CEBA loan of $40,000: When do I pay back?
The forgiveness repayment date has been extended to January 18, 2024 for eligible CEBA loan holders in good standing. The repayment has been extended to March 28, 2024 if a refinancing application is submitted prior to January 18, 2024 at the financial institution that provided their CEBA loan.
Loan holders that did not qualify for the new extended term continue to be required to repay the outstanding amount of their CEBA Loan(s), in full, by December 31, 2023.Loan holders that were contacted by their financial institution in late 2022 informing them that they qualify for a repayment deadline of December 31, 2023 will now benefit from an extended repayment deadline of January 18, 2024. You should be contacted in the coming months by your financial institution to confirm your eligibility for the January 18, 2024 repayment deadline.
What happens on January 18, 2024, if you do not repay the loan?
For loan holders that met CEBA eligibility criteria and are in good standing, if you do not repay your loan by January 18, 2024, your CEBA loan will convert to a term loan with full principal repayment due on December 31, 2026. During the period of January 19, 2024 to December 31, 2026, interest at a rate of 5% per annum will apply to the outstanding balance of your CEBA loan.