Abrigo Solution Enables Community Financial Institutions to Handle 15,000 PPP Loan Applications for Small Businesses since Friday
AUSTIN, Texas, April 7, 2020 /PRNewswire/ -- Abrigo announced that community financial institution customers of its SBA Lending solution have handled nearly 15,000 loan applications through the Small Business Administration's Paycheck Protection Program (PPP) since Friday. This number is expected to grow significantly this week; application volume is tracking to exceed $10 billion in loans to small businesses.
The SBA PPP launched Friday, April 3, making millions of small businesses and sole proprietors across the U.S. eligible to apply for PPP loans, and financial institutions were inundated with applicants hoping to participate in the $349 billion "first-come, first-served" program aimed at coronavirus relief. However, the PPP launch was met with numerous technical issues and confusion around eligibility. Many banks and credit unions scrambled to begin processing applications after new borrower and lender forms and SBA program guidance were issued late Thursday, just hours before the program launch.
Abrigo, which has provided SBA lenders with automated origination and integration with E-Tran, the SBA application portal, for 18 months through its Sageworks SBA Lending solution, rapidly updated the solution to capture the new forms and adjust to the new PPP guidelines. Abrigo also has dedicated advisory and implementation resources working around the clock to provide a streamlined integration so lenders can quickly implement the SBA solution and PPP processes.
As a result, customers leveraging the Sageworks SBA Lending solution have been able to simplify and automate the underwriting processes to manage the volume of requests so they can quickly get capital into the hands of small business owners through the PPP. Unlike many SBA software providers that say they are "connected" to E-Tran and have customers processing applications, financial institutions using Abrigo's E-Tran-integrated solution are getting loans completed and approved by the SBA.
Todd Anderson, Senior Vice President and Chief Credit Officer of SaviBank, said he was impressed by Abrigo's agility after the Burlington, Washington, bank added the Sageworks SBA Lending solution last week.
Abrigo "got the parameters [on the PPP] at the same time we did – late Thursday afternoon – less than two business days ago," Anderson said on Sunday. "They have worked through the weekend, burning the midnight oil, because they know how much this means to us and to our customers."
"This is the best provider I have ever worked with in my 30-something years of banking," he said. "They really make it happen. They take our input seriously...they care."
On April 10, when independent contractors and self-employed individuals are eligible to apply for the PPP, banks and credit unions will see another wave of applicants. E-Tran has continued to experience intermittent outages, according to users. But Abrigo's market-tested SBA Lending solution, which provides electronic signature capabilities and remote document uploads, will continue helping financial institutions avoid manually processing stacks of paper applications and provide streamlined service to customers without face-to-face contact.
"Community financial institutions serve markets not always served by the largest banks, so they provide critical capital to local businesses, and they have demonstrated their commitment to these communities once again by being the earliest lenders to activate the Paycheck Protection Program," said Abrigo President Jay Blandford. "Our SBA Lending solution gives CFIs an advantage in getting these critical loans to their local small businesses."
Abrigo will continue to keep financial institutions updated on the latest SBA PPP news through ongoing communication, articles, and webinars. Community financial institutions seeking more information and resources regarding the Paycheck Protection Program can visit Abrigo's SBA Lending Resources page. To learn more about Sageworks SBA Lending solution leveraging technology for PPP loans, talk to an Abrigo expert.
About Abrigo
Abrigo is a leading technology provider of compliance, credit risk, lending, and asset/liability management solutions that community financial institutions use to manage risk and drive growth. Our software automates key processes – from anti-money laundering to asset/liability management to fraud detection to lending solutions – empowering our customers by addressing their Enterprise Risk Management needs. Visit abrigo.com to learn more. Follow Abrigo on social media using @WeAreAbrigo.
SOURCE Abrigo
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