Can I "return" a PPP loan before I deposit it?
After multiple emails that said, "There are a zillion PPP loan applications ahead of you", I was approved for $10K. The more I read about PPP loans, the shadier it got. I don't need the money THAT bad. Unfortunately, there are no links to decline the loan money before it hits my account? No one at Chase will answer the phone. Any suggestions?
Beth Caldwell
Founder of Leadership Academy for Women
577
05/03/20 at 4:43PM UTC
Hi Anne--I am not a financial expert, but if I were approved, I'd put that money in a savings account. Keep it for a few months, you never know what may happen. From what I read there is no penalty to pay it off early, so you can always pay off that loan in full later this fall/winter if you don't wind up needing the money.
Anonymous
05/03/20 at 8:49PM UTC (Edited)
Hi Beth - thank you for your informative response, and you're right, you never know what may happen. There was an article in the NYT today about "updated terms" regarding the PPP. Seventy-five percent of the loan has to be dedicated to payroll and I'm a one-woman show. Now the SBA has added an 8-week timeline to begin paying it back. Most small businesses won't be up and running, much less able to repay so quickly. For me, it's too risky and confusing. I declined the approval email. I hope the money goes to a fellow SBO who can pay his/her employees, etc.
Shelby CProcess Improvement & Security (ret)
2.83k
05/04/20 at 6:08PM UTC
My understanding is that most of the PPP loans will be forgiven by the SBA, but I'm not an Attorney and I don't pretend to be one. ??♀️
Anonymous
05/07/20 at 7:26PM UTC (Edited)
I hope that's true for others, but after being overinformed on multiple articles, I'm not willing to take the risk. An update: despite declining the PPP loan via Chase TWICE, they *still* deposited $10K into my account on 5/1. Today, I received a call from Chase asking if I still wanted it. I said no (again), and they "rescinded" the loan without penalty or repayment fees. Gee, thanks. #eyeroll
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