TOPIC: SBA Lending

SBA Release of PPP Data May Lead to Uptick in Attacks

On Monday, the U.S. Small Business Administration (SBA) released loan data for large Paycheck Protection Program (PPP) loans made to businesses over the past few months.  The data released contains some concerning information that all financial institutions (FIs) and their business customers must now take into consideration to protect against general fraud, targeted phishing and other types of social engineering, and corporate account takeover (CATO.)

The data released by the SBA includes one very large spreadsheet of all PPP loans exceeding $150,000 with loan amount ranges, names of business recipients, associated address details, and the most concerning element: the lender.  Your customer names along with their lending partner.  What could possibly go wrong?  See our blog for more information:

    How to Manage Credit Risk in a Recession: A Series Examining Best Practices | Webinar Series

    Credit risk management is a cornerstone of community banking. How can your financial institution grow while also effectively managing the risk in the portfolio? Many bankers are asking this question right now, given that this could be their first recession in banking or because this recession is so different than previous ones due to the COVID-19 pandemic.

    In this 4-part webinar series, join credit risk experts as they walk through best practices for operating in this unique credit environment.

    Session topics are: 
    • Part 1: Credit Memo (7/22) 
      • How does an economic downturn alter the credit memo’s content and process?
      • What are the right questions to ask and how can those answers be factored into future recommendations?
    • Part 2: Loan Grading (7/29)
      • How should institutions tweak loan grading in the face of a recession?
      • How should specific sectors be treated?
    • Part 3: SBA 7(a) Lending (8/5)
      • How can this program be used to hedge credit risk?
      • What would an institution need in order to get going?
    • Part 4: Loan Pricing (8/12)
      • Should pricing vary by loan type?
      • How should strategies change during a recession?

    Register for the series. 

      SBA Adverse Action Notice

      VP at a bank ($468MUSA)
      I am new to compliance and I have a situation where an SBA loan application was submitted 05/11/20.  The customer was verbally notified 06/22/20 that the loan was denied and the reasons why, but the account officer did not request an adverse action notice until 06/29/20.  Would this notice be considered out of compliance because they were notified verbally and in writing later than 30 days from the application date?

      Thank you in advance!

        Virtual Conference | ThinkBIG: Manage Risk. Drive Growth. | Sept. 22 - 23

        Registration is now open for our annual conference ThinkBIG: Manage Risk. Drive Growth. As we keep public health in mind, we've switched to a fully virtual format this year, bringing together industry thought leaders and experts, financial institution peers, CPAs, auditors, and regulators for two days of compelling educational content and networking.

        This conference will cover a variety of topics in CECL and portfolio risk, lending and credit risk, and ALM. Register today for the industry-leading conference that brings together over two decades of knowledge and experience (combining the former Sageworks Summit and MST National CECL Conference).

        Register now
        Sept. 22 - 23 

          Paycheck Protection Program Forgiveness and Administration | Product Demo

          Wednesday, June 2 | 1 p.m. ET/ 12 p.m. CT
          Save your seat

          The forgiveness process for Paycheck Protection Program loans has been a major point of confusion for many banks and credit unions. Join us for a product demonstration to learn how our Paycheck Protection Program Forgiveness and Administration solution can help automate the process.

          Register here

            PPP Forgiveness Timeline: What Lenders Need to Know

            Lenders who worked excessive hours to help small businesses access Paycheck Protection Program (PPP) loans are now scrambling to incorporate the new SBA Form 3508 PPP Loan Forgiveness Application into their processes. The PPP forgiveness process is a major concern among community financial institutions. But there’s a major difference between the PPP forgiveness and administration phase and the PPP origination process: Lenders shouldn’t face the same compressed timeframe they did when they raced to access finite funding – especially in round one of the PPP.

            Read the full blog to get the latest information on the forgiveness timeline:

              State of the Financial Services Industry Survey - Last Chance for Participation

              We're polling hundreds of financial institutions to better understand concerns in today's changing economy. The survey areas covered include the Paycheck Protection Program, M&A, loan workouts, CECL, and more. With your insights, Abrigo can create educational resources catered to your top priorities:

              You'll be entered to win a Starbucks gift card just for completing the 5 min. survey.