HomeMy WebLinkAbout2018-06-22 FAQs re SBA Low-Interest Disaster Loans -- press releaseFEMA
DR -4366 -HI FAQ 002
June 22, 2018
HIEMA PIO: 808-733-4300
NEWS DESK: 808-851-7928
Frequently Asked Questions
SBA Low -Interest Disaster Loans to Businesses, Private Nonprofits, Homeowners
and Renters
What is an SBA disaster loan?
The U.S. Small Business Administration is the federal government's primary source of money for the
long-term rebuilding of disaster -damaged private property.
SBA helps businesses of all sizes, private nonprofit organizations, homeowners and renters fund repairs
or rebuilding efforts and cover the cost of replacing lost or disaster -damaged personal property. These
disaster loans cover losses not fully compensated by insurance or other recoveries and do not duplicate
benefits of other agencies or organizations.
SBA is working in conjunction with Hawai'i County Civil Defense Agency and FEMA to help business
owners and residents recover from the Kilauea eruptions and earthquakes.
Who is eligible for SBA low-interest loans?
The SBA is authorized to offer low-interest disaster loans to businesses of all sizes (including landlords)
private nonprofit organizations, homeowners and renters that have sustained disaster -related damage.
What's the most common misunderstanding about SBA loans?
The most common misunderstanding about an SBA loan is the assumption that SBA disaster loans are
only for businesses. While SBA offers loans to businesses of all sizes, low-interest disaster loans are
also available to private nonprofits, homeowners and renters alike.
When should you apply?
Businesses, private nonprofits, homeowners and renters should apply right away with SBA as part of the
overall federal disaster recovery process and not wait for any insurance claims to settle.
Why should you apply?
Survivors are encouraged to submit disaster loan applications even if they do not believe that they will
need a disaster loan. There is no obligation to accept if offered.
If the SBA is unable to approve a loan, in many cases you will be referred back to FEMA for possible
additional grant assistance
Some of these additional FEMA grants could include reimbursement for lost personal property, vehicle
repair or replacement, and moving and storage expenses.
What is available as part of the SBA low-interest loan programs?
Eligible homeowners may borrow up to $200,000 for home repair or replacement of primary residences
and eligible homeowners and renters up to $40,000 to replace disaster -damaged or destroyed personal
property, including automobiles.
Businesses of all sizes can qualify for up to $2 million in low-interest loans to help cover physical
damages. Small businesses and most private nonprofits suffering economic impact as a direct result of
the disaster can apply for working capital under SBA's Economic Injury Disaster Loan (EIDL) program.
The loan amount can be up to $2 million for any combination of property damage or working capital.
How do I register for FEMA assistance?
Hawai'i County residents who suffered losses as a result of the Kilauea eruptions may register:
• At the Disaster Recovery Center in the Kea`au High School Gymnasium, 16-725 Kea`au-
Pahoa Road
• Online at DisasterAssistance.gov
• By Phone 800-621-3362 (FEMA). Multilingual operators are available
o Applicants who use 711 or Video Relay Service may also call 800-621-3362. Persons
who are deaf, hard of hearing or have a speech disability and use a TTY may call 800-
462-7585.
o The toll-free numbers are open from 7 a.m. to 11 p.m., seven days a week.
What happens after I register?
Most survivors who register with FEMA are automatically referred to the SBA. Survivors are
encouraged to speak with SBA representatives to learn about the resources available.
What are the loan terms?
Interest rates for SBA disaster loans are as low as 1.938 percent for homeowners and renters, as low as
3.610 percent for businesses and 2.5 percent for private nonprofit organizations, with terms up to 30
years.
How do I apply with the SBA?
To apply for SBA low-interest disaster loans, Applicants can visit the disaster recovery center for one-
on-one assistance or apply online using SBA's secure website at https://disasterloan.sba.gov/ela.
In addition, applicants can get more information on SBA disaster assistance by calling SBA's
Customer Service Center at (800) 659-2955, by visiting www.sba.gov/disaster, or by emailing
disastercustomerservice@sba.gov.
Individuals who are deaf or hard of hearing may call (800) 877-8339.
Paper applications may be requested, and completed paper applications should be mailed to U.S. Small
Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX
76155.
• Calling 800-659-2955;
• Emailing disastercustomerservice@sba.gov