!!!BANKS FREEZING ACCOUNTS IN COVID FRAUD RAIDS!!!!

A number of banks have started to freeze business bank accounts that are suspected of Covid fraud.

Hundreds of seizures of up to ￡50,000 have been carried out by HSBC, Barclays, Natwest and Lloyds with other banks set to follow.

The Bounce Back Loan and furlough schemes have been dogged with claims of widespread fraud since their inception, it seems that the banks are now stepping up there efforts in recovering some of the money back.

Over 1.43 million Bounce Back Loans have been dished out since last year and ￡26 billion has been set aside to cover fraud and loans not getting paid back.

If you think by transferring the Bounce Back Loan into your personal account is going to circumnavigate any recovery from the banks you need to think again.

One HSBC customer has revealed that they needed to repay the money immediately and they would use a clause in the to an agreement to take the money from their personal account if they needed to.

Back in October, a report by the National Audit Office stated that up to 60% of Bounce Back Loans will never be paid back.

I believe lots of Bounce Back Loan fraud is going to be uncovered this year and the penalties could include prison, a large fine or both.

Please don't let this alarm you if you have taken a Bounce Back Loan and can't repay it if you're an ltd company the loan is unsecured which means if you liquidate the business it will be written off.

If your concerned about how you are going to repay your Bounce Back Loan or have any questions about what I have written let me know.