Credit unions can access updated disaster loan guidance from the SBA

The SBA announced updated guidance for its economic injury disaster loan program, EIDL, aimed at better serving and supporting small business communities still reeling from the pandemic. The EIDL program provides financial assistance for small businesses to meet financial obligations and operating expenses that could have been met had the disaster not occurred. 

Specifically, the following updated guidance is being provided by the SBA:

  • EIDL loan and Targeted Advance applications will be accepted until Dec. 31 and will continue to be processed after this date until funds are exhausted.
  • Supplemental Targeted Advance applications will be accepted until Dec. 31; however, the SBA may be unable to process some Supplemental Targeted Advance applications submitted near the Dec. 31 deadline due to legal requirements. The SBA cannot continue to process Supplemental Targeted Advance applications after Dec. 31 and strongly encourages eligible small businesses to apply by Dec. 10 to ensure adequate processing time.
  • Borrowers can request increases up to their maximum eligible loan amount for up to two years after their loan origination date, or until the funds are exhausted, whichever is soonest.
  • The SBA will accept and review reconsideration and appeal requests for COVID EIDL applications received on or before Dec. 31 if the reconsideration/appeal is received within the timeframes in the regulation. This means six months from the date of decline for reconsiderations and 30 days from the date of reconsideration decline for appeals — unless funding is no longer available.

Eligible small businesses, nonprofits, and agricultural businesses in all U.S. states and territories can apply; learn more about EIDL eligibility and application requirements on the SBA website.

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