Beware of SBA Loan Scams

Unfortunately, hackers and scammers are targeting small business owners accessing the Paycheck Protection Program, part of the $2 trillion stimulus package signed by the President last week.  Experts are estimating billions of dollars of fraudulent claims will be filed as banks themselves may be understaffed and ill-equipped to verify all the companies that will be applying for these 100 percent guaranteed, no fee SBA loans. 

Here are things to know so you do not fall victim to one of these scams:

The SBA does not initiate contact on either 7a or Disaster loans or grants.  If you are proactively contacted by someone claiming to be from the SBA, suspect fraud.

• Do not respond to any type of communication, including phone calls, emails, or text messages, from anyone claiming to be from the Treasury Department or the SBA offering you grants or stimulus payments. 
• Do not provide any private information to anyone you don’t know, especially not social security numbers or banking or credit card details.

The SBA has set up the stimulus package loans so that business owners do not have to pay any type of fee.

• Suspect fraud if someone promises to get approval of an SBA loan and asks for payment up front or offers a high interest bridge loan. 

The SBA limits broker fees to 3% for loans up to $50,000, 2% for loans between $50,000 and $1 Million, and 2 ¼ % on amounts over $1 Million.

• Any attempt to charge more than these fees is inappropriate so you should work with a lender you know.

Any email communication from the SBA will come from accounts ending with sba.gov.

• If you are in the process of applying for an SBA loan and receive email correspondence asking for your Personal Identifiable Information (PII), ensure that the referenced application number matches the actual application number.

The presence of an SBA logo on a webpage does not guaranty the information is accurate or endorsed by SBA. 

• Please cross-reference any information you receive with information available at www.sba.gov.

The SBA has requested that you report any suspected fraud to the Office of the Inspector General’s Hotline at 800-767-0385 or submit a complaint online. 

As we are learning to navigate through these times of uncertainty and adjusting to our new normal, we here are at The Foresight Companies want to be your go-to source for all topics related to your business operations.

Please visit our COVID-19 new Business Operations Resource Center frequently as we continue to update as changes are occurring.

If you have any questions or concerns please do not hesitate to pick up the phone and give one of us a call at 1-800-426-0165.  

*Please note that as information is updated and modified, terms and conditions are subject to change.