WASHINGTON - Both houses of congress have voted to extend the deadline to apply for Paycheck Protection Program loans from June 30 to August 8. The measure now moves to President Trump's office for his signature.
Known as the Paycheck Protection Program, the rescue effort aims to forgive the loans if businesses vow to maintain their payrolls. All loan payments will be deferred for six months. Most importantly, the SBA will forgive the portion of the loan proceeds that are used to cover the first eight weeks of payroll costs, rent, utilities, and mortgage interest.
The government put $349 billion into the program initially, but all of it quickly disappeared. $310 billion was then added, with $60 billion set aside for small lenders to help companies with no existing banking relationship get loans.
$130 billion still remains in the program.
Congress is also set to consider another coronavirus relief plan later in July.
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