Denial of PPP Loan Forgiveness Application

ID Status Date Public/Private Industry AHACPA Contact
#16310 Closed public FHA Lender _General Support
Customer Reply

One of my various Mortgage Banker clients has had their application for forgiveness of their PPP loan been denied.  I’m curious of anyone else has had a lender client with this issue.  The denial letter from SBA stated denial was because the “Borrower is a financial business primarily engaged in lending, investing or an ineligible business engaged in financing or factoring?” and that the Income Statement of the lender showed income from “interest revenue and discount revenue.” which “proves that the borrower is engaged in credit intermediation and as a result, has been deemed ineligible to participate in the PPP Program.”  Can someone reply if they have run across this issue and if so, if they were able to resolve this?/ George Daugharty 540 459 9000, ext 3 or [email protected].

Les Sparks

George, as far as I have heard, this is the first denial of forgiveness. Now that the season is starting, I am wondering how many more we will see?

 

Les Sparks
AHACPA | 459 N 300 W #10 | Kaysville, UT 84037 | Phone: 801-547-0809
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From: AHACPA Support <[email protected]>
Sent: Tuesday, December 28, 2021 12:53 PM
To: [email protected]
Subject: Denial of PPP Loan Forgiveness Application [NEW]

Customer Reply

Les,

 

I’ve been communicating with Andy Schell via e-mail and he said he is seeing this as well.   He implied that it was not coming up as an issued for those who applied for forgiveness early, and in my case my clients that applied early had
theirs forgiven without any problem.

 

Thanks.

 

George S. Daugharty, CPA

Daugharty & Company, P.C.

 

 

 

From: AHACPA Support <[email protected]>
Sent: Wednesday, December 29, 2021 1:55 PM
To: George Daugharty <[email protected]>
Subject: Reply to: Denial of PPP Loan Forgiveness Application

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