Quick Answer: How Do I Get Approved For EIDL Loan?

Who qualifies for the EIDL loan?

Those requirements are that you: Are a US business with fewer than 500 employees.

Operate as a sole proprietor or an independent contractor during the covered period (January 31, 2020, to December 31, 2020) Are a 501(c), 501(d), or 501(e) private nonprofit..

How is EIDL loan amount determined?

EIDL: The maximum loan amount is US$2 million. EIDL loans are based on an applicant’s actual economic injury as determined by the SBA, less any recoveries such as insurance proceeds. … An applicant can also request an emergency grant advance of no more than US$10,000.

What can I use my EIDL loan for?

Unlike the PPP loan, which can only be used for payroll, business mortgage interest, business rent or lease payments and business utility payments, EIDL loan funds can be used for a wider-range of business working capital “to alleviate economic injury caused by disaster occurring in the month of January 31, 2020 and …

Do SBA loans have to be paid back?

You’ll have two years to pay off the balance, at a 1 percent interest rate. No payments are due for the first six months after you get the loan.

How long does the EIDL loan take to process?

21 daysOnce a borrower applies for an EIDL, approval timelines can vary depending on volume. Typically, a decision is made within 21 days of application, and disbursement of money within five business days. Borrowers are assigned individual loan officers for servicing the loan.

How do you know if you are approved for EIDL loan?

By Phone. You can also find out the status of your EIDL application by phone. You can use this method if you submitted your application online or by mail. Call 1-800-659-2955 (the SBA Disaster Assistance customer service center) and make sure to ask for Tier 2 to ask about the status of your loan.

Is the EIDL loan based on credit score?

EIDL doesn’t require a guarantor for loans up to $200,000 and instead these are made purely on credit score. Because there are different credit bureaus, the level of impact to your credit score depends on which organization is pulling your credit.

Can you decline EIDL loan?

Yes, a business can decline the EIDL loan.

Can you use EIDL loan to pay off debt?

Economic Injury Disaster Lending (EIDL) Funds from EIDL Loans can be used for working capital, payroll, accounts payable, inventory, rent and debt payments. It CANNOT be used to payoff or refinance debt.

How do I check my loan status?

A person can check the loan status by calling the customer care numbers for any financial queries including Personal loan. You can also directly go to the branch you apply at to meet the officer in charge to know the status of your personal loan application.

How much of an EIDL loan can I get?

Covid-19 related EIDL loans include an up-to-$10,000 forgivable advance. You must qualify as a small business by number of employees. Maximum loan is $2 million, with the exact amount based on economic injury suffered. The normal EIDL application has been streamlined and should take about 2 hours.