The Small Business Administration today informed trade associations that Paycheck Protection Program funding has been exhausted and that the PPP application portal has now stopped accepting applications for loans from most lenders.
SBA said that it has reserved approximately $6 billion in funding for previously submitted loan applications subject to SBA hold codes that have yet to be resolved. There is also approximately $8 billion remaining in congressionally mandated funding for PPP loans made by designated “community financial institutions,” defined for bankers’ purposes as minority depository institutions and community development financial institutions.
SBA reminded trade associations that loan applications that have not yet received an SBA loan number have not been approved.
“For more than a year, banks of all sizes and their dedicated employees have worked day and night to ensure these critical funds reach as many small businesses affected by the pandemic as possible, accounting for 74% of the 10.8 million loans issued and 91% of the $780 billion in PPP loan dollars to date,” said ABA spokesman Ian McKendry. “Those bank efforts to help small business customers will continue. With the portal closed to most lenders, America’s banks will remain focused on helping borrowers still in the pipeline resolve SBA hold codes and other outstanding loan issues, so they can receive their PPP funds.”
