PROVIDENCE – One million eligible borrowers have applied for forgiveness on their Paycheck Protection Program loans under the U.S. Small Business Administration’s direct portal, the SBA announced on Sept. 22.
The SBA launched its Direct Borrower Forgiveness Portal on Aug. 4, allowing borrowers who received payroll relief loans of $150,000 or less to apply directly to have their loans forgiven, using the streamlined process.
Rather than having to obtain and then resubmit paperwork with an individual lender, borrowers can complete and submit the required paperwork online using a pre-populated form that takes an average of six minutes to complete, according to the SBA.
The 1 million forgiveness applications submitted represents 91% of those eligible under the 2020 program. Of loans approved in 2021, 65% of those eligible for direct forgiveness have applied.
The number of lenders participating in the direct forgiveness program has also more than doubled from 600 when it launched to more than 1,400.
Details on loan forgiveness by state or lender were not available.
Nancy Lavin is a PBN staff writer. You may reach her at Lavin@PBN.com.
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