Article | 1:20 min read

Paycheck Protection Program and Fraud - What you Need to Know

Grow Your Business

The Small Business Administration released public data about Paycheck Protection Program borrowers. Here's what you need to know about third parties contacting you, and how to protect yourself.

Close up shot of PPP loan

On December 1, 2020, the Small Business Administration (SBA) released public data about Paycheck Protection Program borrowers, specifically the borrowers’ names, addresses, exact loan amounts and who their PPP lenders are. This was done by a court order, following lawsuits brought by media organizations seeking the data.

Banks who issued PPP loans did not play a role in the decision to release this information.

Third parties are using this information from the court-ordered data release to market themselves to PPP customers. These communications may reference your specific bank’s name, their relationship as your lender, and even direct you to fill out a form, or ask for a conversation to discuss PPP forgiveness.

According to the American Bankers Association, these third parties are not disclosing they are unaffiliated with your PPP lender, and others are implying a business relationship where none exists. If you receive an unsolicited email, phone call or text message from someone claiming to have information about your PPP loan, be skeptical and contact your lender directly.

Consult with your financial adviser, attorney or lender about your PPP loan and the forgiveness process. Do not reply to these communications, or share information about your loan with businesses or individuals not affiliated with your lending bank.

Please know if Central Bank is your lender, we will contact you directly about your PPP loan and forgiveness process. As always, we’re here to help. Should you have any questions or concerns regarding your PPP loan, you may contact your lender directly, or contact us if there’s any way we can help.

Source:

PPP Loan Disclosure Talking Points, ABA.com

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