As Bankers Await Release of PPP Form 1502, SBA Extends Submission Deadline

In updates to its Paycheck Protection Program FAQs tonight, the Small Business Administration announced that it will extend the deadline for lenders to submit the still-yet-to-be-released Form 1502, which must be completed in order for lenders to receive their processing fee. The deadline will be extended to May 29, 2020, or 10 calendar days after disbursement or cancellation of the PPP loan, whichever is later.

This update came shortly after Treasury Secretary Steven Mnuchin signaled in today’s virtual Senate Banking Committee hearing that the deadline would be moved. The previous deadline for submitting the form was May 22.

In other PPP news, SBA released updated lending figures today. As of May 19 at 5 p.m. EDT, SBA had approved 4.37 million PPP loans amounting to $512.9 billion across both PPP rounds, leaving more than $156 billion in congressionally appropriated funds available. The totals were lower than previous sums reported, as certain borrowers with access to other forms of liquidity returned funds in advance of Monday’s deadline.