April 15, 2020
State Bankers Associations Urge Congress To Increase PPP Funding
MBA was among 51 state bankers associations today that wrote
to House and Senate leaders urging them quickly increase funding for the Small Business Administration’s Paycheck Protection Program. The associations warned that the program will likely run out of funding this week. As of Wednesday afternoon (April 15), $301 billion of the available $349 billion had been allocated, with 1.37 million loans approved.
“In just under two weeks, the PPP has provided an economic lifeline to over one million small businesses across the country and has allowed these small businesses to remain viable — and maintain their workforces — during the COVID-19 pandemic,” the groups wrote. “We urge quick congressional action so banks can continue to distribute these desperately needed funds to small businesses, which form the economic core of our communities.”
On Tuesday, the American Bankers Association joined the Bank Policy Institute, the Consumer Bankers Association and the Financial Services Forum in a letter
to House and Senate leaders calling for additional funding.
Treasury Confirms PPP Lenders May Use Scanned Documents, E-Sign
The Treasury Department today updated its frequently asked questions
on the Small Business Administration’s Paycheck Protection Program to confirm that PPP lenders may accept scanned copies of documents, as well as electronic signatures or consents permitted under the E-Sign Act.
Treasury noted that in cases where e-signatures are not feasible and the lender must obtain a wet signature without in-person contact, they should “take appropriate steps to ensure the proper party has executed the document.” The FAQ noted that other signature requirements imposed by other applicable laws still apply.
IRS Launches Online Economic Impact Payments Tool To Check Status, Provide Payment Info
The Internal Revenue Service today launched a second online tool that enables consumers who have previously filed a tax return to check the status of their economic impact payment. Using the Get My Payment tool
available at IRS.gov
, consumers can see the date their payment is scheduled to be deposited in their bank accounts or mailed to them and provide their bank account information to receive direct deposit if it is not currently on file with the IRS.
Taxpayers accessing the secure site will be asked to provide their Social Security number, date of birth and the mailing address used on their tax return. Taxpayers who need to add their bank account information also will need to provide their adjusted gross income for their most recent tax return submitted, the refund or amount owed from their last filed tax return, their bank account type, account and routing numbers.
The IRS said it intends to update the site once daily, usually overnight. A Spanish version of the site will also be available in the coming weeks. For individuals who do not normally file tax returns, the IRS launched a separate tool
where they can provide payment information.
ABA Webinar To Focus On Treasury's Economic Impact Payments
As authorized by the CARES Act, the Treasury Department has begun sending approximately 170 million economic impact payments to consumers in the coming weeks. While it is exploring options for electronic payments, it also expects to issue many paper checks. To help banks better understand the EIP program and be prepared to help their customers receive their payments quickly and safely, the American Bankers Association will host a free webinar at 1 p.m. Friday, April 17. This free webinar
for both ABA members and nonmembers.
FHFA, CFPB Announce Information Sharing To Facilitate COVID-19 Mortgage Relief
To support the effort to provide relief to mortgage borrowers struggling because of the coronavirus, the Federal Housing Finance Agency and the Consumer Financial Protection Bureau will begin sharing servicing information, the agencies announced
today. As part of this new Borrower Protection Program, the CFPB will share complaint information and analytical tools with FHFA through a secure interface, and FHFA will share information about Fannie Mae and Freddie Mac’s efforts to offer forbearance, modifications and other loss mitigation options.