Paycheck Protection Program – Loan Forgiveness
If you applied for and received a Paycheck Protection Program loan from WoodTrust Bank, you may apply for loan forgiveness.
What Do You Need
To apply for loan forgiveness, you will need to complete SBA Loan Forgiveness application SBA FORM 3508S (PPP Loans of $150,000 or less), SBA Loan Forgiveness application SBA Form 3508EZ or SBA Form 3508.
SBA Form 3508S was created if you have a PPP loan amount of $150,000 or less. However, a borrower that, together with its affiliates (see 85 FR 20817 regarding application of SBA’s affiliation rules and the exemption of otherwise qualified faith-based organizations from SBA’s affiliation rules), received PPP loans totaling $2 million or more cannot use this form.
SBA Form 3508EZ was created to simplify your loan forgiveness application. You may be eligible to use Form 3508EZ if you:
- Are self-employed and have no employees; OR
- Did not reduce the salaries or wages of your employees by more than 25%, AND did not reduce the number or hours of your employees; OR
- Did not reduce the salaries or wages of your employees by more than 25%, AND experienced reductions in business activity as a result of health directives related to COVID-19, and did not reduce the salaries or wages of your employees by more than 25%.
Please refer to the Paycheck Protection Program Loan Forgiveness Application Instructions for Borrowers for information on the documentation you must provide with your Loan Forgiveness Application.
It will be important for your supporting information to be clearly organized, with totals that match your application. You must supply supporting documentation for all amounts being requested to be forgiven. If documentation is not provided, you may not be eligible for full forgiveness or your application may be rejected in full.
Once we provide you a decision, we will also notify the SBA of our decision. The SBA has up to 90 days to accept our decision and provide payment on your loan. If WoodTrust Bank or the SBA rejects your application in whole or in part, we will notify you within 5 days that decision. You will then have up to 30 days to appeal the decision. We will provide you instructions on this appeal process if you are notified your application has been rejected.