Thread Options
#2253373 - 05/03/21 06:07 PM Denying a PPP loan application
CC Poppy Offline
Junior Member
Joined: May 2006
Posts: 25
If the SBA denies a PPP loan application, who sends the notice of denial, the SBA or the bank through which the application was submitted? If it's the bank, do we have to include information on the steps for reconsideration from the SBA or can use our standard AA form?

Return to Top
Lending Compliance
#2253374 - 05/03/21 06:16 PM Re: Denying a PPP loan application CC Poppy
rlcarey Online
10K Club
Joined: Jul 2001
Posts: 78,605
Galveston, TX
You are the lender - the SBA just guarantees the loan. The only time SBA would deny a PPP application is if the borrower had either a delinquent or default status on a prior SBA loan. Otherwise, SBA’s application system would approve the application as soon as the lender submits it.
The opinions expressed here should not be construed to be those of my employer:

Return to Top

Moderator:  Andy_Z