PPP Updates & New GuidanceJanuary 21, 2021
On Tuesday, Jan. 19, the 2nd round of the Paycheck Protection Program (PPP) was fully opened for all loans at all approved lenders. ill be finalized by Tuesday, Jan. 19. This follows a tiered roll-out which started Jan. 11 at community financial institutions and gradually opened to 2nd draw loans, smaller lenders and finally large banks.
It is important to note that SBA is not automating loan number generation as they did before – meaning the process may take a bit longer to protect against fraud in order to give SBA a bit more oversight on the applications.
SBA has released guidance on the forgiveness process for the 2nd round PPP loans:
- Interim Final Rule on Loan Forgiveness Requirements and Loan Review Procedures as Amended by Economic Aid Act (Released 1/19/2021)
- PPP Loan Forgiveness Application Form 3508 (Revised 1/19/21)
- PPP Loan Forgiveness Application Form 3508EZ (Revised 1/19/21)
- PPP Loan Forgiveness Application Form 3508S (Revised 1/19/21)
- Borrower’s Disclosure of Certain Controlling Interests (Released 1/19/2021)
SBA also announced in the first week of the 2nd round of PPP, that it had approved approximately 60,000 PPP loan applications submitted by nearly 3,000 lenders for over $5 billion.
The Paycheck Protection Program remains open for First and Second Draw PPP loans until March 31, 2021, as set forth in the Economic Aid Act, or until Congressionally-appropriated funding is exhausted.
SBA has posted applications on their website here:
Please visit NSBA’s COVID-19 page for additional resources and updates.
SBA has a great deal of good information on their website as well if you have questions. You can see a list of approved SBA lenders here.