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FILE PHOTO: The Federal Reserve building in Washington, D.C., U.S., May 1, 2020. REUTERS/Kevin Lamarque/File Photo
(Reuters) -The Federal Reserve on Tuesday said it had extended the end date for its Main Street Lending Program by eight days to process a rush of applications submitted since the Trump administration said it was terminating the emergency credit facility and several others set up by the U.S. central bank.
The program, targeted at small- and mid-sized businesses in need of credit to get through the recession triggered by the coronavirus pandemic, will remain open until Jan. 8 rather than closing on Dec. 31, as originally announced by U.S. Treasury Secretary Steven Mnuchin in November, the Fed said in a statement.
Updated Dec. 29, 2020 12:27 pm ET
The Treasury Department and Federal Reserve said Tuesday they had extended the cutoff date for the Main Street Lending Program from Dec. 31 to Jan. 8 to process a last-minute crush to deliver loans.
Treasury Secretary Steven Mnuchin last month declined to grant an extension to several emergency-lending programs run by the Fed, including the Main Street Lending Program, which is designed to support lending to small and midsize businesses and nonprofits disrupted by the coronavirus pandemic.
As a result, the program stopped accepting loans after Dec. 14, but it witnessed a flood of loan submissions leading up to that deadline, some of which are still being processed.
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By Nick Timiraos The Treasury Department and Federal Reserve said Tuesday they had extended the cutoff date for the Main Street Lending Program from Dec. 31 to Jan. 8 to process a last-minute crush to deliver loans. Treasury Secretary Steven Mnuchin last month declined to grant an extension to several emergency-lending programs run by the Fed, including the Main Street Lending Program, which is designed to support lending to small and midsize businesses and nonprofits disrupted by the coronavirus pandemic. As a result, the program stopped accepting loans after Dec. 14, but it witnessed a flood of loan submissions leading up to that deadline, some of which are still being processed.