SBA Loan Application Unlocks Full Range Of Disaster Assistance

CLINTON, MS – May 11, 2010 – (RealEstateRama) — Mississippians who suffered losses from the April 23-24 tornadoes and received a loan application from the U.S. Small Business Administration are urged to complete and return the application. Doing so will ensure the applicants are considered for the full range of disaster assistance, including additional grants.

Homeowners and renters who apply and do not qualify for an SBA loan, as well as those who are not issued a loan application after registering with FEMA, may be referred to FEMA’s Other Needs Assistance grant program. Homeowners and renters must return the SBA application, if they receive one, to be considered for this program.

Other Needs Assistance grants provide reimbursements for personal property losses, vehicle repair or replacement, moving and storage fees, and other serious disaster-related expenses not covered by insurance or other sources. Besides Other Needs Assistance grants, FEMA may also provide grants to help pay for temporary housing and home repairs.

The SBA offers disaster loans to individuals with interest rates as low as 2.75 percent and terms up to 30 years. These loans are for the repair or replacement of uninsured or underinsured primary residences and personal property, including vehicles.

Disaster loans with interest rates as low as 4 percent are available to businesses of all sizes. Interest rates are as low as 3 percent for nonprofit organizations. These loans are to repair or replace damaged business real estate, machinery, equipment, inventory and supplies. Small businesses and nonprofit organizations of all sizes may apply for economic injury disaster loans to pay ordinary operating expenses and scheduled debt payments the borrower cannot pay as a result of the disaster. It is not necessary to have physical damages to qualify for an economic injury disaster loan.

Other SBA loan application facts:

• The application should be completed even if an individual does not want or believe he or she qualifies for a loan. Determination for additional assistance cannot be made until the application is submitted; registrants should complete applications as soon as possible.
• FEMA will process applications for housing assistance regardless of whether the applicant has applied for an SBA loan.
• Insured applicants should not wait for an insurance settlement before they apply to SBA.
• Completing an SBA application does not guarantee approval for a loan.
• Completing the loan application does not obligate anyone to accept a loan.

Anyone with questions about loan applications or in need of assistance to complete them can meet with SBA representatives at any Disaster Recovery Center or call the SBA Customer Service Center at 800-659-2955 (800-877-8339 for people with speech or hearing disabilities). Applicants also may visit the SBA Web site at www.sba.gov/services/disasterassistance, or e-mail the SBA at disastercustomerservice (at) sba (dot) gov.

For more information, contact the State Emergency Joint Information Center at 866-920-MEMA (6362), or visit us online at www.msema.org. You can also follow us on Twitter and Facebook using the keyword MSEMA.

FEMA’s mission is to support our citizens and first responders to ensure that as a nation we work together to build, sustain, and improve our capability to prepare for, protect against, respond to, recover from, and mitigate all hazards.