Numerated Paycheck Protection Program Loan Forgiveness Data - Week of Feb. 1

Sal Trifilio

February 01, 2021

Approximately 24% of PPP borrowers have submitted applications to the SBA, with roughly 22% receiving full or partial Forgiveness

PPP-Data-wk-of-2-1-21

BOSTON (February 1, 2021) -- Numerated, the business lending technology company, is releasing insights on the Forgiveness process for the Small Business Administration (SBA) Paycheck Protection Program (PPP) as of February 1, 2021.

The following statistics are based on a sample of more than 250,000 PPP loans processed by Numerated for 100+ lenders across the U.S., representing more than $34.5 billion in relief funds.

PPP Forgiveness Funnel

The table below is a comprehensive look at Forgiveness applications as they make their way from the borrower, to lenders, to the SBA and back, through the Numerated platform.

Editor’s Note: As of our Jan. 11 report, dozens of new customers have added their PPP loans to the Numerated platform to process Forgiveness for their borrowers. These additional loans have somewhat suppressed reported percentages in the funnel below, however trends in week-over-week change remain consistent.

PPP Loan Forgiveness Progress

As of
Jan. 11, 2021

As of
Jan. 18, 2021

As of
Jan. 25, 2021

As of
Feb. 1, 2021

Weekly change from Jan. 25 -
Feb. 1, 2021

Borrowers who have begun a Forgiveness application thus far 

45% 41% 44% 45%

+4%

Borrowers who have submitted their Forgiveness application to lenders

39% 36% 38% 39%

+4%

Forgiveness applications submitted by lenders to SBA for review

23% 22% 23% 24%

+5%

Forgiveness applications the SBA has responded to

19% 18% 20% 22%

+6%



SBA Forgiveness Responses by Loan Amount

This table breaks down Forgiveness applications which have received a final response from the SBA, based on loan amount.

Percentage of SBA Responses
by Loan Amount

New for the Week of  
Jan. 25 - Feb. 1, 2021

Lifetime of Program

<$50k

56%

59%

$50k-$100k

14%

14%

>$100k

30%

27%



Borrowers Applying for Full vs Partial Forgiveness

This table breaks down Forgiveness applications based on how much Forgiveness a borrower is applying for, categorized by those that have applied full Forgiveness and those who have applied for partial Forgiveness.

Full vs Partial Forgiveness Applications

New for the Week of  
Jan. 25 - Feb. 1, 2021

Lifetime of Program

Borrowers applying
for full Forgiveness

78%

79%

Borrowers applying for
partial Forgiveness

22%

21%

 

Borrowers Applying for Partial Forgiveness

For borrowers applying for partial Forgiveness, this table breaks down the percentage of partial Forgiveness requests due to EIDL Advances vs uncovered use of funds.

Partial Forgiveness Applications

New for the Week of  
Jan. 25 - Feb. 1, 2021

Lifetime of Program

Borrowers applying for partial Forgiveness due to EIDL Advances

60%

89%

Borrowers applying for partial Forgiveness due to uncovered use of funds

40%

11%

 

Applications by Form Type

This table breaks down Forgiveness applications that borrowers have started on the Numerated platform, based on the SBA form they’ve chosen.

Forgiveness Applications
by Form Type

New for the Week of   Jan. 25 - Feb. 1, 2021

Lifetime of Program

3508

5%

9%

3508S

66%

45%

3508EZ

29%

46%

 


Takeaways

  • While the SBA’s response rate slowed week-over-week, they were able to bump total loans responded to by another two percentage points. The SBA’s response rate is in line with the pace at which borrowers started new Forgiveness applications, and at which lenders submitted those applications to the SBA.
  • The stimulus bill passed at the end of 2020 included legislation for “simplified Forgiveness” for loans up to $150,000. This has caused many borrowers to delay the Forgiveness process. We expect Forgiveness submission rates to increase once official guidance and forms are released by the SBA for simplified Forgiveness.
  • Form 3508S--the form that is likely to be used or modified for simplified Forgiveness--accounted for two-thirds of all Forgiveness apps started last week. The light-weight form is favored by borrowers and on average can be completed about 33 percent faster than the 3508EZ application.
Numerated will release updated PPP Forgiveness data every Monday. For more information on Numerated or these insights, please contact marketing@numerated.com.

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Read previous PPP Forgiveness Data reports:

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