REVISED - Your Paycheck Protection Program Virtual Loan Officer - Terms of your Loan

Описание: So you’ve now applied for a loan under the Paycheck Protection Program (PPP). You have provided that application and supporting documents to your bank. Your bank will now submit those documents to the Small Business Administration (SBA) for approval. Once they have that approval, they will prepare loan documentation for phase one of this, getting your loan. As your Virtual Loan Officer, I am going to explain how that is going to work, and further explain the terms of your loan from the day you get it to full repayment and hopefully between there, a good amount of loan forgiveness.

The documents of your loan are going to be sent to you through your email via Docusign. Before you sign your documents, we want to make sure you understand your loan completely. How it will be dispersed, how payments are going to be made and what you are going to have to provide for documentation so that part or hopefully all of your loan can be forgiven.

There is a calculation in determining how much of that loan can be forgiven. The limiting factor will be how much payroll you have spent in those 8 weeks. 75% of those funds must be directed towards payroll expenses. The remaining 25% can go towards mortgage interest, rent and utilities.

The terms of the PPP loan are favorable. The loan amount will come directly off your application. The rest of the terms will be the same for every borrower. The interest rate is 1%. The term is 2 years fully amortized. Payments will be deferred for the first 6 months leaving 18 months of equal payments. There will be no collateral and the guarantee is from the US Government.

Thank you for allowing Sterling State Bank to help you through this difficult time and processing your Paycheck Protection Program Loan through the SBA.

For information on the Paycheck Protection Program from the SBA, please visit https://www.sterlingstatebank.com/bus...

Visit our website https://www.sterlingstatebank.com/ Sterling State Bank is located in Minnesota. Member FDIC

Disclaimer: These videos are not to be construed as legal advice. They are for informational purposes only about the Paycheck Protection Program. This program is changing daily. This video was prepared on April 7th, 2020. Please take the info to your legal adviser or financial adviser so they can give you up to date information and information specific to your business.