October 24 is the deadline to apply for FEMA assistance, SBA recovery loans
As Texans work to recover from the aftermath of Hurricane Harvey, an important deadline is approaching. October 24 is the final day to register for assistance from the Federal Emergency Management Administration (FEMA), and to apply for a disaster recovery loan from the Small Business Administration Disaster Assistance program.
Apply for SBA loans online at www.SBA.gov/Disaster, visit a Disaster Recovery Center or call 800/659-2955 for more information. Disaster Recovery Centers are open 9 a.m.-7 p.m. Monday-Saturday and noon-5 p.m. on Sunday.
Ninety percent of SBA disaster recovery loans go to homeowners and renters, with the remaining 10 percent helping small businesses.
Basic details of the SBA disaster assistance program:
- The SBA helps businesses of all sizes, private nonprofits, homeowners and renters by providing low-interest direct federal recovery loans for uninsured or under-insured damages.
- Loans for homeowners can be up to $200,000 to repair their primary residence.
- Homeowners and renters can receive up to $40,000 for personal property losses, including disaster-damaged vehicles.
- Small businesses and nonprofit organizations can qualify for up to $2 million for repairs to business real estate, lost inventory, etc.
- For small businesses and most private nonprofit organizations, SBA can also offer low-interest Economic Injury Disaster Loans to cover working capital during the recovery period.
- Rates are as low as 1.75 percent for homeowners or renters, 3.305 percent for businesses and 2.5 percent for private nonprofits with terms up to 30 years.
Some key points:
- There are no costs to apply and no obligation to accept any loan funds.
- Applicants don’t have to know how much they may need when they apply (loan amount is based on a loss estimate completed by our verification department).
- Applicants DO NOT have to wait for any insurance claims to fully settle. SBA will work with applicants while they are finalizing their insurance settlement, which can then be used to pay down/pay off the loan. We often find we can get funds in the hands of survivors before insurance settlements are received, therefore helping speed up the recovery and rebuilding process.
- Applying for an SBA Disaster Assistance Loan does not automatically eliminate a survivor’s eligibility for FEMA assistance.
- Due to the broad scope of Hurricane Harvey, we are now offering a 12 month deferral before the first payment is due.