Paycheck Protection Program
Updated 5/13/2021 - Cambridge Savings Bank has been informed that the Paycheck Protection Program (PPP) funding has been exhausted. We are unable to accept new PPP applications at this time.
The SBA is providing debt relief for all 7(a) loans. The SBA will cover monthly payments of the principal and interest on these qualifying loans, beginning with your February 2021 payment, up to $9,000. If your loan payment is in excess of $9,000, the amount over $9,000 is the borrower's responsibility and will be automatically deducted from your account. The duration of the payment period varies by industry type. For businesses that were hit especially hard and fall under specific NAICS codes (retail, restaurant, lodging, arts & entertainment), the SBA will cover five (5) months of payments. For all other businesses, the SBA will cover two (2) months of payments.
Throughout this 2 or 5-month Debt Relief period, payments cannot be "paused" - if you choose to opt out at any point within the 2 or 5-month period, you will not be able to opt back in. For revolving lines of credit, the SBA will make loan payments only if the borrower has an outstanding balance. The borrower does not need to maintain an outstanding balance. The payments made by the SBA may not be used to cover balloon payments.
Also, for a new 7(a) loan, 504 loan, or Microloan approved (regardless of industry) during the period beginning on February 1, 2021 and ending on September 30, 2021, the SBA will make payments for a three (3) month period, subject to the availability of funds. Read the Full Notice.
Please note that while Congress has appropriated $3.5 billion for the SBA Debt Relief Program, it is only available until the funds are expended.