PPP Loan Forgiveness

PPP Loan Forgiveness

PPP Loan Forgiveness

Thank you for working with Hills Bank to secure your funds through the SBA’s Paycheck Protection Program (“PPP”). As you are likely aware, the PPP allows a portion, or all, of your loan and accrued interest to be forgiven if the proceeds were used for eligible payroll and non-payroll costs. We are pleased to announce that we are now able to accept loan forgiveness applications. Please note that if you received your PPP loan through Lendio, and not Hills Bank, you will need to work with your Lendio bank to submit your forgiveness application.

On June 16, 2020, the SBA, in consultation with the Department of the Treasury, released a revised PPP loan forgiveness application (the “Full” Application), which implements the changes from the PPP Flexibility Act of 2020. In addition to the revised Full Application, the SBA has also issued a condensed application (the “EZ” Application), which simplifies the forgiveness process for certain borrowers. To begin the process, we recommend that you print and review a copy of the Application and instructions relevant to you. Please read the instructions thoroughly and work through the entire Application before beginning the submission process outlined below.

In order to expedite the processing of your Application, we strongly encourage you to submit your Application by using Hills Bank’s online process. While Hills Bank will accept email or paper Applications, this may delay the processing of your Application.

 

Links to the Full and EZ Applications and instructions can be found below:

PPP Loan Forgiveness Application – Full Form Instructions (Revised June 16, 2020)

PPP Loan Forgiveness Application – Full Form Application (Revised June 16, 2020)

PPP Loan Forgiveness Application – Form EZ Instructions

PPP Loan Forgiveness Application – Form EZ Application

If you need assistance with completing the Application, we recommend contacting your accountant, tax advisor, or attorney. Your payroll provider may be able to assist with the required payroll and employee information.

Additional resource information may be found at the SBA’s PPP webpage.

ONLINE APPLICATION INSTRUCTIONS

Before starting the online process, we recommend that you have all of the information required in the Application, including supporting documents. Once you begin the application process, you will have the option to save your work and resume at a later time.

A list of the potential items needed for your Application is linked here: Loan Forgiveness Application Checklist

Hills Bank is providing three options to submit your Application online:

Option 1:

Automated Application and Submission

Click Here to Select this Option

Option 1 is for borrowers applying for forgiveness with the Full Application that was revised June 16, 2020.  

Features include:
•    Online data entry form 
•    Autofill of Application pages required to be submitted, including calculations
•    E-signature capability
•    Direct submission of your Application
•    Upload link for all supporting documents

This online tool, including calculations, is provided for your convenience.  Each Applicant is responsible for reviewing, double-checking, and certifying all calculations, including the loan forgiveness amount.

 

Option 2:

Automated EZ Application and Submission

Click Here to Select this Option

Option 2 is for borrowers applying for forgiveness with the new EZ Application. The EZ Application simplifies the forgiveness process but does not change the requirement that borrowers submit documentation supporting their claimed eligible payroll and non-payroll expenses.  

The EZ Application is generally available to borrowers who meet any one of the following criteria: 

(1)    Applied for their PPP loan as a self-employed individual, an independent contractor, or a sole proprietor with no employees;
(2)    Can certify they did not reduce the number or hours of their employees AND did not reduce the salaries or wages for any of their employees by more than 25%; or 
(3)  Can certify that they experienced a reduction in business activity as a result of certain directives related to COVID-19 AND did not reduce salaries or wages for any of their employees by more than 25%. 
  
Features include:
•    Online data entry form 
•    Autofill of EZ Application pages required to be submitted, including calculations
•    E-signature capability
•    Direct submission of your EZ Application
•    Upload link for all supporting documents


This online tool, including calculations, is provided for your convenience.  Each Applicant is responsible for reviewing, double-checking, and certifying all calculations, including the loan forgiveness amount.

 

Option 3:

Submission of an Already Completed Application

Click Here to Select this Option

Option 3 may be used to submit either the Full or EZ Application.  

The process includes:  
•    Uploading your already completed Application (in PDF)
•    Uploading all supporting documents
 

Upon submission you will receive an email confirmation that your Application has been received. Processing time will be dependent on the volume of Applications received by Hills Bank. The CARES Act allows the Bank 60 days to approve an Application once a complete Application has been submitted. The amount of loan forgiveness is not final until approved by both Hills Bank and the SBA.
 
Throughout this process, we will be working with ProBank Austin, a consulting firm we have partnered with before, to expedite the forgiveness process. You and your Hills Bank relationship manager may receive emails from PPPLoanTeam@ProBank.com requesting additional documentation or details about your Application. To ensure emails do not end up in your Spam or Junk folder, you may want to add the domain name (probank.com) and the above email address to your “Approved Senders List” (also known as “white-listing”).

 

Please make sure you have reviewed our forgiveness application information and online application instructions before beginning the application process.