After Calling to Apply, Return SBA Application 

Release Date: February 20, 2008
Release Number: 1745-007

» More Information on Tennessee Severe Storms, Tornadoes, Straight-line Winds, and Flooding

Nashville, Tenn. -- Applicants for disaster assistance who receive a loan application from the U. S. Small Business Administration (SBA) should take the time to fill it out - even if they do not want a loan.

Disaster recovery officials from the Federal Emergency Management Agency (FEMA) and the Tennessee Emergency Management Agency (TEMA) said many people who register for disaster assistance will receive an SBA loan application in their packet.

"The loan application provides necessary information for determining the appropriate assistance for that applicant. If the SBA decides not to offer a loan, the individual is then automatically referred to other available disaster assistance," said Federal Coordinating Officer Gracia Szczech.

Federal disaster assistance only covers losses not met by insurance. Some disaster aid does not have to be paid back, while other forms of help may come in the form of SBA low-interest disaster loans. These low-interest disaster loans are available to residents and businesses of all sizes in the 13 designated Tennessee counties hit by the severe storms and tornadoes on Feb. 5-6.

Interest rates on SBA loans can be as low as 2.75 percent for homeowners and renters and 4 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 to apply for assistance and to mail in the completed loan application as soon as possible," said TEMA Director James Bassham.

To be considered for all forms of disaster assistance, applicants must first call (800) 621-FEMA (3362), or TTY (800) 462-7585, or go online to www.fema.gov.  Additional details on the location of Disaster Recovery Centers and the loan application process can be obtained by calling the SBA Customer Service Center at (800) 659-2955.

President Bush's Feb. 7 disaster declaration for the state of Tennessee includes Benton, Hardin, Hickman, Houston, Lewis, Macon, Madison, Montgomery, Perry, Shelby, Sumner, Trousdale and Williamson counties.

FEMA coordinates the federal government's role in preparing for, preventing, mitigating the effects of, responding to, and recovering from all domestic disasters, whether natural or man-made, including acts of terror.

Last Modified: Wednesday, 20-Feb-2008 11:47:31