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The U.S. Small Business Administration will be unveiling an online portal where Paycheck Protection Program borrowers can directly apply for forgiveness on loans of $150,000 or less without going through their bank.
This change aims to speed relief to more than 6.5 million small businesses that took out PPP loans to get them through the pandemic. The portal will begin accepting applications from borrowers on Aug. 4. However, lenders need to opt into the program to allow the SBA to provide direct forgiveness to borrowers.
The PPP, which was included as part of the CARES Act, aimed to speed relief to struggling small businesses dealing with the pandemic since last year, though in many cases fraudsters took advantage of the program and applied for funds even though they didn’t operate businesses or retain their employees as originally required, In 2021 SBA approved over 6.5 million SBA loans totaling over $275 billion. The average loan size in 2021 was approximately $4
Feds revamp PPP loan forgiveness for small businesses
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