NEW YORK–As of May 30, community development credit unions (CDCUs) had made more than $600 million in Paycheck Protection Program loans to their respective members, according to data compiled by Inclusiv. Separately, the SBA has introduced a new tool to connect small businesses with CDFI and MDIs.
“Community Development Credit Unions have worked tirelessly to provide small businesses, including many minority-owned businesses not prioritized by large lenders, access to PPP's forgivable loans,” Inclusiv said. “Congratulations to the community development credit unions that have been a lifeline to their members and their communities!”
Inclusiv reported that as of early June, 6,923 PPP applications had been sourced through 35 CDCUs, resulting in a total $622,440,538 in SBA approved loans.
Inclusiv reminded the deadline for PPP applications is June 30.
The organization further reminded the Small Business Administration Administrator has launched of a dedicated online tool for small businesses and non-profits to be matched with CDFIs, MDIs as well as traditional smaller asset size lenders in the PPP, called Lender Match.
Lender Match is an additional resource for pandemic-affected small businesses who have not applied for or received an approved PPP loan to connect with lenders
SBA Intro’s Online Tool
Separately, the SBA has introduced an online tool for small businesses and non-profits to find Community Development Financial Institutions (CDFIs), Minority Depository Institutions (MDIs), and other smaller asset-size lenders offering loans through the Paycheck Protection Program (PPP).
The Lender Match tool is designed for small businesses impacted by the coronavirus pandemic – that have not yet applied for or received an approved PPP loan – to connect with smaller lenders, including credit union, according to the SBA. The system will send leads to CDFIs and lenders with less than $10 billion in assets through June 30, after which it will be open to all participating SBA lenders, NAFCU reported.
"The SBA is focused on assisting eligible borrowers in underserved and disadvantaged communities and connecting them with forgivable PPP loans, especially before the June 30, 2020, application deadline," said SBA Administrator Jovita Carranza in a statement. "As communities begin to carefully reopen across the country, there are still many more opportunities to provide this assistance to businesses who have yet to access these forgivable loans. SBA is utilizing these partnerships with CDFIs, MDIs, CDCs, Farm Credit System lenders, microlenders and many other participating small asset lenders to ensure that access to this emergency funding reaches the most small businesses and their employees in need – a key priority for President Trump."
With approximately $129 billion of PPP funds remaining as of June 12, the SBA asked lenders to focus on underserved areas before the program sunsets June 30.