NOTICE: Beginning at 9 a.m. EST / 8 a.m. CST on January 19, 2021, Regions will reopen its PPP Portal for new first draw and second draw PPP Loan applications. When we reopen, we will only be accepting applications from eligible Regions customers who established a business banking relationship with Regions on or prior to December 1, 2020.
At Regions, we are committed to helping your business navigate an uncertain economic environment during the COVID-19 crisis. We understand how important the PPP is for you and your business.
On December 27, President Trump signed into law a supplemental appropriations bill that provides over $900 billion in additional COVID-19 relief, including $284 billion in added Paycheck Protection Program (PPP) funds for businesses and organizations needing either a first loan or a second round of funding.
Major aspects of the original PPP guidelines will remain in place.
Qualifying small businesses will continue to be eligible to receive funds under the PPP in the form of forgivable loans.
Key changes in the new law include an additional application window for first-time borrowers and the opportunity for qualifying borrowers to receive a second PPP loan. The SBA has stated that, initially, only community financial institutions will be able to offer first-time PPP loans on Monday, January 11, and second-draw PPP loans on Wednesday, January 13. The SBA recently announced that the PPP will open to all participating lender, including Regions, on January 19.
Beginning at 9 a.m. EST / 8 a.m. CST on January 19, Regions will reopen its PPP Portal for new first draw and second draw PPP loan applications.
When Regions resumes accepting PPP applications, we will only be accepting them from eligible Regions customers who established banking relationships with Regions on or prior to December 1, 2020. You must have a Regions deposit account before any PPP loan funds can be disbursed through Regions. If you don't have a Regions deposit account, speak to your Regions relationship manager or make an appointment at your local branch.
Highlights of the legislation include the following:
Creates a PPP second-draw loan up to $2 million for smaller and harder-hit businesses or organizations. To qualify, borrowers must have no more than 300 employees, must have used or will use the full amount of previous PPP funds, and must demonstrate certain reductions in gross receipts.
Simplifies the loan application process for second-draw loans under $150,000 and streamlines the forgiveness application process for all loans under $150,000, including those that were made before the date of enactment of the new law.
Excludes PPP funds from gross income for tax purposes and clarifies that tax-deductible expenses paid with forgiven PPP loan proceeds will be allowed. This applies to PPP loans made during the original round of funding earlier this year as well as during a second round of loans.
Expands expenses eligible for forgiveness to cover operating expenses, property damage costs, supplier costs, and investments made to comply with safety guidelines for protecting workers against COVID-19.
Expands eligible borrowers to include qualifying 501(c)(6) nonprofit organizations.
Since the inception of the PPP, the U.S. Treasury and the SBA have continually modified guidelines regarding the PPP. On January 8, the SBA released new PPP loan applications and related guidance for both first-time and second-draw PPP borrowers that reflect changes from the recently enacted legislation. We recommend you continue to watch for updates regarding PPP guidelines, including how you may use the loan proceeds and which expenses may be paid using the proceeds.
You can find this information on the SBA website or the U.S. Treasury website. You should also study the CARES Act, Paycheck Protection Program Flexibility Act (PPPFA), recently enacted legislation and SBA rules carefully. You should consult with your attorney, accountant or other professional advisor(s) as you consider use of funds and your particular situation.
Application processing times, application authorization, and availability of funds are not guaranteed and are dependent on, among other things, SBA systems availability, processing, and guidelines as well as PPP funding availability.
Apply for PPP Loan Forgiveness
We invite all customers with PPP loans through Regions to apply for loan forgiveness through our Forgiveness Portal, a digital tool that makes it easier to complete and submit the application and the required supporting documents based on PPP loan size.
PPP Loan Forgiveness Details
PPP Loan Forgiveness Portal
PPP Loan Forgiveness FAQs
PPP Loan Forgiveness Resources
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