Available as an additional feature of Invoice Finance, Debtor Protection is a low-cost, easy-to-manage facility that helps protect your business from potentially damaging bad debt if a customer fails to pay.

Features and benefits

  • Protection − your business is protected for up to 90% of the value of a protected customer failure excluding VAT.
  • Confidence − you can trade in the UK and overseas, knowing which of your debts are protected.
  • Control – stay in charge with our online system.
  • Cashflow – allows bad debt provisions to be reduced and replaces cashflow that would have been lost due to bad debt.
  • Flexibility – with our no obligation trial.

Is it suitable for my business?

Debtor Protection can be suitable if your business sells to another business on unsecured credit terms, and you anticipate that your turnover will be £200,000 or more per year. However, if your turnover is less, you may still be eligible.

Cost effective

The facility cost varies according to your business size, sector and customer base - but typically ranges from 0.20% to 0.85% of annual notified turnover.

No obligation trial

If within 30 days of the commencement of the Protection Period under your Debtor Protection facility we are unable to offer protection on at least 55% of the aggregate value of the Protected Limits you apply for under the facility, you can cancel with a full refund of any Debtor Protection Fees and Protected Limit Charges referred to in your facility, which were paid by you.

Call us on 0800 3895084 to learn more about Invoice Finance with Debtor Protection and our other business funding options.

Why Lloyds Bank?

As one of the largest banks in the UK, your business will benefit from our specialist approach, commitment to long-term relationships, expertise and access to dedicated sector knowledge.

Support for you


Invoice Finance questions

Helpful information about how Invoice Finance works, who can apply and how we can support your business.

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Video case study

Watch Chow Mezger, Managing Director of Jude’s Ice Cream, talk about their growth journey.

Client Charter

Try our service for six months and, if you’re dissatisfied, we’ll give a refund
of the service fee.*

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If you’d like to find out about other options that could suit your circumstances, use our finance selector tool.

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Industry expertise

Whichever industry you operate in, our facilities can be quickly scaled up to meet your exact requirements.

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Calls may be monitored or recorded in case we need to check we have carried out your instructions correctly and to help improve our quality of service.

Factoring and Invoice Discounting facilities may be provided by one or more of Lloyds Bank Commercial Finance Limited, Lloyds Bank plc and Bank of Scotland plc.

Lloyds Bank Commercial Finance Limited, Registered in England & Wales no. 733011. Registered Office: No1 Brookhill Way, Banbury, Oxfordshire, OX16 3EL.

Lloyds Bank plc. Registered Office: 25 Gresham Street, London EC2V 7HN. Registered in England and Wales no. 2065. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number 119278. Bank of Scotland plc: Registered Office: The Mound, Edinburgh EH1 1YZ. Registered in Scotland No.SC327000. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration no. 169628.

When using Asset Finance your agreement will be with a Lloyds Banking Group company whose terms and conditions will apply. The provision of credit or leasing services by us is subject to your meeting our Credit approval. Please ensure that you only apply for credit or leasing services that you can comfortably afford.