Credit unions were told Wednesday by their federal regulator that from 4 p.m. to 11:59 p.m. ET this day, the Small Business Administration (SBA) Paycheck Protection Program (PPP) will only accept loans from lending institutions with asset sizes of less than $1 billion.
The agency said the reserved processing time was to ensure access to the PPP, created to ensure liquidity for small businesses amid the coronavirus pandemic, “for the smallest lenders and their small business customers.”
In its notice to credit unions, the National Credit Union Administration (NCUA) said also that:
- lending institutions with asset sizes less than $1 billion will still be able to submit PPP loans outside of this time frame; and
- lenders with asset sizes greater than $1 billion will be able to submit loans outside of Wednesday’s 4 p.m. to 11:59 p.m. ET reserved processing time.
“This reserved processing time applies today April 29, 2020,” the NCUA said. “SBA and Treasury will evaluate whether to create a similar reserved time again in the future.”