COVID-19 Updates

Paycheck Protection Program (PPP) Resources & PPP Loan Forgiveness Information
Updated March 15, 2021

Paycheck Protection Program Resumes


The SBA announced that it has resumed accepting PPP loan applications. The information provided below is a summary of the updates and resources for both first-time and second-time borrowers. For more information, please visit the PPP page on SBA.gov
 

 
First-Time Borrowers
This latest update from the SBA allows new borrowers to use 2019 or 2020 for purposes of calculating their maximum loan amount. The last day to apply for and receive a PPP loan is extended to March 31, 2021. In general, borrowers can have no more than 500 employees and their business must have been in operation as of February 15, 2020. The first loan can be up to 2.5 times the business’ average monthly payroll costs, up to a $10 million loan maximum. 


*For borrowers who file IRS Form 1040, Schedule C

Second-Time Borrowers
Businesses can apply for a second loan whether or not they have requested Forgiveness. All businesses applying for a second PPP loan must show that their business revenue declined by at least 25% in 2020 compared to 2019.

  • The following borrowers can reapply or request an increase in their PPP loan amount:
    • a. If a borrower returned all of a PPP loan, the borrower may reapply for a PPP loan in an amount the borrower is eligible for under current PPP rules.
      b. If a borrower returned part of a PPP loan, the borrower may reapply for an amount equal to the difference between the amount retained and the amount previously approved.
      c. If a borrower did not accept the full amount of a PPP loan for which it was approved, the borrower may request an increase in the amount of the PPP loan up to the amount previously approved.
  •  

Updated January 20, 2021

Paycheck Protection Program: Loan Forgiveness

In response to the overwhelming impact of COVID-19 on small business owners, the Coronavirus Aid, Relief & Economic Security (CARES) Act, was passed by Congress and signed into law in order to provide federally-backed funding to small businesses and nonprofits in need.  On January 19, 2021, the SBA issued revised 3508 and 3508EZ Forms. The SBA also released a revised 3508S Form, which is now for loan amounts of $150,000 or less.  To apply for forgiveness of your PPP loan, you (the Borrower) may use the applicable Form and complete the application and submit it to your Lender. Form instructions are now included within each application document, which we have provided for you in the Loan Forgiveness Resources section of this page.

Borrowers must also submit the required supporting documents outlined in the application instructions, including:

Payroll (provide documentation for all payroll periods that overlapped with the Covered Period or the Alternative Payroll Covered Period):
      • Bank account statements or third-party payroll service provider reports documenting the amount of cash compensation paid to employees
      • Tax forms (or equivalent third-party payroll service provider reports) for the periods that overlap with the Covered Period or the Alternative Payroll Covered Period:
          • Payroll tax filings reported, or that will be reported, to the IRS (typically, Form 941); and
          • State quarterly business and individual employee wage reporting and unemployment insurance tax filings reported, or that will be reported, to the relevant state
      • Payment receipts, cancelled checks, or account statements documenting the amount of any employer contributions to employee health insurance and retirement plans that the borrower included in the forgiveness amount
Non-payroll (for expenses that were incurred or paid during the covered period and showing that obligations or services existed prior to February 15, 2020):
        • Business mortgage interest payments: Copy of lender amortization schedule and receipts verifying payments, or lender account statements
        • Business rent or lease payments: Copy of current lease agreement and receipts or cancelled checks verifying eligible payments
        • Business utility payments: Copies of invoices and receipts, cancelled checks or account statements
This list of documents required to be submitted to the Lender is not all-inclusive.

This update is being provided as a convenience. This information does not, and is not intended to, constitute legal advice; instead, all information, content, and materials are for general informational purposes only. Limestone Bank does not assume, and expressly disclaims, any responsibility for these and any future updates to you. You should contact your attorney to obtain advice with respect to any particular legal matter herein. Limestone Bank gives no warranty and accepts no responsibility or liability for the accuracy or the completeness of the information and materials contained herein. All liability with respect to any action taken or not taken based on the content above are hereby expressly disclaimed.

We're Here to Help.

Rest assured, the health and well-being of our customers, our employees, and members of the community is our highest priority. We are closely monitoring the evolving circumstances surrounding COVID-19 and will continue to follow the recommendations from the CDC. 
Below are number of banking services and resources that may be of interest to you as we all do our best to stay safe and healthy.
We've added a new service to help keep our customers and employees safe — banking from the convenience of your car. Now available at select locations!

Learn more about Curbside Banking.
Monitor your transactions, transfer funds, and manage your account while at home or on the go — all without having to visit a banking center.

Visit our Online & Mobile Banking page to get started.
Bank by Phone (operating 24 hours a day): 877.238.7564

Report a Lost or Stolen Debit Card (operating 24 hours a day): 888.297.3416  

To speak with Limestone Bank team member directly, call our Customer Resource Center (CRC)877.369.2265 open Monday-Friday 8a – 6p EST and Saturday 9a – 1p EST.

Keep your finances safe.

At Limestone Bank, we’re dedicated to giving your money the security it deserves. Even though things may feel a bit uncertain this year, remember that the safest place for your money is inside an FDIC-insured bank.

Guard against fraud.

We're here to help remind you to guard against fraud and potential cyber criminals who are trying to take advantage during this time. Follow us on Facebook for scam alerts to be aware of, and resources to help keep you protected. And remember, if you ever have any concerns, please call us immediately.

Still have questions?

Learn more about the Coronavirus Aid, Relief, and Economic Security (CARES) Act by visiting the U.S. Treasury PPP Guidance Page.

Additional Resources

Get the latest updates from the Centers for Disease Control & Prevention (CDC).
 
 
Visit the official Team Kentucky source for information concerning COVID-19.
 
Access the Consumer Financial Protection Bureau (CFPB) for resources to help you make financial decisions.