PPP Loan Forgiveness
As of Jan. 19, the SBA has released additional PPP guidance and clarification on PPP loan forgiveness. Here are some of the highlights.
- Additional operations expenditures, supplier costs and worker protection expenditures are now eligible for forgiveness.
- Borrowers may submit a forgiveness application any time on or before the maturity date of the loan if they have used up all the proceeds for which they are asking forgiveness.
- Second-time borrowers of $150,000 or less must submit their First Draw forgiveness applications before or simultaneously with their Second Draw forgiveness applications.
- Borrowers of $50,000 or less are exempt from any reductions to the loan forgiveness amount.
- For borrowers that apply for loan forgiveness, payments are deferred until the SBA provides Andover State Bank with the loan forgiveness balance, or a decision not to forgive the loan.
For details, see the SBA’s Interim Final Rule on Loan Forgiveness Requirements. The PPP loan process is continually changing. Please check back here for updates.
There are three different loan applications to choose from. Each one will contain instructions, a list of documents to submit with your application, and a list of documents you must keep on file for six years after the date the loan is forgiven or repaid in full.
PPP Loan Forgiveness Application Form 3508S
- For loans totaling $150,000 or less.
- Fewer calculations and supporting documents required.
- To fill out the application: Download the PDF, open it in your PDF viewer, and click Fill & Sign from the tools pane on the right. After completing the application, save it until you’re ready to upload all your documents.
PPP Loan Forgiveness Application Form 3508EZ
- For loans greater than $150,000 that meet certain exemptions from maintaining FTEs or wages.
- Must submit supporting documents to Andover State Bank.
- To fill out the application: Download the PDF, open it in your PDF viewer, and click Fill & Sign from the tools pane on the right. After completing the application, save it until you’re ready to upload all your documents.
PPP Loan Forgiveness Application Form 3508
- For borrowers who cannot use Forms 3508S or 3508EZ.
- Must submit supporting documents to Andover State Bank.
- To fill out the application: Download the PDF, open it in your PDF viewer, and click Fill & Sign from the tools pane on the right. After completing the application, save it until you’re ready to upload all your documents.
Required Documents
To help you get started, here is a short list of documents you may need to round up. See your application’s instructions for details.
- Bank statements showing employee compensation
- Tax forms that overlap covered periods
- Documentation of contributions to employee insurance and retirement plans (receipts, canceled checks or account statements)
- FTE documentation
- Documentation of payments toward mortgage interest, rent, lease and utilities
Andover State Bank will have up to 60 days to review these documents. After our review, the SBA has an additional 90 days to reject or concur with our decisions. All interest paid on forgiven loans will be the SBA’s responsibility, so this delay will not cost you. We will keep you updated and submit your documents as soon as we can.
Instructions for Uploading All Your Documents
- Accept Electronic Document Agreement.
- Click Upload Documents below.
- Enter your email, name and company.
- Drag and drop your application and required documents.
- Click the blue Upload button.
We’re always here for you.
If you have any questions or concerns about PPP loan forgiveness, please don’t hesitate to get in touch.
