SBALenders.com Releases New List of Current Active SBA Banks
LOUISVILLE, Ky., April 8, 2020 /PRNewswire/ -- Today SBALenders.com released a compilation of top SBA banks current activation status of their Payroll Protection Program (PPP) SBA loan programs. The initial list of 20 SBA banks represent over 50% of the SBA loans processed in the U.S. last year, so each bank has a deep understanding of how the SBA works.
Most banks, credit unions, and other FDIC-insured financial institutions are eligible to participate in the SBA's PPP loan program not just banks who process SBA loans. However, many have been slow to roll out their programs leaving borrowers who fear the $349 billion allocated from Congress will run out scrambling. News reports indicate Treasury will go back to Congress this week seeking expedited additional funding of at least $200B.
Given the fluid and dynamic nature of the various PPP programs – some banks not starting yet, some starting but suspending due to volume, and some wanting to participate but needing Treasury approval (e.g., Fintechs like Paypal), SBALenders.com will continue to update its list of active PPP lenders with real-time monitoring of the websites of the big banks and large FinTechs and information supplied by our subscribers, who are reporting back their experiences. Our snapshot of the current status of top SBA banks PPP programs can be found at Apply for an SBA loan.
Conclusions drawn from the first few days of the PPP rollout from our perspective:
Bank of America continues to grab the lion's share of the dollars. Question will be do they expand outside their core customer base. BofA is over $30B so far.
Many banks are overwhelmed by the volume. Some did rollouts this weekend but pulled back due to tremendous volume. A few SBA banks are accepting business from non-customers but not many. Will be interesting to see if they can sustain it.
Most banks are focusing on their customers first before expanding out to others, so borrowers should check where their existing bank fist.
The PPP dollars will run out in April and many will not receive loans in this $349B tranche. The additional $200B Treasury request will help but a $549B program is unlikely to extend loans to all who are eligible. To cover every eligible small business may cost trillions, but there appears at the moment to be bi-partisan support for extending PPP as needed.
Note that SBALenders.com is not part of or associated with the SBA or the U.S. government. SBALenders.com is a resource that allows borrowers to find suitable SBA bank lending options.
Media Contact:
Darren King
[email protected]
502-509-6204
SOURCE SBALenders.com
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