Banks reported struggling to get through to the Small Business Administration on Monday to enter loan application information to the newly replenished small business relief program.
Olivier Douliery / AFP via Getty Images
Small business loans site crashes on 1st day of reopening
By Danielle Kurtzleben/NPR
Olivier Douliery / AFP via Getty Images
Banks reported struggling to get through to the Small Business Administration on Monday to enter loan application information to the newly replenished small business relief program.
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On the first day of the reopened Paycheck Protection Program, banks are reporting that the Small Business Administration’s portal is not working.
Bankers told NPR on Monday that the system, known as E-Tran, would not allow them to enter loan application information that is needed for small businesses to access the program.
“We have been attempting to access E-Tran since 10:30 and have had no luck,” said Maria Amoruso, chief marketing officer at Pennsylvania’s NexTier Bank, in a midday message to NPR.
Amoruso said her bank had 13 small business loan applications ready on Monday morning. As of midday, her team had only been able to get one loan entered into the system, despite preparing for this all weekend.
“We worked through the weekend to ensure our loans were ready to go,” she added.
This is just the latest issue with the small business loan program that has come under intense criticism for multiple reasons — for example, the fact that large banks received $10 billion of the processing fees, as well as complaints about that money going to big businesses or to preferred customers of big banks.
The federal government on Monday restarted the emergency loan program with $321 billion in funds. Called the Paycheck Protection Program, it first opened on April 3 with $349 billion in funding — a pot of money that ran out in 13 days.
Bankers of all levels expressed frustration over the malfunctioning E-Tran system. Rob Nichols, CEO and president of the American Bankers Association, a trade group that represents banks of all sizes, tweeted angrily about the problems Monday morning.
“Our member banks across the country are deeply frustrated at their inability to access @SBAgov‘s E-Tran system,” he tweeted. “We have raised these issues at the highest levels. Until they are resolved, #AmericasBanks will not be able [to] help more struggling small businesses.”
The SBA did not respond immediately to a request for comment.
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