CUNA member credit unions continue to be challenged by a slow approval process with the Paycheck Protection Program (PPP), CUNA wrote to the Small Business Administration Wednesday. The PPP was re-authorized for up to $284 billion.
CUNA’s letter details several examples of errors that have occurred during application processes.
“In addition to the errors in the approval process, credit unions are concerned that they may not have adequate support from the SBA to remedy issues and answer questions. Credit unions have reported to CUNA extended delays running into weeks for help from call centers, which makes it difficult to obtain help with questions and issues,” the letter reads. “We have also heard that the SBA servicing team is backlogged with tax ID issues from the forgiveness process. In addition to customer service issues, we received feedback that this round of PPP loans requires more extensive validation through multiple systems to process applications.
“The accumulation of these issues slows the loan process and credit unions’ ability to provide relief to Americans,” it adds, thanking SBA staff for their work on the PPP and that fixing the mentioned issued will speed up the process of small business relief.