The January 18, 2024 repayment deadline for obtaining partial forgiveness of the loan has now passed.

For those holding admissible CEBA loans in good standing who have not repaid the balance of their loan by January 18, 2024:

• The loan was converted to a fixed-rate loan on January 19, 2024 for a duration of three (3) years (until December 31, 2026).
• The loan is offered with an annual interest rate of 5%, until such time as it is repaid in full.
• Monthly interest payments are applicable on all outstanding balances for the duration of the loan, and the capital will be repayable on December 31, 2026.
• The first interest withdrawal date is February 19, 2024.

Loan holders who were not eligible for the new repayment extension were required to repay the unpaid balance of their CEBA loan in full prior to December 31, 2023.

You may repay your loan at any time by following the procedure outlined below.

Loan Repayment

1. Access the LBCDirect platform.
2. Go to the “Pay Bills - Payees” section and select “Add Payee”.
3. Search for the payee name “BLC-COVID-19-CEBA-CUEC”.
4. Enter the first 12 digits of your loan number as the reference number and click on “Add Payee”.
5. Click on "Pay Bills" and select the account to be debited. Then, beside the payee BLC-COVID-19-CEBA-CUEC enter the amount you wish to repay and the date. The repayment amount will be applied to your loan within the next 5 to 6 business days.

If you do not have access to LBCDirect, you can make your repayment by completing the online form online at www.laurentianbank.ca/CEBAReimbursementRequest. Please allow up to 10 business days for the payment to be debited from your account.

For more information, consult the Questions and Answers document concerning the CEBA Program.

Program Overview

This federal program that ended on June 30, 2021 helped businesses and non-profit organizations cover their operating expenses that were due and unable to be deferred (i.e. salaries, rent, public services, insurance premiums, property tax) during a period of time when their revenues were temporarily reduced due to the economic repercussions of COVID-19.

More information

Characteristics

• This program is offered through Laurentian Bank to its clients in the form of an interest-free term loan of CDN$60,000 until January 18, 2024.
• This $60,000 loan contains a grant of 33.3% (CDN$20,000) if the amount of CDN$40,000 is repaid in full by January 18, 2024.
• If the loan is not repaid by January 18, 2024, it can be renewed for 3 years (until December 31, 2026) at an interest rate of 5%.

Eligibility Criteria

Laurentian Bank clients who meet all the criteria below are eligible for the Canada Emergency Business Account Program:

• Only an authorized signatory with the authority and power to financially bind the company can make a request.
• The business is an operating company registered in Canada and active at March 1, 2020.
• The company has a Federal tax registration.
• The business paid total employment income in the 2019 calendar year of between CDN$20,000 and CDN$1,500,000. Or
  For applicants with CDN$20,000 or less in total employment income paid during the 2019 calendar year, the following criteria apply:
  • The borrower has a Canada Revenue Agency business number and has filed a 2018 or 2019 tax return;
  • The borrower has eligible non-deferrable expenses of between CDN$40,000 and CDN$1,500,000. Eligible non-deferrable expenses could include costs such as rent, property taxes, utilities, and insurance; expenses will be subject to verification and audit by the Government of Canada.
• The company must have an active commercial current account with Laurentian Bank, which is its primary financial institution.
• No prior request for the Canada Emergency Business Account Program has been submitted by the company or will be submitted through another financial institution. Otherwise, the Federal Government could initiate legal action.
• In accordance with the requirements of the Canada Emergency Business Account Program (the “Program”), as set out by the Government of Canada, the funds from this loan shall only be used to pay non-deferrable operating expenses, including, without limitation, payroll, rent, utilities, insurance, property tax and regularly scheduled debt service. The funds may not be used to cover any payments or expenses, such as existing indebtedness, payments of dividends, distributions and increases in management compensation.
• The company acknowledges its intention to continue to operate the business or to resume operations.

In accordance with the requirements of the Program as set out by the Government of Canada, the company confirms that:

• it is not a Government organization or body, or an entity wholly owned by a Government organization or body;
• it is not a non-profit organization, registered charity, union, or a fraternal benefit society or order, or an entity owned by such an organization, unless the entity is actively carrying on a business in Canada (including a related business in the case of a registered charity) that earns revenue from the regular supply of property/goods or services;
• it is not an entity owned by any Federal Member of Parliament of Canada or Senator of the Parliament Canada; and
• it does not promote violence, incite hatred or discriminate on the basis of sex, gender identity or expression, sexual orientation, colour, race, ethnic or national origin, religion, age or mental or physical disability, contrary to applicable laws.