debit, and my payments are due in the next seven days

It might be too late to stop the next payment from being collected. If you don’t think you’ll be able to cover it, please call us straight away on 0800 161 5218 – we’re here Monday to Friday from 9am to 5pm, and on Saturdays from 9am to 1pm.

How do I apply?

We’ll write to you with more information on what to do next – keep an eye out for our letter in the post. You don’t need to call us. If you still need support after your payment holiday ends, you can apply online using the payment holiday ID in the letter.

I need help with my Barclays Partner Finance payments for more than three months

If you’re experiencing longer-term financial difficulty, or you have any concerns, we can help in a number of ways. Call us on 0800 161 5218 so we can find the best way to support you – we’re here Monday to Friday from 9am to 5pm, and on Saturdays from 9am to 1pm.

More ways we can help

Can I make extra payments to cover the amount I deferred on my payment holiday?

Yes you can, and there are several ways to do it. To see which option’s best for you, read our FAQs or call us on 0800 161 5218 . We’re open Monday to Friday from 9am to 5pm, and on Saturdays from 9am to 1pm.

Making overpayments means you pay off your balance quicker and pay less interest over the remaining term.

Get in touch

We have fewer colleagues than usual answering the phones right now because of the coronavirus situation. This is having a big impact on our call waiting times – we’re sorry about this. If you have an immediate financial problem that isn’t covered above, and that can’t wait, please contact us.