Relief Programs

COVID-19 Related Relief Programs


How Investors Bank is Helping 

Investors Bank is here for our customers and will continue to provide solutions to meet their financial needs and the needs of the communities we serve. On this page you’ll find information on how we’re helping with financial relief during the COVID-19 pandemic. There is also information on additional types of relief available from third parties.

SBA Paycheck Protection Program

The Paycheck Protection Program provides small businesses with funds to pay up to 8 weeks of payroll costs including benefits. A portion of the funds can also be used to pay interest on mortgages, rent, and utilities. The SBA allocated $659 billion for the Paycheck Protection Program. Currently, we are not accepting new applications for the PPP program.

For important information regarding PPP loan forgiveness, please visit our PPP Loan Forgiveness Resource Center.


Program Update

Whether you received a PPP loan from Investors Bank or another financial institution, it is important that you follow the SBA guidance if you are going to seek forgiveness for your loan. That guidance states: 

  • The loan may only be used for permitted purposes of which:
    • At least 60% of the loan proceeds must be used to cover payroll costs over the 24-week period after your loan has funded.
    • Up to 40% of the loan may be used for other permitted purposes including qualifying mortgage interest, rent, and utility costs over the 24-week period after your loan has funded.
  • The number of employees and their compensation levels must be maintained as measured against prior periods described by the guidance.

You should consult with your accountant/financial advisor or attorney to ensure you understand the program’s requirements. This continues to be a rapidly evolving situation. Refer to the Treasury’s Assistance for Small Business and Small Business Administration websites for up-to-date information.

 

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Frequently Asked Questions

At least 60% of the loan proceeds must be used to cover payroll costs over the 24-week period after your loan has funded.

Up to 40% of the loan may be used for other permitted purposes including qualifying mortgage interest, rent, and utility costs incurred before February 15, 2020 over the 24-week period after your loan has funded.
The calculation varies depending on the type of entity/business.  Please review the SBA guidance on how to calculate payroll costs for your individual circumstances.
If the funds are used as permitted by the PPP guidance and all of your employees are retained at the same compensation levels, the loan may be forgiven. If funds are not used as permitted by the PPP guidance some or all of the loan may not be forgiven. The unforgiven portion of the loan must be repaid under the terms of the PPP loan.
  • 1% interest rate from the date of the initial disbursement of the loan
  • The loan matures two years after the date of the initial disbursement of the loan.
  • Payment deferral of principle and interest for six months (interest will accrue during this period)
Please see the SBA Paycheck Protection Program Loans FAQ document for additional FAQs.
 

Additional Types of Relief Available from Third Parties

Direct payment to tax payers

As part of the CARES Act, the IRS is distributing Economic Impact Payments (stimulus checks). Please visit the IRS’s Economic Impact Payments web page for additional information.

Expanded Unemployment Assistance

  • Eligibility expanded to include self-employed, independent contractors / gig economy workers, nonprofit employees and others
  • Amount increased by $600 weekly
  • Duration extended an additional 13 weeks beyond the existing 26-week maximum

Contact your state unemployment office directly. Contact information can be found on the U.S. Department of Labor Website 

Student loan assistance

All payments for federal student loans (Direct and FFELP) are deferred through September 30, 2020. Contact your student loan servicer to discuss eligibility and options.

Retirement savings access assistance

The federal government is waving penalties and making other accommodations for those who need to access retirement savings early. To learn more about your options and how we might help, please schedule an appointment .