loan application stamped as rejected

My bank says I do not qualify for a PPP Loan or that they are not issuing them, and other banks will not talk to me because I do not have an account with them. What should I do?

Question:

My bank says I do not qualify for a PPP Loan or that they are not issuing them, and other banks will not talk to me because I do not have an account with them. What should I do?


Answer:

Be patient, the program rolled out last Friday. It was deeply flawed and did not have anti-money-laundering guidance for banks to deal with borrowers who are not already clients of the bank. Hence, the banks do not know, at this point, what will be required to loan money to non-customers.

Regulations are promised this week to enable banks to loan to non-customers. Although regulations were promised last Wednesday, and then last Friday, the withdrawal of Wells Fargo from the program, the failure of Bank of America’s Program to serve any significant percentage of its customers, and with most banks refusing to participate, the pressure is on the government to act quickly. As soon as regulations exist for the banks to loan money to non-customers, there should be banks doing so.

As soon as banks are able to loan money to non-customers, Lubell Rosen law firm will be there to help its clients find the best program for their needs. Your bank may be the best choice, but if your bank has turned you down or there is another bank that will serve you better, we will help you find the right lender for you.

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Joshua H. Sheskin,  Esq.

 jhs@lubellrosen.com
 (954) 880-9500
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