Bank expect deluge of desperate businesses seeking loans

Darnell Taylor
April 3, 2020

"That's the whole goal behind this thing, is to make sure employees are getting their paychecks".

The relief package for small businesses is a key piece in the $2 trillion stimulus package President Donald Trump signed on March 27 aimed at shoring up an economy that ground to a halt amid the coronavirus outbreak. "The U.S. government doesn't work that fast". "Utah's financial institutions are eager to help our local small businesses by helping to quickly approve and process these loans". For more information on the Paycheck Protection Program, including the application form, can be found on the U.S. Department of Treasury's website.

Truist told CNN Business that it has a $2 million commitment set aside to support small businesses affected by the pandemic.

The loan will begin as a two-year, .5% interest loan, at least part of which will convert into a grant.

"Because we anticipate that loans will be funded quickly and in high demand, we encourage small business owners to organize the documents they need to apply for the loans now", said Scott Simpson, president and CEO of the Utah Association of Credit Unions.

All small businesses (500 employees or less) are eligible for the Paycheck Protection Program loan. You will owe money when your loan is due if you use the loan amount for anything other than payroll costs, mortgage interest, rent, and utilities payments over the 8 weeks after getting the loan. You will need to complete the Paycheck Protection Program loan application and submit the application with the required documentation to an approved lender that is available to process your application by June 30, 2020.

The ADA will not be issuing any guidance until there is a clear understanding of the terms of the 7 (a) program.

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More recently, German outlet ZDFsport claims that UEFA will look to complete its club competitions in July or August. The UEFA Futsal Champions League finals scheduled for April 2020 are postponed until further notice .

"We are communicating directly with our customers to provide details about the loan program and how to apply", the company said in a statement. Please bring your workers back to work.

PNC said that it is working with small business customers that are struggling and will offer some "the ability to postpone payments for a period of time" and "a range of modification options with no late fee".

But - bankers say that program could run out fast. In France, as of Thursday, 40,000 companies are benefiting from governments guarantees and have sought 7 billion euros ($7.6 billion) of loans. Sunrise has always been an SBA Preferred Lender and is working hard to set up systems for Friday's application launch date, Reiling said. She is the Regional Director at the West Central Indiana Small Business Development Center.

The loans were created to help entrepreneurs retain staff, and they may be eligible for forgiveness, provided certain conditions met.

The loan program is available to all businesses - including nonprofits, veterans organizations, tribal business concerns, sole proprietorships, self-employed individuals, and independent contractors - with 500 or fewer employees.

As far as who's eligible for the loan forgiveness part, that is going to apply to expenses for eight weeks from when the loan starts. "While we are looking at every resource possible to support our small businesses and workforce in the face of the significant challenges they are facing, we know that federal loans, like the Paycheck Protection Program, will be paramount to economic recovery efforts in the state".

A $350 billion small business bailout, a vital fiscal lifeline for millions of enterprises facing certain doom at the hands of coronavirus-inspired lockdowns, may be dead on arrival due to fears of banks doing the lending.

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