PPP Loan Forgiveness: Challenges For Lenders

Co-author by Guidehouse Financial Services Kathryn Rock, CPA and Christopher Sicuranza

 Since April 2020, more than 5,400 lenders across the United States have faced common challenges arising from the Paycheck Protection Program (“PPP”). Participating lenders have been charged with interpreting a slew of evolving regulatory guidance while vetting millions of borrower applications. Participating lenders have also been tasked with responding to information requests from Congress, federal regulators and law enforcement authorities investigating potential fraud and abuse in the emergency loan program. Yet another challenge looms on the horizon as lenders determine whether and to what extent disbursed PPP loans are eligible for forgiveness.