Heard on the Street – here’s what we were reading last week:
Community Development Lenders Turning to Fintech for a Boost During Crisis: The most recent COVID-19 response legislation set aside $30 billion in PPP authority specifically for CDFIs. But in order to get that $30 billion flowing, they still need to figure out where to get cash up front. A growing number of CDFIs are turning to CNote, a fintech platform.
$1B for CDFI would reach businesses, underserved communities: Dozens of organizations Friday called on Congressional leadership to appropriate $1 billion to the Treasury’s CDFI Fund, as CDFIs provide financial services in urban neighborhoods and rural areas underserved by traditional financial institutions, particularly those with high rates of poverty and unemployment.
Hope for local businesses: companies seeing PPP loans deposited: Some small businesses in Western New York that have been waiting for weeks to receive their Paycheck Protection Program loans, or PPP loans, from the federal government are finally seeing money hit their bank accounts.
Paycheck Protection Program Report: Second Round: The SBA released a report summarizing the second round of the Paycheck Protection Program. Notable findings between round one and round two include: average loan size decreased from $206,000 to $79,000; 54% of loans were less than $250,000 (versus 32% in round 1); 37% of loans were less than $150,000 (versus 17% in round 1)