With the Main Street Lending Program set to wind down at year-end, the Federal Reserve updated its frequently asked questions for for-profit businesses and nonprofit businesses to address the termination of the Main Street facilities.
The FAQs stated that lenders wishing to participate in the MSLP before the end of the year should initiate their registration on or before Dec. 4. Eligible loans must be submitted on or before Dec. 14 for review. The Fed said it “will make efforts to process the loans submitted to the Main Street Portal by Dec. 14, 2020, in order to effect the purchase of eligible participation interests in advance of the termination date.”
The Fed added that it will stop issuing commitment letters under the condition of funding model as of Dec. 23. “No commitment letters will be issued after this date and, therefore, no loans submitted under the condition of funding model can be purchased by the Main Street SPV, unless a commitment letter has been issued on or before Dec. 23, 2020.”