EIDL Loan Increase Amount
1. First, the max Montana title loan locations loan amount was increased from a $150,00 max loan amount to a max loan amount of $500,000.
This is more than 3x the original amount and t his is good. This is great for the small businesses and non-profits that need this money!
We’ve always thought the $150,000 max loan amount was too little, and we’re glad to see the SBA has finally increased it. It’s about time.
SBA Administrator Speaks
“More than 3.7 million businesses employing more than 20 million people have found financial relief through SBA’s Economic Injury Disaster Loans, which provide low-interest emergency working capital to help save their businesses. However, the pandemic has lasted longer than expected, and they need larger loans. Many have called on SBA to remove the $150,000 cap. We are here to help our small businesses and that is why I’m proud to more than triple the amount of funding they can access.”
So, let’s talk about what all of this means for you and how you can get the increased limits and timeframe.
Email from SBA on Loan Increase
If you have already received the EIDL loan, you should have gotten an email in your inbox from the SBA sometime between April 6th and now.
If you don’t see an email from the SBA, make sure to check the email you used for your original application, and be sure to check spam too.
Also, not all emails have been sent out yet due to the sheer number of people who received the loan.
If you did not get the email, you can still use the steps we are about to go over to request an increase. So don’t panic!
Steps to Increase EIDL Loan Amount
- application number
- loan number
- business name
- business address
- business owner name(s)
- phone number
Step 4: Lastly, do not include any financial documents or tax records with your initial request. SBA will send a follow-up email notification if it needs additional documents.
Tips and Tricks to Get Approved
If you send multiple, it may restart your position to get a response or could slow down the overall response time.
“Due to high volume of incoming requests, SBA reports it may be several weeks before a response is received from the agency on the next steps to follow. Those who request a loan increase should not resend multiple requests if they do not hear back right away from the SBA as the extra emails could slow down the overall response time.”
We know you may get antsy if you don’t hear back from anyone, but please only send one email so you can maintain a good spot in line to hear back.
But, we guess we should know better by now based on previous rollouts of everything related to PPP loan or the EIDL.
What Documents are Needed?
Those who do have to submit extra docs typically are asked for 2019 taxes and 4506-Ts and look to be new businesses or bad credit.
We are also seeing reports of people in Facebook groups on Reddit who are seeing 3x their initial loan amount.
How to Apply for EIDL Loan for the First Time?
…you will automatically be considered for the $500,000 max loan limit and the increase of 24 months of coverage, according to the SBA.
You can go to and if you scroll down a bit you will see a big icon that says EIDL.
If you click that, it will take you to the page where you see the loan detail and can also apply.
EIDL Loan Terms to Know
- Non-forgivable, Fixed 3.75% interest rate for businesses or
- Non-forgivable, Fixed 2.75% interest rate for nonprofits
- 30 years term
And, we truly hope that the SBA moves with speed so the small businesses and non-profits get the help they need and deserve.
Speaking of small businesses, as CPAs and business owners ourselves, we know how important effective financial management is to growing a business.
So, if you need more guidance with your business’ finances, here at LYFE Accounting, we offer financial advisory services as well. Talk to us today to get started!