Saturday, June 6, 2020

SBA to reserve time for lenders with fewer than $1 billion assets today; also highlights new PPP interim rule, changes to Connect Portal

The following comes courtesy the American Bankers Association: The Small Business Administration announced this afternoon it will reserve an eight-hour block of time for lenders with fewer than $1 billion in assets to submit Paycheck Protection Program loan applications to SBA. This window will run from 3 p.m. CDT through 10:59 p.m. CDT today.

In a message to lenders, SBA said the reserved window is intended “to ensure access to the PPP loan program for the smallest lenders and their small business customers.”

SBA said all lenders will be able to continue submitting applications until 3 p.m. and resume after 11 p.m.. Lenders with assets under $1 billion will remain able to submit applications to SBA outside this window as well, according to the agency.
“SBA and Treasury will evaluate whether to create a similar reserved time again in the future,” SBA said.

Additionally, the Oklahoma Bankers Association received other information today from the SBA:
Last night, the SBA rolled out a new PPP Interim Final Rule, which covers both the PPP disbursement requirements as well as the reporting. We also provided an updated FAQ. We are still waiting on guidance on the fee and the forgiveness portion of the program. They did say we should be getting more info soon so we’ll get that out as soon as possible.

Additionally, there have been some changes to the SBA Connect Lender Portal. There have been no changes or updates in ETRAN, this just covers the SBA Connect Lender Portal.

In the past lenders were getting an error that the portal was “Taking longer than expected.” This was caused by ETRAN’s intermittent connection issues since the SBA Connect portal eventually uploads the data into ETRAN which is where the loan number is generated. Certain applications were not getting submitted due to this error. The changes, which can be downloaded for reference by clicking here, will cover the new process on SBA Connect once submit is clicked.