Skip to main content
OVCB & ESCB Rotating Logo

As an established and recognized Small Business Administration (SBA) lender, we are committed to helping businesses through these unprecedented times. We are participating in the COVID-19 loan relief programs because you and your business are vitally important to us.

There are 2 primary SBA COVID loan programs available and a third debt relief program for existing SBA borrowers. As details about these loan programs and the application processes continue to evolve daily, below is our interpretation of the three programs based on what we know as of now:

Paycheck Protection Program (PPP)
Effective Monday, April 27, 2020, the SBA has resumed accepting Paycheck Protection Program applications from participating lenders. Congress has allocated an additional $320 billion to the program.
  • Designed to provide short-term cash flow assistance for small businesses to keep employees working and on the payroll.
  • Uses – payroll costs which may include wages, salaries, retirement contributions, healthcare benefits, insurance premiums, and other expenses. Also, rent, mortgage interest, and utilities for contracts which were in place before February 15, 2020.
  • Amount – up to 2.5 times your business’ average monthly payroll.
  • Terms – No payment for the first 6 months. Total term is 2 years.
  • Forgiveness provision – subject to SBA approval.
  • Program is available through June 30, 2020.
  • Apply directly through the bank.
One of the most prominent features of the PPP is the “forgivable” part of the loan. If the guidance and requirements determined by the SBA are not followed exactly, there is a chance that loan forgiveness could be denied. For this reason, and your benefit, please be sure to follow the guidelines as instructed, or consult your tax professional. To apply for a PPP loan, contact your nearest Branch.
Economic Injury Disaster Loan (EIDL)
  • Designed to provide small businesses with working capital loans to help overcome the temporary loss of revenue they are experiencing.
  • Uses – payroll costs, fixed debts, accounts payable, and other expenses which can’t be paid due to the impact of the disaster.
  • Amount – up to $2 million.
  • Advance Provision – Up to $10,000
  • Terms – Up to 30 years.
  • No forgiveness provision.
  • Apply directly through the SBA for COVID-19 EIDL.
SBA Debt Relief

$17 Billion was allocated for existing SBA borrowers for payment of principal, interest, and fees for 7(a) loans including Community Advantage, 504, and Microloan.

  • Designed to provide a reprieve to small businesses as they overcome the challenges created by this health crisis.
  • Under this program the SBA will:
      1. pay the principal and interest of new 7(a) loans issued prior to September 27, 2020.
    1. pay the principal and interest of current 7(a) loans for a period of six months.
  • This is not a deferment but is actual debt forgiveness for the borrower.
  • These SBA payments will be enacted by SBA automatically.
  • This program is available for loans approved no later than June 30, 2020.
Please visit directly for more information and updates regarding these specific loan programs.
A Closing Note:

The financial industry is already seeing intense demand for all these products as most businesses are affected by COVID-19. We anticipate the possibility of delays at the SBA as well as financial institutions that have been called on to administer these new PPP Loans. Please know, during this time, we will be doing everything in our power to ensure your application is handled as fast as possible.

Home | Personal Banking | Commercial Banking | Investments | Online Banking | Banking Resources | About Us
Branches | Careers | Contact Us | Stock Price | Privacy Statement | Security Statement
1-866-844-7500 | Customer Service | © 1999- Oak Valley Community Bank. All Rights Reserved
Equal Housing LenderEQUAL HOUSING LENDER | MEMBER FDIC | Get Adobe Reader
OVCB ESCB Logo Footer

Oak Valley Community Bank Eastern Sierra Community Bank