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NAFCU releases updated PPP FAQs for CUs
Following the reopening of the paycheck protection program (PPP) portal and subsequent guidance from the Small Business Administration (SBA), NAFCU has updated its PPP FAQs to include new sections related to first- and second-draw PPP loans. The association has a number of resources, available online, specifically designed to help credit unions navigate the changing legislative and regulatory landscapes due to the ongoing coronavirus pandemic.
Of the questions added and updated in the FAQ document, several tackle first- and second-draw PPP loan issues, including:
- a borrowers' eligibility and ineligibility for receiving a loan or loan increase;
- loan terms;
- whether a borrower may use a different lender for a loan increase;
- lender responsibilities; and
- calculating a revenue reduction.
The PPP program officially reopened last week, allowing community financial institutions and lenders with less than $1 billion in assets to submit applications. All other lenders gained access to the program's processing platform today.
View NAFCU’s PPP FAQs and access all NAFCU's coronavirus resources here. Additional information on the paycheck protection program is available on the SBA's website and Treasury Department's website.