What Happens If I Calculate My PPP Loan Wrong?

How long do you have to spend the PPP loan?

eight weeksHow long do I have to spend PPP money.

According to the Treasury Department, you must spend PPP funding within eight weeks from the date the funding hit your bank account..

What happens if you get two PPP loans?

No. If you already received a PPP loan, you won’t be able to get a second one. However, if you have multiple businesses with different tax IDs, you can get PPP loans for your different businesses.

Can I give my PPP loan back?

If you return your PPP loan during the Safe Harbor window, you effectively never had the loan. After that, if your loan hasn’t been forgiven, you may be considered to have made a prepayment (check with your lender to be sure). There are no prepayment penalties on PPP loans.

How do I check my PPP loan status?

Once logged in to the portal, you can access Lendio’s live chat option to ask about your application status. You can also call Lendio directly at: (855) 853-6346. Note that this option for checking your loan application status is only available if you submitted your PPP loan request through SBA.com.

How can I get my PPP loan forgiven?

Use the following tips on how to make sure your PPP loan is forgiven to get started:Use it for eligible expenses.Keep your employee headcount up.Don’t reduce an employee’s wages by more than 25%Document everything.Talk with your lender.Apply for loan forgiveness.

Do I have to spend all of my PPP loan?

Unfortunately, no. You need to spend the PPP on the four main categories: payroll, utilities, rent, and mortgage interest.

How many PPP loans have been approved?

The SBA released other details about the program Monday, including: It has approved 4.9 million loans for a total of more than $521 billion. Companies said that the funding supported more than 51 million jobs.

Is the PPP loan really forgivable?

The loan will be fully forgiven if the funds are used for payroll costs, interest on mortgages, rent, and utilities (due to likely high subscription, at least 60% of the forgiven amount must have been used for payroll). PPP loans have an interest rate of 1%. Loans issued prior to June 5 have a maturity of 2 years.

What happens if I don’t spend all of my PPP loan?

If you don’t spend at least 60% of your PPP loan on payroll costs then your loan forgiveness will be reduced. … Incurred, which means the payroll costs were incurred during the forgiveness window but the pay date fell after the end of the forgiveness window.

How long does it take for SBA to approve a PPP loan?

The SBA promises a turnaround time of 36 hours for their express loans. But, that doesn’t include the time it takes for the lender to approve the loan, which could tack on another few weeks. So, instead of 60-90 days, you’re looking at 30-60 days for the SBA loan processing time when all is said and done.

Do PPP loans have to be repaid?

Yes. PPP loans (the full principal amount and any accrued interest) may be forgiven, meaning they do not have to be repaid. If you do not apply for forgiveness, you will have to repay the loan. … Businesses have up to 24 weeks from the date you received the loan to spend the funds and be eligible for loan forgiveness.