25-YR FIXED RATE
2.93%
20-YR FIXED RATE
2.85%
10-YR FIXED RATE
2.61%
REFINANCE RATE
+0.0348%
relief for small businesses
economic aid act
sba fee eliminations
What are the Fees Being Eliminated?
On December 27, 2020, the Coronavirus Aid, Relief and Economic Security Act (the CARES Act) was enacted to provide emergency and immediate national economic relief and assistance across the American economy, including to small businesses.
With respect to each 504 project for which an application is approved beginning on December 27, 2020, and ending on September 30, 2021, the following 504 fees are eliminated to the extent the cost of the fee eliminations is offset by appropriations (in other words…when the money set aside by Congress is used up):
Key Details:
- The Third Party Lender Fee Participation Fee – 0.5% of the first mortgage
- The CDC processing fee – 1.5% of the net debenture proceeds
See SBA Procedural Notice 5000-20085 for more details.
Relief provided in the Economic Aid Act is not a loan or deferment – the payments are simply made by SBA on behalf of the borrower. Payments made by SBA under the CARES Act and Economic Aid Act will also not be treated as taxable income for federal income tax purposes. State tax implications may apply – always check with your tax advisor.
Download Our Quick Reference Guides:
Guide to SBA Payment Subsidies
SBA Fee Elimination -May 2021
Economic Aid Act
Implementation of Fee Elimination…
THIRD PARTY LENDER FEE
Moving forward through September 30, 2021 (or, as long as funds remain available), this fee will be waived.
For 504 loans approved December 27, 2020 through the date of SBA’s procedural notice (January 27, 2021), any Third Party Lender fee already remitted to SBA will be refunded by SBA and the refund will sent to the Third Party Lender.
See SBA Procedural Notice 5000-20085 for more details.
CDC PROCESSING FEE
Moving forward through September 30, 2021 (or, as long as funds remain available), this fee will be waived.
For 504 loans approved December 27, 2020 through the date of SBA’s procedural notice (January 27, 2021), any CDC Processing fee already remitted to Growth Corp will be refunded to the borrower.
See SBA Procedural Notice 5000-20085 for more details.
As with any regulations, case-specific rules and guidelines may apply.
Please contact us if you have any questions about your eligibility.
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