Wait to Close and Fund PPP Loans
We are cautioning banks NOT to close and fund PPP loans until the SBA issues guidance on the closing and funding procedures. We still do not know what forms/language to use, whether the loans can be interest only or need to be fully amortized, or whether there are limits on default rate. The SBA has made it clear that banks must wait until they get a loan number from the SBA, and the information about how to document, close and fund
DISCLAIMER: The information provided is for general informational purposes only. This post is not updated to account for changes in the law and should not be considered tax or legal advice. This article is not intended to create an attorney-client relationship. You should consult with legal and/or financial advisors for legal and tax advice tailored to your specific circumstances.