Govt lending program on hold after reaching lending limit

Coronavirus

FILE – In this March 16, 2020 file photo, chairs hang stacked on empty tables at a closed restaurant in New York. Small business owners across the country waited again Wednesday, April 8, to receive loan money under the government’s $2 trillion coronavirus relief program. Despite a few reports that some companies had received their loans, the vast majority of the hundreds of thousands of owners who began applying for the loans on Friday were still in limbo. (AP Photo/Yuki Iwamura, File)

NEW YORK (AP) — The government’s paycheck protection loan program for small businesses is on hold. The Small Business Administration said Monday that it reached the $349 billion lending limit for the program. Thousands of small business owners whose loans have not yet been processed must now wait for Congress to approve a Trump administration request for another $250 billion for the program. Lawmakers have been haggling over whether to extend the program as it stands now, or whether to add provisions that among other things would help minority businesses. It’s unclear when they might reach an agreement that would allow loan approvals to continue.

Treasury Secretary Steven Mnuchin and SBA head Jovita Carranza on Wednesday urged Congress to approve more funds. Meanwhile, thousands of businesses are still applying, hoping to get loans when Congress approves an extension of the program.

Copyright 2020 Nexstar Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

COVID-19 Testing Vs. Confirmed Cases by State
41
Days
16
Hours
30
Minutes
06
Seconds

Mobile Apps DMB_1503428499636.png

Trending Now