SBA Launches New PPP Loan Forgiveness Platform
The Small Business Administration (SBA) has launched its own online, consumer-facing forgiveness platform to make it easier for millions of employers to have their Payroll Protection Program (PPP) loans forgiven. Borrowers may have the opportunity to apply for forgiveness directly through the SBA portal.
The new initiative aims to encourage borrowers with loans of $150,000 or less — accounting for more than 90 percent of the pandemic-era program — to apply for loan forgiveness.
Rather than forcing borrowers to apply for loan forgiveness through banks, the SBA forgiveness site will accept applications from small borrowers directly.
Lenders must opt in to the new system, and will still have a say in whether individual PPP loans should be forgiven. Overall, the intent is to reduce the time and effort banks must invest in the process.
The due date for first-round PPP loans to apply for forgiveness is ten months after the end of the covered period, which has occurred or is approaching for many borrowers. If you received a PPP loan and must now apply for forgiveness, the following links will help you get started.
- SBA PPP Direct Forgiveness Portal
- User Guide for the Direct Forgiveness Portal
- List of Lenders Participating in Direct Forgiveness
For more information, read our recent blog articles:
- SBA Streamlines Forgiveness for Smaller PPP Loans
- PPP Forgiveness and Repayment: What Businesses Need to Know Now
Contact Yeo & Yeo for assistance with applying for PPP loan forgiveness.
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