For Current Borrowers RE: SBA 7(a) Loans and the CARES Act
Under the CARES Act, 7(a) Borrowers are relieved of any obligation to pay the principal, interest and any associated fees that are owed on a 7(a) loan in a regular servicing status (including Community Advantage loans) for a 6-month period beginning with the first payment due on a loan after March 27, 2020. SBA will pay this first loan payment to the Lenders within 30 days of the first loan payment due date after March 27, 2020. If the loan is currently in deferment, then the SBA will begin making payments after the deferment period.
If your loan payment is on ACH, the ACH will be removed from your loan for the next six months. If your loan payment is made from a garnishment, these payments will be returned to you within 30 days of bank receipt of the garnishment payment. If you would like to continue making your regular payment in addition to the CARES Act payment, please let us know, and the extra payment will be applied to the outstanding principal balance on your loan.
If you have any questions or concerns, please reach out to us at: 877-435-7590 or Servicing@Radarlenderservices.com