Feb 08 SBA PROVIDES GUIDANCE SURROUNDING PARTIAL PPP LOAN FORGIVENESS APPEALS
On January 27, 2022, the Small Business Administration (SBA) released a procedural notice providing borrowers with a process to appeal certain situations in which the lender approved only partial Paycheck Protection Program (PPP) loan forgiveness. In particular, this procedural notice applies in cases where either:
- The lender issued a partial loan forgiveness approval to the SBA; or
- The lender required the borrower to apply for forgiveness in an amount less than the total balance of the PPP loan
Impacted borrowers, through their lender, may request the SBA to review the loan. However, the time frame is limited, as there is essentially a 30-day time period for borrowers to seek relief under this notice. Borrowers should continue to make loan payments until an appeal decision is reached.
Sax will continue to update you as further details are made available. Reach out to your Sax advisor or email [email protected] with questions. For more and ongoing information about your state and business, visit Sax’s COVID-19 Resource Center.