SBA Procedural Notice 5000-20090: Extension of Guidance on Acceptable Signatures for Microloan Program Notes, January 28, 2021
Summary
SBA Procedural Notice 5000-20090, effective January 28, 2021, extending earlier guidance on acceptable signatures for Microloan Program notes through April 30, 2021 because of the COVID-19 pandemic. Microloan intermediary lenders may accept scanned copies of signed microloan notes from small businesses. The SBA still does not allow electronic signatures on these notes, and the notice sets conditions for the lender to obtain the signed note.
Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used
Full text
SBA Procedural Notice
TO: All SBA Employees and SBA Microloan CONTROL NO.: 5000-20090
Intermediary Lenders
EFFECTIVE: January 28, 2021
SUBJECT: Extension of Guidance on Acceptable
Signatures for Microloan Program Notes
This notice is being issued to extend SBA Procedural Notice 5000-20013, “Guidance on
Acceptable Signatures for Microloan Program Notes,” effective April 3, 2020; SBA
Procedural Notice 5000-20052, “Extension of Guidance on Acceptable Signatures for
Microloan Program Notes,” effective September 29, 2020; and SBA Procedural Notice 5000-
20063, “Extension of Guidance on Acceptable Signatures for Microloan Program Notes,”
effective November 23, 2020, for an additional three months through April 30, 2021. The
purpose of this Notice is to provide guidance to SBA Microloan Program Intermediary
Lenders regarding acceptable signatures on the notes signed by small businesses when closing
loans under the Microloan Program during this period of uncertainty due to the ongoing
Coronavirus Disease 2019 (COVID-19) pandemic.
Small Business Loans closed by Microloan Program Intermediary Lenders
SBA does not currently permit Microloan Program Intermediary Lenders to use electronic
signatures on the microloan notes used to close small business loans under the Microloan
Program.
Effective immediately and until April 30, 2021, SBA is allowing Microloan Program
Intermediary Lenders to accept scanned copies of signed microloan notes, provided the SBA
Lender also obtains a copy of the driver’s license (front and back) of the person executing the
microloan note or other valid form of identification.
In all cases where a scanned copy of a microloan note was used to close a small business loan
under the Microloan Program, an original signature note must be obtained within 6 months of
the date of the note. If the Microloan Program Intermediary Lender fails to obtain the required
original signature within 6 months of the date of the note, SBA may require the Microloan
Program Intermediary Lender to purchase the subject microloan out of the SBA Microloan
Program loan portfolio.
PAGE 1 of 2 EXPIRES: 1-1-22
SBA Form 1353.3 (4-93) MS Word Edition; previous editions obsolete
Must be accompanied by SBA Form 58
Federal Recycling Program Printed on Recycled Paper
SBA Microloan Intermediary Lenders are reminded to protect all Personally
Identifiable Information (PII) in accordance with all applicable privacy and other
laws and practices.
Questions
Questions on this Notice may be directed to Daniel Upham, Chief, Microenterprise
Development Division, Office of Financial Assistance via email at Daniel.Upham@sba.gov.
John A. Miller
Acting Associate Administrator
Office of Capital Access
PAGE 2 of 2 EXPIRES: 1-1-22
SBA Form 1353.3 (4-93) MS Word Edition; previous editions obsolete
Must be accompanied by SBA Form 58
Federal Recycling Program Printed on Recycled Paper
File and source
- File
- 2021-01_Procedural-Notice-5000-20090-Extend-Microloan-Electronic-Signatures-to-4-30-21.pdf
- Size
- 35,504 bytes
- SHA-256
- 10e5fbb7841f5dbdc983e1f7c11f6a4548e487c91211289a68e01c644c65140d
- Original
- www.sba.gov