Loan Payment Holiday

 

  • Your existing loan will be closed. A new loan account will be opened and your loan recalculated. This will be a variable rate loan.
  • The term of your new loan will be extended by 3 months.
  • This COVID-19 loan payment holiday won’t affect your credit rating.

Talk to us

 

Request a callback or drop in to any AIB branch.

 

If your financial distress is not as a result of COVID-19, or if you think your situation will extend beyond a 3 month period, we have long-term repayment solutions that may help you. For more information, see our Worried about payments section.

 

Frequently asked questions / Important information

  • What is a COVID-19 loan payment holiday?

    If you are financially impacted by COVID-19 you can apply to take a break from paying your loan for up to 3 months.


    There’s a few things you’ll need to know before applying:

     

    • We will close your existing personal loan account and open a new one.

     

    • Any interest owing on your existing personal loan (known as accrued interest) which hasn’t been charged yet to this date can be either included in your new loan, or if you prefer you can pay this interest.

     

    • Your loan will then be recalculated and the term of your loan extended by 3 months. Interest will also accrue during the payment holiday period. We’ll send you a new loan agreement with all the details which you’ll need to sign and return to us before your payment holiday can start.

     

    • Your new loan account will be a variable rate loan, regardless of whether your existing loan was a fixed or variable rate. Variable rate means the interest rate of your loan will change. Whilst the loan payment amount will stay the same, you may end up paying slightly more or less in total at the end of the term and your last payment may be for a different amount.
  • Who is eligible to apply for a loan payment holiday?

    You are eligible to apply if you have an AIB (NI) personal loan and are (or expect to be) financially impacted by COVID-19.

  • Will taking a loan payment holiday affect my credit rating?

    No. If you have arranged a COVID-19 loan payment holiday with us, your credit rating will not be affected. However, if you haven’t arranged a payment holiday and you miss a payment, this missed payment could affect your credit rating.

  • I need to take a short term break from paying my loan. How can I apply for a payment holiday?

    Click here to complete our call back form and one of our Customer Services team will contact you to go through your application.

  • I am currently financially impacted (not as a result of COVID-19) or I have longer term shortfall in my income as a result of COVID-19, can I apply for a loan payment holiday?

    If you have a shortfall in your income which is not as a result of COVID-19, or if you think your situation will extend beyond a 3 month period, we have long-term repayment solutions that may help you.

     

    For more information, see here. The earlier you contact us, the earlier we can help you.

  • If I’m approved for a loan payment holiday, when will it start?

    We can agree this with you during the loan payment holiday application process.

  • My loan direct debit is due to leave my account in the next few days. Can I still apply for the payment holiday?

    We can agree this with you during the loan payment holiday application process. The quicker you get in touch, the quicker we can help.

  • What happens when the payment holiday ends?

    When your payment holiday ends your new repayments detailed in your new loan agreement will start. We will have agreed this with you during the loan payment holiday application process.


    If you think your situation will extend beyond a 3 month period, we have long-term repayment solutions that may help you. For more information, see here.

 

As the COVID-19 situation evolves we will keep these FAQs updated.

 

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