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Paycheck Protection Program

The second round of the Paycheck Protection Program, as amended with the passage of the Economic Aid Act, is designed to aid employers and workers during the coronavirus (COVID-19) pandemic. The Paycheck Protection Program loan can help you pay expenses such as payroll, interest paid on a mortgage, rent, and utilities. The loan is fully backed by the Small Business Administration (SBA) and ranges in amounts from $10,000 to $2,000,000. For this round of Paycheck Protection Program loans, funds have been set aside specifically for credit unions to ensure we have the ability to serve our members.

To facilitate the processing of Paycheck Protection Program loan applications, Gesa has partnered with Kabbage, an online financial technology company who processed the second highest number of PPP loans in the nation during the first round. To get your application started, click 'APPLY NOW' below to be taken to the Gesa portal with Kabbage. At this time, we are only accepting applications through our online portal with Kabbage and we are not able to accept paper applications in the branches or by phone.

NOTE: When you reach the Paycheck Protection Program application page, please use the “Apply Now” button to get started. As you complete your application, if you reference a previous PPP loan, please use your SBA (not Gesa) account number.

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If you would like more information about the Paycheck Protection Program, please read the FAQ section below. If you have any questions, please email us at This email address is being protected from spambots. You need JavaScript enabled to view it..

Paycheck Protection Program Forgiveness

Designed to help employers through COVID-19.


The Paycheck Protection Program, enacted with the passage of the CARES Act, is designed to aid employers and workers during the coronavirus (COVID-19) pandemic. The Paycheck Protection Program loan is structured to help small business owners pay expenses such as payroll, interest paid on a mortgage, rent, and utilities, and ranges in amounts from $10,000 to $10,000,000.

The Small Business Administration (SBA), in consultation with the Department of the Treasury, is providing guidance to address questions concerning forgiveness of these Paycheck Protection Program (PPP) loans.

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For more information about the Paycheck Protection Program and Paycheck Protection Program Forgiveness, please read the FAQ section below.

Frequently Asked Questions PPP Loan Applications

How long is the Paycheck Protection program available?

This round of the Paycheck Protection program will be available until March 31, 2021.

Who do I contact at Gesa if I have questions or need assistance?

Please send all questions to This email address is being protected from spambots. You need JavaScript enabled to view it.. Our phone lines are busy and email will allow responses to be made within 24 hours.

Who is eligible for a Paycheck Protection loan? 

Your business must have been operational as of February 15, 2020. In addition, the following businesses are eligible:

  • Small businesses, 501(c)(3) nonprofit, a 501(c)(19) veteran’s organization, or Tribal businesses described in section 31(b)(2)(C) of the Small Business Act with no more than 300 employees (500 NAICS code 72 businesses) , or the applicable size standard for the industry as provided by SBA, if higher.
  • Sole-proprietors, independent contractors, and other self-employed individuals, such as S-Corps and LLCs, are eligible for loans.
  • Business’s must show a reduction in revenues of 25% or more for the year 2020 or quarter over quarter.  For example, Q3 2020 versus Q3 2019.

What is needed to determine eligibility?

  • For First Draw PPP Loan Requests: the business must provide verification of payroll expenses, utility expenses, and rental expenses for 2020. These business owners can apply for a PPP loan through 3/31/2021.
  • For Second Draw PPP loan Requests: the business must have been in operation as of February 15, 2020 and received a PPP loan during the First Draw rounds and had employees for whom it paid salaries and payroll taxes, or a paid independent contractor. They also need to verify payroll expenses, utility costs, and rental expenses.  Typically, quarterly payroll reports from a third-party provider or IRS forms 941 and 943. 

What is the amount of loan I can request?

To determine the amount of loan you are eligible for you, take the average eligible monthly payroll costs, excluding compensation above $100,000 in wages, and multiply that figure by 2.5, or 3.5 if your business is in NAICS 72 sectors.  The minimum loan amount is $10,000 and the maximum loan amount is $2,000,000.

  • First Draw PPP Loans are equal to 2.5 times the monthly average salary expenses.
  • First Draw PPP Loans can ask for an increase or ask to use unused PPP Loan amounts.
  • Second Draw PPP Loans are equal to 2.5 times, or 3.5 times for NAICS 72 business sector, of their 2020 average monthly payroll expenses. They also have to prove that their revenues from Q1 2020 to Q4 2020 declined by 25% or more compared to 2019, or complete a quarterly test.

 *Payroll costs are defined as:

  • salaries/wages/commissions, or cash tips (capped at $100,000 on an annualized basis for each employee)
  • employee benefits including costs for vacation, parental, family, medical, or sick leave; allowance for dismissal or separation; payments required for the provision of group health care benefits including insurance premiums; and payment of any retirement benefits, dental, group life insurance, and disability.
  • state/local taxes assessed on compensation of employees, and
  • for a sole proprietor or independent contractor: wages, commissions, income, or net earnings from self-employment, capped at $100,000 on an annualized basis for each employee.
  • Farmers must show gross receipts from their schedule F.

What are the allowable uses of the loan?

Allowable uses of the loan include eligible payroll support (eligible employee salaries which excludes compensation above $100,000 in wages, paid sick or medical leave, insurance premiums), interest paid on a mortgage (excludes any prepayment of or payment of principal) or rent, and utility payments.  The proceeds have to be used towards a minimum of 60% of payroll costs. 

What is the interest rate and fees for a Paycheck Protection loan?

The rate for a Paycheck Protection loan is 1.00% APR and there are no fees. 

What is the term of the loan?

The Paycheck Protection loan is a 5-year full payout loan. There will be no prepayment penalty. This program allows for complete deferment of SBA 7(a) Loan payments for at least six (6) months.

Is collateral required?

Paycheck Protection loans are unsecured and no collateral required.

Do Paycheck Protection loans have to be paid back?

The borrower may be eligible for loan forgiveness equal to the amount spent by the borrower during an 8 week or 24 week cover period after the origination date of the loan on eligible payroll costs, interest payments on any mortgage incurred (excludes principal and prepayments), payment of rent on any lease in force, and payment on any utility for which the borrow was expensed during the year. Amounts forgiven may not exceed the principal amount of the loan plus accrued interest.

What documents are required with my application?

In order to apply for a Paycheck Protection loan, the following documents are required:

  • Completed application (SBA Form 2483 SD)
  • Articles of Incorporation/Organization for each borrowing entity
  • By Laws/Operating Agreement for each borrowing entity
  • A copy of all owners driver’s licenses
  • Payroll expense verification documents to include:
    • IRS Form 940, 941, and 943
    • Payroll Summary Report with corresponding bank statements
      • If a Payroll Summary Report is not available, employee pay stubs (or corresponding period) with corresponding bank statements
    • Proof of a reduction in revenues by 25% or more
    • Breakdown of payroll benefits, such as vacation, allowance for dismissal, group healthcare benefits, retirement benefits, etc.
    • 1099 form (applicable only if you are an independent contractor)
  • Certification that all employees live within the United States. If some of your employees live abroad, provide a detailed list with corresponding salaries of all employees outside the United States
  • Trailing twelve-month profit and loss statement (as of the date of application) for all applicants
  • Most recent mortgage statement, rent statement, or lease
  • Most recent utility bills, such as electricity, gas, telephone, internet, or water
Frequently Asked Questions PPP Loan Forgiveness

Is Gesa Credit Union accepting SBA PPP forgiveness applications? 

Yes, the SBA is now processing PPP loan forgiveness applications. 

Will my SBA PPP loan be automatically forgiven?

The SBA in consultation with the Department of Treasury has streamlined SBA PPP loans that are $50,000 or less.  They provided a new application form 3508 S. Your loan amount could be fully forgiven, unless you received an Economic Injury Disaster Loan (EIDL) advance from the SBA. If you received and EIDL advance of $10,000 or less, that amount will be deducted from the SBA forgiveness amount. The SBA has the discretion to partially forgive your loan. 

What happens to the portion of my loan that is not forgiven?

Gesa will give you the option to pay your remaining balance in full, or make monthly payments amortized over the remaining term of the loan at the agreed upon interest rate of 1.00%. 

What application do I use if my SBA PPP loan was more than $50,000?

SBA PPP loan amounts greater than $50,000 for sole props, contract employees, 1099 employees will use the form 3508 EZ application. SBA PPP loan amounts greater than $50,000 for those borrowers who do not qualify for the EZ form requirements will use the form 3508 application. 

What recent changes has the SBA made to this loan program?

After June 5, the SBA extended the cover period from 8 weeks to 24 weeks. In addition, they extended the payment deferral period from 6 months to 10 months after the cover period ends.   

What if I have additional questions regarding the SBA PPP Forgiveness process?

For more information, check out the PPP Loan Forgiveness FAQ document.

Where can I find the SBA PPP Loan Forgiveness Application?

Gesa is using a third party vendor to process the forgiveness applications. Please do not complete an application from the SBA.gov website and send it to Gesa. We are only processing applications and obtaining supporting documentation through the link listed below.

  • Begin your application online.
  • ID is the business name, exactly how it is reflected on the PPP application.
  • Password is the business’s EIN number, no spaces or dashes.

If I have questions for a Gesa Team Member, who do I contact?

Please send an email to This email address is being protected from spambots. You need JavaScript enabled to view it. if you have any questions regarding the SBA PPP Forgiveness process.