Quick Guide for SLFCU Members with an SBA Paycheck Protection Program Loan
Update As of 2/1/2021
SLFCU is now accepting & submitting PPP Loan Forgiveness applications to the Small Business Administration (SBA). To apply, please complete this application then log in to SLFCU online or mobile banking and submit your application using the Secure Messaging widget.
The following are three separate Loan Forgiveness applications. Please choose the form which best fits your borrowing situation.
- Form 3508 S - PPP for loans of $150,000 or less.
- Form 3508 EZ - PPP for loans of $150,000 or more. (Must be able to affirm that borrower did not reduce the annual salary/wages of any employee by more than 25%.)
- Form 3508 for loans of $150,000 or more and cannot meet criteria for application above.
As always, we are here to help you. To ensure the correct person gets back to you in a timely manner, please contact us with any questions concerning this process by sending us a secure message in online or mobile banking. We appreciate your continued patience.
Note: This information will be updated as we receive additional guidance from the Small Business Administration. As every borrower’s situation is unique, SLFCU strongly advises that all participating members carefully read the U.S. Department of the Treasury’s PPP FAQs.
IMPORTANT CHANGES TO PPP FORGIVENESS LOAN CRITERIA AS OF 6/15/2020:
- Payroll vs non-payroll expense ratios have changed from 75% payroll expense/25% non-payroll expense to 60%/40% respectively.
- The list of non-payroll eligible expenses did not change: rent, mortgage payments, utilities, and interest on loans.
- The time period to use funds has been extended from 8 weeks to 24 weeks, no later than December 31, 2020 (if you received funds by 6/30).
- The deadline to rehire all workers has changed from June 30, 2020 to December 31, 2020.
- The requirements to rehire workers have been modified. A business can still receive forgiveness if any of these scenarios apply:
- Unable to rehire an individual who was an employee on or before February 15, 2020.
- Able to demonstrate an inability to hire similarly qualified employees on or before December 31, 2020.
- Able to demonstrate an inability to return to the same level of business activity the business was operating at prior to February 15, 2020.
- The repayment term for unforgiven loan amounts has been extended from 2 years to 5 years at 1% interest. Loans funded prior to June 5, 2020 remain at the 2-year repayment term.
- The timeframe for when a business can apply for forgiveness has changed from within 6 months of receipt of loan to within 10 months of the last day of the "covered period" (i.e., the time period permitted to spend the money, for example, 24 weeks).
We want you to be successful in getting your loan forgiven. Please be sure to read the following suggestions in anticipation of receiving the final application.
- Review the U.S. Department of the Treasury’s PPP FAQs.
- Maintain a separate spreadsheet of expenses and other specific documentation, including:
- Payroll records
- Copies of cancelled checks
- Bank statements with ACH information
- Utility bills
- Mortgage statements
- Lease agreements
- If you have specific questions regarding your application, please send us a secure message in online banking.
SLFCU will contact you when we receive the updated SBA PPP loan forgiveness application and guidance from the SBA and the U.S. Department of the Treasury.
PPP LOAN FORGIVENESS SCAM ALERT
We have recently received reports that some Sandia Laboratory Federal Credit Union members with PPP loans pending forgiveness may have received letters, emails, and/or other communications from companies not affiliated with SLFCU regarding loan repayment forgiveness.
Please do not engage with third parties offering loan forgiveness application help or who request your financial data. If you need assistance with your PPP loan, please contact SLFCU directly. We believe these communications may be fraudulent attempts to access member accounts, and the senders are not associated with SLFCU in any way.
It is possible that calls or emails could appear to be from an SLFCU number or email address. Please do not provide any personal information to them. Instead, please call SLFCU directly to let us know about them.
SLFCU is the only financial institution that can facilitate PPP loan forgiveness applications.
If you are in doubt of any correspondence you receive, please contact SLFCU immediately through our contact center at 505.293.0500 or 800.947.5328, or send a secure message in online or mobile banking.Go to main navigation