SBA PPP Loan Forgiveness Updates

SBA Details on PPP
25 Feb 2021

In January, 2021, the SBA updated the 3508S Loan Forgiveness Application which allows for expanded use on PPP loans up to $150,000. 

The SBA has clarified the following information:

  • Beginning March 5, 2021, SBA will require all loan forgiveness applications to use the new 2021 version of this 3508S.
  • The changes to the 3508S form will make this a primary form for most AgCountry PPP borrowers. 
  • The new form and its requirements simplify the forgiveness application process with fewer calculations and no requirements for supporting documents. 
    • NOTE: Unless it is being used to request forgiveness of a Second Draw loan and borrower did not yet provide documentation for the 25% gross receipts.
  • In addition to updating the 3508S, there are updated versions to the 3508EZ and the 3508 applications. 
    • These are intended to be used for either a First Draw or Second Draw loan forgiveness.  

AgCountry Requirements Effective Immediately:

  • AgCountry asks borrowers to only use the 2021 forms when applying for PPP loan forgiveness
  • Because of the broader use and simplified 3508S application, AgCountry will only be accepting paper loan forgiveness applications going forward. 
    • AgCountry will not be utilizing the electronic portal to accept applications.

Borrowers seeking loan forgiveness must complete the following steps:

  1. Download the appropriate SBA application from the sba.gov website.
  2. Provide completed paper form to your Loan Officer at your local branch office for processing.
 
No Next Items