The Paycheck Protection Program, the U.S. government's coronavirus relief fund for small businesses, resumed billions of dollars in low-interest lending on April 27.
President Donald Trump signed the bill April 24 that authorizes an additional $310 billion in funds for the program, which offers forgivable, 1% interest loans for companies with a maximum of 500 employees. That's on top of the $350 billion that was loaned out in the first round of the program in a mere two weeks. The loans are forgivable in full if the companies use 75% of the federally backed money on paying and retaining their employees.
But the rush to get funds will likely cause the second round of funding to go fast, experts said. Bank of America CEO Brian Moynihan said on CBS' Face the Nation Sunday that his bank had $50 billion in applications ready for the second round of PPP funds. JPMorgan Chase, the nation's biggest bank, also said it has 150,000 applications ready to go, with thousands more in the works.