Page last updated on August 6, 2020

Valley is committed to your success during these challenging times. That’s why we’ve collected many of the common questions we’re receiving from Paycheck Protection Program customers and put together answers based on the latest guidelines from the Small Business Administration. We’ll be updating this page regularly, so please check back often for up-to-date information.



  
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PPP Latest News and Updates

  
  • SBA releases a new seperate FAQ document, Frequently Asked Questions (FAQ). The 10-page document divides the questions by topic: General Loan Forgiveness (3 FAQs); Loan Forgiveness Payroll Cost (8 FAQs); Loan Forgiveness Nonpayroll Cost (7 FAQs); and, Loan Forgiveness Reductions (5 FAQs)

  • The SBA has provided important resources, guidance and loan options for businesses during these challenging times.  You can view this information here. Learn more

  • Find frequently requested forms, documents and reports published by the SBA here. Learn more

  • You can find everything you need to know about the CARES Act from the U.S. Department of the  Treasury's website here.  Learn more.

     

  
  

    
   
   
 
Pre-Submission PPP Loan Forgiveness Checklist
Checklist

Pre-Submission PPP Loan Forgiveness Checklist

You have your PPP loan but are you ready to apply for forgiveness? Take a look at our checklist to help you prepare for your forgiveness application.

    
  
  
  
   

Everything you need to know about PPP Loan Forgiveness

 

Please keep in mind that the following answers are reflective of Valley’s PPP loan forgiveness process. If you received
your PPP funding from another financial institution, be sure to reach out to them for information specific to their process.


 
  • When can I apply for loan forgiveness?

    The SBA has not provided final guidance regarding the Forgiveness Program. As soon as they do, we will open our online portal so that borrowers can submit their Forgiveness Application. We will notify you via email when you can begin your Forgiveness Application. 

  • How do I apply for forgiveness at Valley?

    Depending on your funding date, you have received an email inviting you to register for Valley’s Forgiveness Application portal. You must register to be able to access the portal. Once registered and Valley opens the portal, you will be able to complete the application within the portal and upload the required documentation.

     

    You can also designate another individual to have access to the portal to assist you with the preparation of the application if you wish.

  • What documentation will I need to provide to apply for Forgiveness? 

    We will provide some critical information from your PPP Application that you will need to verify in order to complete your Forgiveness Application. These include the loan number, loan amount and the borrower name. However, it is up to the borrower to calculate the Forgiveness Amount and upload the required documentation.

       

    These required documents include:

    • Payroll reports from your payroll provider

    • 2019 Payroll Tax Filings (Form 941)

    • Bank account statements providing qualified payroll, mortgage/lease payments or utility expenses

    • Schedule of employees, including name and compensation 

    • Income, payroll and unemployment insurance filings from your state

    • Documents verifying retirement and health insurance contributions

    • Documents verifying your eligible interest, rent, and utility payments if these are being claimed

    • Documents evidencing any FTE safe harbor exemptions

    • If applicable, any EIDL Advance amount and application number

     

    See below for sample Forgiveness Application and Instructions.

  • What happens if my loan isn’t forgiven?

    For the balance of the loan that does not qualify for forgiveness, the borrower will need to make principal and interest payments based on the loan terms disclosed in the note signed at closing.

  • What is the Paycheck Protection Program Flexibility Act and what are the main changes?

    The Paycheck Protection Program Flexibility Act of 2020, signed into law on June 5, 2020, amends the PPP to give borrowers more freedom in how and when loan funds are spent while retaining the possibility of full forgiveness. The two biggest changes are:

    • The eight-week period to use your PPP funds has now been extended to 24 weeks.

    • Previously, you had to spend at least 75% of the funds on payroll. You now need to spend only 60% of the funds on payroll.

    If you didn’t find the answers you’re looking for, be sure to reach out to a personal banker.


   


    
 
    

How to Prepare for PPP Forgiveness 

   

You can now pre-register for PPP Forgiveness on our online portal. In the coming weeks you will receive an email from us about how to access our PPP Forgiveness Application portal. You will need this email to access the portal for the first time. 

To get a sense of what will be required in the application, you can download two sample PPP Forgiveness Application options, the Form 3508 and the 3508EZ. The EZ Form is designed to reduce calculations for those that qualify to use it. Please note that we will not accept paper or PDF forgiveness forms via email or postal mail.  

     

Download sample 3508 EZ application             Download sample 3508 application

Download 3508 EZ instructions             Download 3508 instructions

   
  

   
 
  

If you have not received your pre-registration email or have other questions, 

please contact us using the form below: 

     
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