Apple Growth Partners

SBA Updates Forgiveness Process

December 2, 2020

By Robert Jackson, CPA | COVID-19 Response Team

Just before the Thanksgiving holiday, the SBA announced to lenders that the PPP Forgiveness Platform, which is available only to lenders, has been updated to include the new Loan Necessity Questionnaires (i.e. for loans of $ 2 million or more) that we discussed in a previous article. Previously, only draft forms had been circulated on the web. This new announcement from the SBA means that the new questionnaires (form(s) 3509 and 3510) are no longer in draft form.

Early indications are that the SBA will electronically send the lender a review notification letter for a particular borrower after the lender submits the forgiveness application. Once lenders receive the letter, they must notify the borrower within five (5) business days. As we mentioned in our previous article, borrowers must return the completed questionnaire to the lender within 10 business days.

Keep in mind that these procedures are subject to change.

For loans under $2 million, requests for review by the SBA will also go through the lender.  It is not clear at this point whether similar time restrictions will be imposed on reviews of smaller loans.

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