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The Small Business Administration (SBA) last week extended the deadline to apply for the Economic Injury Disaster Loan (EIDL) program through Dec. 31. The deadline was extended under the recently enacted Phase 4 coronavirus relief and FY2021 federal government omnibus bill.

EIDL loan applications will be accepted through the new deadline, pending the availability of funds. The SBA also indicated that to date the agency has approved $197 billion in low-interest loans.

The Phase 4 relief measure provides $20 billion to restart and extends the EIDL advance grant for small businesses in low-income communities, as well as creates a process for certain grantees that originally received less than $10,000 maximum, or applied and did not receive a grant because of the unavailability of funding, to reapply for the difference between their initial grant and the maximum amount.

Of note, the relief measure also repealed a CARES Act provision that required PPP borrowers to deduct from their forgivable amount EIDL advances, which NAFCU had raised concerns about.

Following the passage of the relief measure, NAFCU released a new resource summarizing key relief provisions available online. Credit unions are also encouraged to visit the association's resource page and access all NAFCU's advocacy, compliance, and education resources online, anytime.