After Calling To Apply, Return SBA Application
Release Date: September 18, 2003
Release Number: 1487-12
» More Information on Indiana Severe Storms, Tornadoes, and Flooding
Indianapolis, IN -- Victims of the late summer severe storms, tornadoes and flooding who receive a loan application from the U. S. Small Business Administration (SBA) should take the time to fill it out - even if they don't want a loan, urged disaster recovery officials from the Federal Emergency Management Agency (FEMA) and the Indiana State Emergency Management Agency (SEMA).
Many of the people who call the toll-free number - 1-800-621-FEMA (3362) or TTY 1-800-462-7585 - and apply for assistance will receive a packet containing the SBA loan application within seven to ten days of making the call. The SBA Disaster Assistance Program, offering low-interest disaster loans, is the primary source of federal assistance to those affected by a disaster.
"The loan application provides necessary information for determining the appropriate assistance for that applicant. If a completed SBA application is not returned, it could mean that you will miss out on other possible forms of disaster assistance," Thomas J. Costello, FEMA federal coordinating officer, said.
FEMA disaster assistance covers basic needs only and will not normally compensate for an entire loss. If an applicant has insurance, the government may help pay for basic needs not covered under the insurance policy. Some disaster aid does not have to be paid back, while other forms of help may come in the form of low-interest disaster loans.
Low-interest disaster loans are available to homeowners, renters and businesses of all sizes in the declared counties that were affected by the severe storms, tornadoes and flooding that occurred August 26 through September 15. Interest rates on SBA loans can be as low as 2.562 percent for homeowners and renters and 3.1 percent for businesses. Actual loan amounts and terms are set by the SBA and are based on each applicant's financial condition.
"We are urging anyone who sustained losses because of the storms and flooding to apply for assistance and return the completed loan application as soon as possible," Patrick R. Ralston, SEMA state coordinating officer, said.
Other types of assistance victims may qualify for include grants for temporary housing assistance to cover costs for renting another place to live, repair assistance to make the home safe and sanitary, and Other Needs Assistance for disaster-related expenses and serious needs such as medical, personal property, transportation and other expenses that FEMA approves.
Even if disaster victims have insurance, they may be eligible for disaster assistance. In order to complete the application for assistance, however, FEMA will need the resident's insurance settlement information to avoid any duplication of benefits.
"If you were uninsured or your insurance policy did not cover some of your disaster-related damages or losses, FEMA may be able to help," Costello said. "If your insurance company did not fully cover your losses, take the first step and apply with FEMA."
People who want to apply for disaster assistance, or who have questions about their application, should call FEMA's toll-free number, 1-800-621-FEMA (3362). Those with speech or hearing impairment should call, TTY 1-800-462-7585.
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.
On March 1, 2003, FEMA became part of the U.S. Department of Homeland Security. FEMA's continuing mission within the new department is to lead the effort to prepare the nation for all hazards and effectively manage federal response and recovery efforts following any national incident. FEMA also initiates proactive mitigation activities, trains first responders, and manages Citizen Corps, the National Flood Insurance Program and the U.S. Fire Administration.
Last Modified: Thursday, 18-Sep-2003 11:26:20