Evergreen Business Capital as your partner in 504 lending is doing our best to communicate with you as we receive updated information from the Small Business Administration and the Treasury.
The 504 Loan Program Central Servicing Agent (CSA) has communicated to our industry that it will NOT apply an ACH debit to the borrower’s account to cover the loan payments due on April 1, 2020 for all 504 loans in regular servicing status. Under the CARES Act, SBA will pay the Principal, interest, and any associated fees, that are owed on a 504 loan in regular servicing status to the CSA within 30 days of April 1, 2020.
SBA will continue to make these loan payments to the CSA for the 6 month period beginning April 1, 2020.
Please note: these 6 payments are
considered deferments, but rather full payments applied to their debenture obligation for which the borrower will not be responsible for.
For any borrower that had previously reached out to us regarding a deferment, we are in communication with them regarding this six months of payment application modification.