Prompt Return Of SBA Applications Speeds Aid
Release Date: June 2, 2003
Release Number: 1464-47
» More Information on Tennessee Severe Storms, Tornadoes and Flooding
Nashville, TN -- State and federal disaster officials today advised Tennessee disaster applicants that filling out a U. S. Small Business Administration (SBA) loan application is a required step in obtaining some forms of disaster aid.
Many of the people who call the toll-free number -- 1-800-621-FEMA (3362) -- and apply for assistance will receive an SBA loan application within seven to ten days of making the call. Speech or hearing impaired applicants should call (TDD) 1-800-462-7585.
Federal Coordinating Officer Michael Bolch said that available recovery programs depended on individuals or households providing needed information promptly.
"If an applicant is referred to the SBA, we need to complete that part of the process before we can look at other aid options," Bolch said. "Filling out an SBA application does not guarantee that an applicant will be approved for a loan, nor does it mean that they must accept the loan."
Bolch said that longer-term assistance keyed to information derived from SBA loan applications include: eligibility for the Individuals and Households grant program that helps meet serious disaster-related needs and expenses not covered by insurance, as well as funding for mitigation measures designed to reduce the risk of damage caused by future disasters.
State Coordinating Officer John D. White said that low-interest SBA loans are the largest source of disaster funds for making substantial repairs or rebuilding damaged structures. "For that reason alone, you can see why we need to receive and process these SBA applications as quickly as possible," said White.
SBA low-interest disaster loans are available to homeowners, renters and businesses in the declared counties seeking financial assistance for damages and losses arising from the severe storms, tornadoes and flooding that barraged the state in early May. Interest rates on SBA loans can be as low as 2.812 percent for homeowners and 2.953 percent for businesses. Actual loan amounts and terms are set by the SBA and are based on each applicants financial condition.
SBA loan officers provide face-to-face help in filling out loan forms at any of the three fixed-site and four mobile Disaster Recovery Centers in various disaster-declared counties.
Information on SBA loan applications is also available by calling the SBA helpline at 1-800-359-2227 or visiting the SBA Website at www.SBA.gov/disaster.
Last Modified: Tuesday, 03-Jun-2003 10:28:09