There are at least 770 new coronavirus deaths in the United States reported in a single day
Small business owners will be able to apply for loans to overcome the economic downturn triggered by Covid-19 on a first-come, first-served basis from Friday as part of the new stimulus package adopted.
The Payroll Protection Program aims to provide $ 349 billion in forgivable loans to small businesses, to help them maintain employee payrolls, pay rent or interest on their mortgages, pay utilities or to cover other overheads, according to administration officials. Businesses are expected to receive their checks within three weeks of requesting them, administration officials said.
Borrowers will be charged 0.5% interest as part of the Trump administration’s efforts to provide financing for small businesses to keep operating during the current downturn, according to the Treasury Department.
The new legislation also provides for a “generous” processing fee that is paid by the government to facilitate these loans to banks and other lenders with incentives to issue the loans, administration officials said on Tuesday.
Administration officials hope the loans will help small businesses cover their payroll and overhead costs, incentivize large businesses to keep their employees on the payroll, provide improved unemployment insurance for laid-off workers, and protect workers. troubled industries which are essential for the country’s economic security.
All loan payments will be deferred for six months and will receive a 100% guarantee from the Small Business Administration.