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KBCI being the Bank of You and Your Business is here to help our customers to find a way to alleviate the issues and come up with a solution to support you and your business in resolving your financial difficulties.
It is very important that you contact us at the early sign of financial distress. This makes it easier for us to try to alleviate and assist your business in overcoming these financial difficulties.
KBCI’s SME customer base spans over numerous different industries and professions and these SME’s vary in size from Micro, small to Medium sized enterprises. We recognise this fact and the “one size fits all” approach does not work so rest assured your business’ situation will be dealt with individually and not benchmarked against any other.
Read more: Information Booklet for KBC Bank Ireland’s Business Banking Financial Difficulty Process (pdf, 101KB)
In the event that you find that your business is in or may be entering a period where financial difficulty is a possibility the following steps should be followed:
Following engagement from our customers we will arrange a review with your Business Partner. For this review you will be required to have the following documentation (pending on the nature and size of the business)
This list is a sample of information which your dedicated Business Partner may ask for but is not exhaustive
The information you have provided will form the basis for us to assess and explore potential options to help resolve the financial difficulties you are experiencing which may include an alternative arrangement where deemed suitable.
We will write to you within 5 business days to acknowledge receipt of your information. An assessment of this information should not take longer than 15 business days from receipt of same. If for any reason a decision is going to take longer than this we will write to you to advise of the delay and the expected date on which we should have a decision available.
In deciding the suitability of offering an Alternative Arrangement as an option the case will be assessed and will take into consideration the following as a guide:
It is very important that the information provided to KBCI to complete the assessment for eligibility for an Alternative Arrangement is materially correct and to the best of your knowledge reflects truthfully and in good faith the current and future standings of the business
The purpose of this assessment and potential Alternative Arrangement Agreement is to help improve the financial difficulties experienced by our SME customers.
Examples of Alternative Arrangements may include but are not exhaustive to the following:
Following the result of the Assessment, in the event in which you are not happy with the outcome you have a right to appeal your case. If you wish to make an appeal in relation to KBCI’s decision to decline your application to provide you with an alternative arrangement, you may do so in writing, to KBC Bank Ireland Appeals Board, KBC Bank Ireland, Sandwith Street, Dublin 2, within 20 business days of the date of this letter.
It is our full intention to answer this appeal within 15 working days from the date the appeal was received and in the instance a decision has not been made in this time frame we will contact you with an expected date a decision will be available.
In the event the appeal is upheld, we will write to you directly with the offer and details of the Alternative Arrangement being offered.
Non – Cooperating Borrowers
As stated above it is important to contact us at the earliest opportunity where financial difficulties have or may be expected to arise. It is also essential that where a customer finds themselves in financial difficulties that they fully engage with KBCI in all aspects of the process, including where requested, information to be presented to assist in making a decision on whether an alternative arrangement is a viable option.
KBCI will consider a customer to be Non-Cooperating in the following examples which fall within SME Regulations:
KBCI will write to the customer and where applicable, the guarantor, to inform them that they are being classified as ‘Not Cooperating’ in the case the borrower does not comply with requests for information to be provided or actions to be undertaken in a time period stated in the written correspondence.
Where KBCI classifies a borrower as “Not Cooperating” KBCI will not be in a position to offer an alternative arrangement to the borrower and hence will begin the process of seeking payment for all sums outstanding. Where security is enforced and realisation of this security occurs, the borrower in question will remain liable for any outstanding debt.