Supporting Small Business Clients During Coronavirus
SBA Paycheck Protection Loan Forgiveness Application Process Update
Fifth Third is accepting PPP Forgiveness applications via our online self-service forgiveness application. Borrowers have ample time to apply due to the PPP Flexibility Act, which went into effect on June 5, 2020.
- If your payroll expenses for the covered period are greater than your loan forgiveness amount, it isn’t necessary to provide documentation for mortgage, rent or utility expenses.
- Borrowers must begin making principal and interest payments 10 months after the last day of their covered period, or when the SBA remits loan forgiveness payment to the Lender (Fifth Third) should there be a remaining balance due.
- If you received your loan prior to June 5, you have the option to choose an 8-week or 24-week covered period.
- If your loan was funded on or after June 5, you automatically receive a 24-week covered period.
- List covered period dates on your application and provide documentation for the number of weeks it took to deplete the funds.
- Borrowers may apply for forgiveness any time on or before their PPP loan maturity date.
When Can I apply?
In order to ensure the best possible customer experience, borrowers will receive an email with logon instructions when they are able to access the online application. We will be sending these emails in waves because we believe this phased approach will ensure the best possible customer experience as we focus on each client’s specific needs. The links included in the email should not be shared with others; not all borrowers have the same access date for the online application.
How Can I Prepare
To help you prepare, Fifth Third has emailed all primary signers a link to the SBA PPP Loan Forgiveness Tool Kit with valuable resources, recorded training, and live webinars. Please review these resources, register for live webinars, and gather documentation required by the SBA to validate the way you used the PPP loan proceeds in advance of submitting your online forgiveness application.
Additional tips to help you navigate the forgiveness application process:
- If the primary signer has not received emails with a link to the SBA PPP Loan Forgiveness Tool Kit and reminders of upcoming webinars, please check spam filters +/or contact your banker for additional assistance.
- If the primary signer has received logon instructions to the online self-service forgiveness application, and needs help with basic navigation, please call 877-579-5300, Monday through Friday, 8 a.m. to 5 p.m., ET.
- Continue to check SBA.gov and Treasury.gov for the most up-to-date guidance on the application process.
Thank you for choosing Fifth Third Bank. We appreciate the confidence you’ve placed in us, and we look forward to continuing to serve you.
(Fifth Third Bank will not pay fees or other compensation to an agent who represents and/or assists a borrower in applying for a Paycheck Protection Program loan absent a pre-loan approval written agreement between the agent, the borrower, and Fifth Third Bank.)
How the Small Business Administration1 is Helping Small Businesses
The SBA direct lending program is in the form of low interest rate loans with flexible repayment terms, the eligibility for which will be determined by the SBA on a case-by-case basis.
SBA Disaster Assistance overview:
- Loans up to $2,000,000.
- 3.75% fixed interest rate on loans to for-profit companies.
- 2.75% fixed interest rate on loans to non-profit companies.
- Up to 30-year term and amortization (determined on case-by-case basis).
How to apply for the SBA Disaster Assistance:
- For more information on the SBA's assistance to small businesses, visit www.SBA.gov/coronavirus.
- If you state is on the approved list, apply today at the sba.org website: https://disasterloan.sba.gov/ela/Account/Login.
- You'll enter your company information and describe the impact of the pandemic on your business.
- If your state is not showing as a approved yet, continue to check this list often, https://disasterloan.sba.gov/ela/Declarations/Index.
- Additionally, the SBA continues to assist small businesses with counseling and navigating their own preparedness plans.
Additional Resources for Businesses
Fifth Third is committed to helping its communities through our extensive network of partners. Together, we are able to help small businesses and boost economic development in underserved communities throughout our footprint.
In January of 2016, Fifth Third began delivering on its five year community commitment of $32B; $11B of which was earmarked for small businesses. To date, we have funded $8B in programs that facilitate the growth of local businesses. Through our partnerships with Community Development Financial Institutions (CDFIs) and other nonprofit organizations, we continue to deliver a wide range of resources geared towards educating entrepreneurs and families on the innovative ways that they can access traditional forms of capital such as micro lending and small dollars loans through the Small Business Administration.
Fifth Third believes small businesses are the heart of our communities. We encourage you to reach out to the nonprofit organizations in your area for assistance. Together, we can connect you to resources you need to start, grow and sustain your business operations.
To find out more about the small business resources and programs in your area, please review them here.
Also, a list of available personal state assistance programs can be reviewed here.
Tips to Help You and Your Business Operation During COVID-19
Be Transparent About Your Business
Let your customers know you are going through this with them. For example, share on your business’s social media account(s) how much you appreciate your customers, and thank them each day as they continue to support your business.
Be Extra Vigilant Online
During times of uncertainty, it’s natural to seek information and answers through the internet and social media. Unfortunately, criminals will often use that to their advantage. While not specific to Fifth Third, our team has noted the occurrence of phishing—when a data thief impersonates a legitimate person or company via email to bait the recipient into reporting confidential information or gaining unauthorized access to systems. In addition, we have seen reports of malware (malicious software) disguised as a coronavirus map. Watch for email senders using suspicious or misleading domain names. Inspect URLs carefully (without clicking on the link) to make sure they’re legitimate and not imposter sites.
Follow Credible Advice
To obtain reliable information, stick to credible resources like the Centers for Disease Control (www.cdc.gov), National Institutes of Health (www.nih.gov), World Health Organization (www.who.int) and other well-known local and national news reporting agencies.
Use Digital Tools When You Can
Make an appointment to talk to your banker when you have a complex situation. But save time and use online banking services as often as you can. For example, consider depositing checks through your Fifth Third mobile app2.
As always, thank you for choosing Fifth Third.