Late in the evening on April 2, the SBA issued an
Interim Final Rule on the PPP (the April 2 Rule) and published
a revised
Application form (Revised Application). While SBA and Treasury
continue to say that loans will be provided today, April 3, many
banks will need time to digest this additional guidance from SBA
and stand up their process for accepting applications and issuing
PPP loans.
A few highlights of the April 2 Rule and Revised
Application:
- Interest Rate = 1%:
The CARES Act originally provided for a maximum interest rate of
4%; the earlier guidance provided for a 0.5% interest rate and the
April 2 Rule provides for 1% interest rate for any amounts not
forgiven under the PPP.
