On December 27, 2020, the President signed into law the Consolidated Appropriations Act (the “Act”), a $900 billion legislative package that not only renews the Paycheck Protection Program (PPP) but provides additional assistance to small business owners through Section 327(b) of the Economic Aid Act.

Latest News and Announcement

  • Adjustments to Section 1112 of the Economic Aid Act, as of February 16, 2021 - Click Here

Economic Aid Act Impact on Small Business Owners:

Effective for loans approved beginning December 27th, 2020, and ending on September 30, 2021

*Subject to budget limitations


Debt Relief Payments for SBA 7(a) and 504 Loans (Economic Aid Act Section 1112 - as of February 16, 2021)

  • The SBA will make regular loan payments for borrowers on all new loans approved by the SBA between February 1, 2021, and September 30, 2021, for up to a 3-month period up to $9,000/month once the loan is fully funded. (subject to availability of funds)
  • For loans closed on September 27, 2020, or before, the SBA will make an additional 2 months of payments for the borrower (up to $9,000/month).
  • For businesses assigned with NAICS codes beginning with 61, 71, 72, 213, 315, 448, 451, 481, 485, 487, 511, 512, 515, 532, or 812, the SBA will make regular monthly loan payments for up to an additional 3-month period, starting after the 2-month period defined above, for a total of 5 months of payments (up to $9,000/month).
  • Borrowers whose loan closed on September 27, 2020, or before that had not fully funded by that date will get 3 months of payments starting after their loan fully funds. These loans will not be eligible for a second round of payment.

*Subject to budget limitations

 

The payments made by the SBA will be payments based on the current payment schedule of the loan – principal and interest or interest only and eligible associated fees, for eligible current and newly funded SBA Loans. The SBA payments are not a deferment. They act as if a borrower made the scheduled payment. As a borrower, you do not need to take any action to receive benefits from the Debt Relief Fund.

If you have questions about your current SBA loan with FNB Small Business Finance or are interested in applying for an SBA loan, reach out to one of our experienced Business Development Officers.

To learn more about other relief programs we are offering, please visit our website: fnb-online.com/landing/covid-relief-programs.