The Small Business Administration is opening a window this afternoon and evening for smaller credit unions and banks to submit Paycheck Protection Program loan applications without competition from larger institutions.
Application processing will be paused for all financial institutions with more than $1 billion in assets between 4 p.m. and midnight tonight, Eastern time.
The intent is to “ensure access to the PPP loan program for the smallest lenders and their small business customers,” the SBA said in a statement.
Smaller banks and credit unions say they have faced an uphill battle to submit PPP loan applications when the SBA’s systems allow institutions like Bank of America to submit thousands at a time.
Lenders of all sizes will still be able to submit applications after midnight, the SBA said.
The SBA resumed accepting PPP loans Monday morning after a $310 billion infusion of cash from Congress. While the first day was marred by technical issues, subsequent days appear to be running more smoothly, bankers say.