How do new rules under SBA to reduce fraud affect my loan application?
In connection to statements issued by the SBA, there is an increased level of scrutiny for PPP loans to reduce fraud and abuse of the Paycheck Protection Program. Due to these SBA rules and regulations, increased verification requirements are essential to completing the funding process for many loan applications.
In some instances, additional information or documents will be requested by Biz2Credit's verification team. Biz2Credit has a dedicated process to minimize the additional verification requested from business owners, but when verification requirements are requested they must be complied with or else a loan cannot be funded. This is in accordance with SBA rules and regulations.
Additional documents that are requested as part of verification may include the full IRS Form 1040, IRS Form 4506-C, IRS Form 8821, Online Account Verification (using a secure third-party service), and/or providing bank statements from the account where funding will be deposited. Sole proprietors may be requested to provide further documentation in particular due to the absence of payroll history connected to their business.
Please note that additional documentation that is requested by the Biz2Credit funding team is only used to verify the authenticity of applications for the PPP in accordance with SBA rules and regulations. Completing all requirements as quickly as possible is the best way to receive your funding.