We continue to invite all customers with a PPP loan to request Forgiveness, generally starting with those who received funding first and who are ready to submit using SBA Form 3508EZ or 3508.
Then, are banks accepting PPP forgiveness applications?
Lenders will continue accepting PPP forgiveness applications so long as borrowers have PPP loans. It’s recommended you apply for forgiveness before you need to make your first PPP loan payment.
Accordingly, do I qualify for 3508EZ?
In order to fill out this form, you’ll need to meet one of the following requirements: You are self-employed and don’t have employees. You have employees but did not reduce your employee count or hours, and did not reduce employee wages by more than 25%
How long does PPP forgiveness take?
The lender has 60 days from the time they receive a complete forgiveness request to make a decision and pass it along to the SBA. The SBA, in theory, then has 90 days to make their decision. Early on, the forgiveness process ‒ even for smaller loans ‒ was taking a long time; three months, often more.
Here’s how Forgiveness will work for PPP loans processed through Chase. It is your obligation, as the borrower, to understand the SBA’s rules. You’ll need to use either the 3508EZ or 3508 form. … If using the full 3508 form, complete the PPP Schedule A Worksheet first before starting your Forgiveness request with Chase.
Chase Bank. Chase is accepting applications for first and second PPP loans through its website. You need to be a current Chase business checking account holder, or you need to be willing to open a Chase business checking account to be eligible to apply.
We aren’t accepting new PPP applications because SBA PPP funds have run out. If your application is in progress, we’ll email you with an update when we know more.
WHAT HAPPENS IF YOU MISS THE APPLICATION DEADLINE. If you don’t apply for loan forgiveness within 10 months after the last day of your covered period, you’ll be required to start making payments to your PPP lender at 1 percent interest, which started accruing when the loan was made.
Missing the deadline will initiate monthly payments with interest. After the deadline, borrowers may still seek forgiveness up until their loan matures, which could be either two or five years.
Who can use Form 3508EZ? Qualifying borrowers can use Form 3508EZ, the simplified version of Form 3508, to apply for PPP forgiveness. You can use this form if you meet one of the following requirements: Are self-employed and have no employees.
Who can use Form 3508S? If your PPP loan amount was less than $150,000, you can use the forgiveness Form 3508S. However, you are ineligible to use Form 3508S if your business has a contract or agreement of affiliation with other businesses and the PPP loan total across all affiliates is greater than $2 million.
However, you’ll have to meet at least one of the following three criteria to be eligible to use the 3508EZ form: You are a self-employed individual, an independent contractor, or a sole proprietor who had no employees at the time you applied for a PPP loan.