How do I set up repayments after taking a

2 min read

Direct debitUsual method

Fixed dateMonthly

At drawdownSet it up

Fund aheadAvoid a bounce

How repayments are collected

Most lenders collect by direct debit from your business account on a set date each month. Some use a standing order you control, but direct debit is the norm because it puts collection in the lender's hands. You will typically set this up as part of completing the loan.

Getting the first one right

The first payment matters most to a new relationship. Confirm the amount and date from your repayment schedule, make sure the mandate is active, and hold enough in the account ahead of the date. A bounced first payment sends exactly the wrong signal and can trigger charges — see why a missed direct debit matters.

Managing the schedule

Diarise every payment date and slot the repayments into a cash-flow forecast so they never catch you short. The repayment calculator gives you the full run of dates and amounts. If you ever anticipate a problem, tell the lender before the date, not after — the avoiding-default guide explains why.

Frequently asked questions

Can I choose the repayment date?

Often, yes — many lenders let you pick a date that suits your cash flow, such as just after your main customer pays. Ask at setup; aligning the date with your incomings makes repayments far easier to meet.

What if a repayment is going to bounce?

Contact the lender before the payment date. A proactive call to arrange something is treated very differently from a silent missed payment, which harms your record and can trigger charges.