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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowIndiana banks helped small businesses secure $7.5 billion in coronavirus relief through the now-depleted federal Paycheck Protection Program, the Indiana Bankers Association announced Friday.
That $7.5 billion represents 35,990 individual loans.
The Paycheck Protection Program, backed by the Small Business Administration, provides forgivable loans that businesses can use for payroll, rent, mortgage interest or utility expenses. The loans are part of the federal Coronavirus Aid, Relief, and Economic Security Act, or CARES Act, which earmarked more than $2 trillion in aid.
Applications are no longer being accepted for the Paycheck Protection Program because its initial funding of $350 billion was depleted this week and Congress has not agreed to additional funding.
According to the Small Business Association, a total of 4,975 lenders nationwide secured 1.67 million loans for clients.
Borrowers qualified for loans of up to $10 million each, based on the size of their payrolls. Nationwide, the SBA says, 74% of loans were in amount of $150,000 or less. The average loan size overall was $206,000.
The five industries securing the most loan money nationally were:
Construction—13.12% of total loan dollars, or $44.9 billion
Professional, scientific and technical services—12.65% of total loans, or $43.3 billion
Manufacturing—11.96% of total loans, or $40.9 billion
Healthcare and social assistance—11.65% of total loans, or $39.9 billion
Accommodation and food services—8.91% of total loans, or $30.5 billion
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Got a list of who helped the most customers? Need a new business bank after the PPP failure of Chase Bank.
Stock Yards Bank, Hendricks County Bank, NSSB and Old National seemed to have the needs of small businesses down to a science. They have certainly taken care of their clients in this process, I’ve spoken with several of their customers. HCB came to my rescue and I will definitely be moving my relationship from PNC because of their service. I imagine Lake City and Bank of Indianapolis have taken good care of their clients as well, but I haven’t spoken with any of their clients directly. I’m sure any of these would be glad to have you as a new customer. It’s a good time to go bank shopping!
I found the the big regional banks and the national banks have put the small business owner at the bottom of the pile. Go with banks that are headquartered in Indiana.
After a few days of hearing nothing, I called a small bank in Missouri where I knew someone, and they were more than happy to process 2 PPP loans for me. I still have not talked to anyone from Chase, my business bank.
I think the “knowing someone” was the key. And the big banks don’t care to know anyone or any business not worth millions to them.
PNC hasn’t figured out how to help Independent Contractors as of yet. I waited two weeks on them to decide if and how they were going to process my PPP application. They finally admitted, they had not way to help. I called Hendricks County Bank and went from app to funded in 72 hours! Once again proving, that community banks should rule the world. Big banks say they are small business friendly- but the truth is, they only want their transaction business to generate fees for them. Find a local bank and build a relationship with them. They will always have your back, when the big banks are trying to remember who you are. {I”ve worked for the two biggest banks in town, I can attest to my statements.}