This depends on how far you are from the forgiveness threshold and your operational needs.
For example
Let’s say you have a CEBA loan totaling $60,000 and you are eligible for $20,000 of loan forgiveness, but you have not started saving for repayment.
If you apply before Jan 18, 2024 to borrow $40,000 from the same financial institution which gave you the CEBA loan initially, and you are able to put the entire amount towards your CEBA loan before Mar 28, 2024 to hit the repayment threshold, you’ll be forgiven the whole $20,000.
While you will be charged interest and principal for your new loan, these expenses could be offset by the reduction in the amount you need to repay — from $60,000 down to to $40,000 — thanks to loan forgiveness.
We can do the math for your unique situation or even look at your whole financial picture for more options. If you got your CEBA loan from Vancity, you can apply for our CEBA Refinancing Loan before December 15, 2023, to lock in your eligible forgiveness. Terms and conditions apply.¹
Talk to us early and you can rest easy with a plan in place.