Surprise, surprise: federal policymakers in Washington, DC have not been able to find a compromise on legislation dealing with the Paycheck Protection Program and related COVID-19 economic relief initiatives. While the Trump Administration, US Senate and US House all report progress and high hopes for solutions, as yet there is still uncertainty regarding statutory forgiveness and related issues.
As a result, Customers Bank will not begin accepting forgiveness applications until we have more guidance and certainty.
We appreciate that many borrowers are frustrated. Frankly, so are we. But even the SBA’s “EZ” forgiveness form would require work for borrowers and lenders that might be eliminated by statutory forgiveness.
For almost all borrowers, the delay will have no impact: payments are not due until after a borrower has applied for and been awarded forgiveness for some portion of the PPP Loan.
If you have special circumstances, such as the sale of the company or a change in the company ownership, that require the loan issues to be resolved quickly, call me and we will work together to find a customized solution.
Customers Bank will provide another weekly report on the status PPP Loan Forgiveness on August 11.