PPP Loan Forgiveness
FOR ALL PPP PARTICIPANTS:
At the end of October, your church or organization will be receiving, by email, a loan addendum for electronic signature. The SBA recently recognized that there was significant confusion concerning due dates, covered periods, and forgiveness rules. Accordingly, they are allowing loan modifications to give everyone plenty of time to use their PPP proceeds and to file for forgiveness.
This addendum will extend your deadline to seek loan forgiveness (or begin repayment), until June 19, 2021. Accordingly, we are advancing everyone’s due dates to that date. No payments will be due until then.
Important Note: This addendum will be sent to the same person for signature as the original loan document. If this person has changed for any reason – please notify us by email at email@example.com.
FOR CHURCHES & ORGANIZATIONS WITH PPP LOAN UNDER $50,000:
Good news – The SBA has implemented a much simplified procedure for your PPP loan forgiveness! The form is relatively easy to complete and has a less rigorous documentation process (no spreadsheets or difficult calculations). You can download that form here: PPP Loan Forgiveness Application Form 3508S.
Steps to complete the forgiveness process:
1. Download and complete the new forgiveness form.
2. Have the appropriate party sign the form and scan or photograph it.
3. Gather whatever files you’ll need to support your application.
4. Drag and drop your electronic files using the the secure “drop box” below (or email to firstname.lastname@example.org).
5. We will review your application for completeness.
6. We will then submit your forgiveness application to the SBA .
Do not try to submit or send these items the SBA yourselves! There is a special way in which they are to be submitted, and we will also want to review them so you have the best chance of success (much like the original application for the loan).
FOR CHURCHES & ORGANIZATIONS WITH PPP LOAN OVER $50,000:
While the SBA has not taken this process simplification beyond the $50,000 mark (yet), we remain hopeful that they may yet increase this further. Therefore, we ask you to be patient and wait a bit before having us formally submit your forgiveness application. To preserve your flexibility to do this, please be sure and sign the new addendum as outlined above.
FOR CHURCHES & ORGANIZATIONS THAT STILL NEED MORE FINANCIAL ASSISTANCE:
We remain hopeful that after the November elections are over (no matter which way they fall), Congress will be much more amenable to greater economic assistance perhaps including another round of PPP-like financing for our churches and organizations.
However, TUMCU still stands ready to assist you with low-interest emergency loans should they become necessary. Additionally, we have recently added Rev. Burt Brooks to our team to assist churches with their stewardship efforts. His services are free to our members, and we highly recommend you contact him for assistance, which can be done at https://www.tumcu.org/stewardship/.