Breaking news from the ABA:
The Small Business Administration has just informed trade associations that Paycheck Protection Program funding has been exhausted and that the PPP application portal will stop accepting applications for loans from most lenders.
SBA said that it has reserved approximately $6 billion in funding for previously submitted loan applications subject to hold codes that have yet to be resolved. There is also approximately $8 billion remaining in congressionally mandated funding for PPP loans made by designated “community financial institutions,” defined for bankers’ purposes as minority depository institutions and community development financial institutions.
SBA reminded trade associations that loan applications that have not yet received an SBA loan number have not been approved. Banks with applicants in this situation may consider referring clients to MDIs and CDFIs.