Barclays will double its cap on unsecured lending to small businesses from £50,000 to £100,000 in a bid to increase its lending volumes.
As a result of the increase, as many as 40,000 firms could be eligible for the larger loans, according to the bank’s analysis. Barclays has also announced that it is raising the cap on unsecured overdrafts for firms for firms to £50,000 from £25,000.
In recent months, Barclays has tried to increase its loan volumes among small companies, with pre-assessed loans of up to £25,000 already offered online and through mobile banking.
However, loans will still need to meet the same underwriting standards, but firms should be able to access bigger loans more easily than in the past.
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