Are Your PPP Loans Forgiven?
Although it is too late to take out a Paycheck Protection Program (PPP) loan, now is the time to apply to have your loan forgiven.
The process to receive a refund on your PPP loan is outlined here on the Small Business Administration (SBA) website. SBA has launched a streamlined application portal for borrowers with loans of $150,000 or less, and you can read more details in this NAHBNow post.
Borrowers who need assistance or have questions should call 877-552-2692, Monday–Friday, 8 a.m.-8 p.m. ET.
Loans to HBAs can be forgiven as well, thanks to NAHB's efforts in working with Congress to include 501(c)(6) organizations as being eligible to receive PPP funding. Just as with any other business that received PPP loans, these loans can be forgiven if used for payroll, rent/mortgage, utilities and other qualifying expenses.
Some key points to note on the PPP loan forgiveness:
- Your loans can be forgiven in full if the funds were spent on qualifying expenses such as payroll, rent/mortgage and utilities.
- You either apply to SBA directly or work with your lender to obtain PPP loan forgiveness.
- If your loan is less than $150,000, generally speaking you go through the portal. If your loan is greater than $150,000, work with your lender directly.
- SBA allows for filing for forgiveness anywhere between 2 to 5 years after the loan was received. However, to take advantage of a successful lawsuit filed by NAHB, members are advised to file for forgiveness immediately to avoid any possible changes to the process.
If you have trouble with either process, let NAHB know by contacting Amy Chai.