American Financial Services Association

AFSA, Joint Trades Urge Congress to Simplify PPP Loan Forgiveness Process

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AFSA, Joint Trades Urge Congress to Simplify PPP Loan Forgiveness Process

This week AFSA joined other trade groups in urging Congressional leaders to pass legislation that would streamline the Paycheck Protection Program (PPP) loan forgiveness process. The PPP provided millions of small businesses with much-needed economic relief during the COVID-19 pandemic. As small businesses face the challenges of re-opening, they are also dealing with the time-consuming and costly process of applying for PPP loan forgiveness.

In the letter, the joint trades request Congressional leaders to support S. 4117, The Paycheck Protection Program Small Forgiveness Act, and H.R. 7777, the Paycheck Protection Small Business Forgiveness Act. These bills would streamline the loan forgiveness process by forgiving PPP loans of less than $150,000 upon the borrower’s completion of a one-page forgiveness document.

“PPP loans of $150,000 and under account for 87 percent of total PPP recipients, but less than 28 percent of PPP loan dollars. Expediting the loan forgiveness process for many of these hard-hit businesses would save more than $7 billion and hours of paperwork,” the groups wrote.

September 21st, 2020 by