The SBA has released a second procedural notice with updated instructions on how to clear hold codes and compliance check error messages when submitting first and second-draw PPP loans.

The new procedural notice clarifies borrowers must certify the information used to resolve the hold code or error message. Specifically, lenders may resolve certain hold codes and error messages “by obtaining a written borrower certification along with supporting documentation of the type identified for each hold code or compliance check error message in the First Revised Hold Code Notice.” Once obtained, “the Lender may execute the updated certification within the Platform.” “The Lender must retain the borrower’s written certification and supporting documentation in its file and must provide them to SBA as indicated in the Lender Certification.” Once the process is complete, the PPP platform will “automatically move the loan guaranty application to the next stage of loan processing.”

You can read the new Procedural Notice here.

Please reach out to CCI with any PPP-related questions.

Sincerely,

Sarah Smith, CRCM, CAFP