NAFCU, trades call for additional clarity on PPP proposal
NAFCU joined with several other financial services trade organizations yesterday to respond to recently proposed legislation, the Continuing Small Business Recovery and Paycheck Protection Act, introduced by Senate Small Business Committee Chairman Marco Rubio, R-Fla., under consideration for the Senate’s Phase 4 relief package. The legislation would make changes to the Small Business Administration’s (SBA) paycheck protection program, including an expansion of hold harmless protections for lenders and a simplified forgiveness process for the borrowers.
In the letter sent to Rubio and Ranking Member Ben Cardin, D-Md., the trades called for additional clarity on aspects, such as borrower calculations or documentation, that would be necessary to help streamline any future rules “so they do not impair lenders’ ability to provide access to credit by constraining operating resources.”
“In addition, we believe such clarity would provide significant benefits to borrowers and lenders if changes made in your legislation, are fully implemented at one time, to ensure consistency and reliable rules that all parties can depend on when the loan process restarts,” wrote the trade groups. “Additional FAQs are to be expected, but the continuous changes like we have seen during the first two phases of PPP—where close to two dozen IFRs and a number of FAQs were issued, even just days before the program is set to expire—have only made the program more complicated for small businesses who do not have the resources to constantly update or amend applications.”
The groups also called for the inclusion of a provision permitting lenders to rely on an attestation by a small business certifying their eligibility based upon the revenue or receipt reduction thresholds for the programs in order to simplify the process for struggling small businesses. Additionally, the provision allows lenders to swiftly provide small businesses with the assistance they need, added the trade groups.
Last week, the Senate began releasing details of its Phase 4 package – the HEALS Act (Health; Economic Assistance; Liability Protection; and Schools Act) – which includes several NAFCU-supported items related to small business lending.
Among those provisions are improvements to the PPP, including a simplification of the forgiveness application process for smaller loans, something NAFCU has advocated for as part of the Paycheck Protection Small Business Forgiveness Act for loans under $150,000 as well as other changes for loans between $150,000 and $2 million.
NAFCU will continue its aggressive advocacy efforts to ensure credit unions' needs are included in any final legislation; stay tuned to NAFCU Today for the latest developments. Access NAFCU's PPP FAQs here.
Add to Calendar 2020-10-22 14:00:00 2020-10-22 14:00:00 Navigating Mergers and Acquisitions During these uncertain times, credit union mergers are a hard reality to face. We strive to strengthen credit unions with as much support as possible to maintain steady growth and success. While NAFCU does not encourage credit unions to merge, we realize mergers are a part of our industry’s reality. Please join us for a discussion on must-know concepts regarding mergers and other similar transactions, including bank and credit union branch acquisitions. This “101” presentation will focus on key concepts that will let you focus on the opportunities that will work for you, and the strategies that will bring you success. Again, NAFCU does not encourage mergers, but if you are considering one, we want you to be armed with helpful information. Key Takeaways Understand how to identify early whether merger or purchase/sale opportunities will bring material benefits Discuss strategic questions to ask your credit union whether merger is right for you (or how to stay independent) Review how to navigate major un-written rules in the application process Gain knowledge about member votes and communications Purchase Now$295 Members | $395 Nonmembers (Additional $50 for CD)One registration gives your entire credit union access to the on-demand recording until October 22, 2021.Already registered? Go to the Online Training Center to view live. Who Should Attend? Chief Executive Officers (CEOs) Executive Vice Presidents (EVPs) Chief Financial Officers (CFOs) Education Credits NCCOs will receive 1.5 CEUs for participating in this webinar NCRMs will receive 1.5 CEUs for participating in this webinar. CPA credit information is below; recommended 1.5 CPE credits. CPA Certification Credit Information Reviewer: Josie Collins, Associate Director of Education, NAFCU Learning Objectives: Understand how to identify early whether merger or purchase/sale opportunities will bring material benefits. Discuss strategic questions to ask your credit union whether merger is right for you (or how to stay independent). Review how to navigate major un-written rules in the application process. Gain knowledge about member votes and communications. Program Level: Basic Prerequisites Needed: None Advance Preparation Needed: None Delivery Method: Group Internet-Based Recommended CPE Credits: 1.5 credits Recommended Field of Study: Finance – Technical National Association of Federal Credit Unions (NAFCU) is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. Learn more. About Our Webinars Our webinars are streamed live from NAFCU headquarters near Washington, D.C. Your audio/video feed of the presenters includes presentation slides and downloadable handouts. You can easily submit your questions to the presenters at any time during the live broadcast, with no dialing over the phone! The audio and video stream directly through your computer. Web NAFCU firstname.lastname@example.org America/New_York public
Credits: NCCO, NCRM, CPE
Add to Calendar 2020-10-22 14:00:00 2020-10-22 14:00:00 [INTERVIEW] CU Blueprint for Secure Cloud-First Strategies About the Interview “Moving to the Cloud” can seem like an ambiguous, one-time, heavy-lift project, often leading to misunderstanding and analysis paralysis within credit unions. For your CU to stay competitive, you want to deliver a seamless digital experience that's more than flashy applications. It needs to be built on flexible, secure infrastructure that allows innovation. Join us for this panel discussion and learn practical, proven processes to establish and evolve secure, cloud-first strategies. Hear best practices in communication, talent, and technology, and walk away with a blueprint for your secure credit union transformation. Watch the Interview On-Demand Web NAFCU email@example.com America/New_York public
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