Repaying your CEBA Loan

The Government of Canada extends deadline for loan repayment

The Canada Emergency Business Account (CEBA) program provided interest-free, partially forgivable loans. As of January 12, 2022, the repayment deadline for CEBA loans to qualify for partial loan forgiveness is being extended from December 31, 2022, to December 31, 2023, for all eligible borrowers in good standing.

Submitting your Repayment with BVCU

You may submit repayment requests for your CEBA loan via email at loanadmin@bvcu.com, call 1-877-847-2828 or reach out to your local branch. We are currently offering: recurring payments, lump sum payments and full repayment options.

Correspondence has been sent to CEBA borrowers with their amended terms reflecting the date change.

CEBA Program Overview

The CEBA program provided a $40,000 or $60,000 loan to eligible businesses affected by COVID-19 to help cover non-deferrable operating costs.

Terms for loans repaid prior to the forgiveness deadline of December 31, 2023:

Interest rate: 0%
Principal payments are not required.
Forgiveness:
$40,000 loans: $10,000 may be forgiven if $30,000 is repaid by the forgiveness deadline.
$60,000 loans: $20,000 may be forgiven if $40,000 of the loan balance is fully repaid by the forgiveness deadline.

Terms for loans repaid after December 31, 2023:

The loan will be extended to December 31, 2025 if not repaid by the forgiveness deadline
Interest rate: 5% per year

Loan Forgiveness

Borrowers who received $60,000 in CEBA funds:

For borrowers who took out the full $60,000 CEBA loan, whether as a new applicant or through the original CEBA loan plus the expansion loan, the program provides for a blended amount of forgiveness. The blended forgiveness works out to 1/3 of the loan, if 2/3 of the original balance is paid on or before December 31, 2023. To have $20,000 of your $60,000 loan forgiven, simply repay $40,000 on or before the forgiveness deadline.

For further detail on the forgiveness terms of the CEBA program, please visit the Government of Canada’s CEBA website.