What's Up Jacksonville WhatsUpJacksonville.com
PPhotography by MichaelG.org LLC

Paycheck Protection Program Lending Operations Update

June 16th, 2020 · Leave a Comment

The U.S. Small Business Administration, in consultation with the U.S. Department of the Treasury, issued new and revised guidance for the Paycheck Protection Program.

Based on the enactment of the Paycheck Protection Program Flexibility Act of 2020, the maturity of all loans approved on or after June 5, 2020 will be for 5 years. The SBA E-Tran loan system has been updated to reflect that all loans will automatically reflect the 5 year maturity when submitted and approved. Loans approved and/or funded prior to June 5, 2020 with the 2 year maturity may be extended by the lender and borrower mutually agreeing to a 5 year maturity. Formal guidance on the changes to the CARES Act are forthcoming from SBA.

To ensure your financial institution receives PPP processing fees:

  1. Submit your PPP 1502 report to SBA in accordance with SBA Procedural Notice on 1502 reporting.
  2. Ensure your ACH information (including routing transmittal number (RTN)) is correctly reflected in the FTA Lender Portal (see the above Procedural Notice for instructions).
  3. Check the 1502 Dashboard frequently for any errors that must be corrected.

Resources available to all PPP lenders:

  1. For submitting 1502 reports: contact the FTA at info@colsonservices.com or at 877-245-6159;
  2. For setting up CAFS account: contact CLS@sba.gov;
  3. For other questions: please send an email to 7aQuestions@sba.gov.

For more information, visit www.sba.gov/paycheckprotection or www.treasury.gov/cares

Post to Twitter Post to Facebook Post to LinkedIn

Tags: · · · · ·

0 responses so far ↓

  • There are no comments yet...Kick things off by filling out the form below.

You must log in to post a comment.