The Long-Term Effects Felt by Lenders Nationwide.
As a result of the United States government instituting the Paycheck Protection Program (“PPP”), companies nationwide have defaulted on hundreds of thousands of PPP loans, and some say that fraud could be an essential factor. To date, PPP lenders have submitted about 500,000 defaulted PPP loans to the Small Business Administration (“SBA”), which must pay lenders the whole amount plus interest under the law.
