@Flash wrote:
I think my issues with the first wave of PPP was that it wasn't a lottery. In a lottery every ticket has an equal chance of winning. In this situation, those with banking relationships with smaller banks, regional banks, local banks were disadvantaged because they did not have the staff or clout to get all the rules clarified as quickly as the big banks so that they could feel comfortable issuing the loans or even processing them or advising truly small businesses how to file for them. With the loans 'first come first served' it was not a lottery but a foot race where those with the biggest legal teams got pushed to the front of the line.
@Tarantado wrote:
The PPP Loan process isn’t equal odds. It is supposed to be a matter of first-come, first-serve and being placed in a queue, which didn’t happen due to relationship bias with the outsourced banks. This is much different from a lottery, as a lottery allows you to enter your applications within the time period and getting an equal chance. So maybe a lottery is a bad way to describe it; more like a crap shoot.
@ wrote:
Some businesses seeking coronavirus loans got to avoid flaky online portals or backed-up queues. Many other small businesses couldn’t get their loan requests submitted before the money dried up.
The federal government’s $349 billion aid program for small businesses devastated by the coronavirus pandemic was advertised as first-come, first-served. As many business owners found out, it was anything but.
That’s because some of the nation’s biggest banks, including JPMorgan Chase, Citibank and U.S. Bank, prioritized the applications of their wealthiest clients before turning to other loan seekers, according to half a dozen bank employees and financial industry executives who spoke on the condition of anonymity because they were not authorized to discuss the banks’ operations.
I'm surprised they have less than 500 employees. Reminds me of Harvard asking for bailout money.@sandyf wrote:
Another "small business" headline. Lakers return $4.6M loan meant for small businesses (Los Angeles Lakers that is)
@Opanel wrote:
Isn't it "heartwarming" to hear that so many of these major corporations are no longer "confused," and are returning the taxpayers' money so that it can be used for the purpose for which it was intended. Why does the expression, "Sorry only because they got caught" come to mind?
You're right, and it is a disgrace. However, they evidently have until May 7, 2020 to decide if they plan to change their position. It will be interesting to see how many major companies decide to return their ill-gotten gains at the last minute before the Feds go after them.@roflwofl wrote:
@Opanel wrote:
Isn't it "heartwarming" to hear that so many of these major corporations are no longer "confused," and are returning the taxpayers' money so that it can be used for the purpose for which it was intended. Why does the expression, "Sorry only because they got caught" come to mind?
What's shocking is the number of companies who are saying "Nope. We've got it and we're keeping it."