Main Street Lending Program Announced

The Federal Reserve has announced that it is establishing a Main Street Lending Program (Program) to support lending to small and medium-sized businesses that were in sound financial condition before the onset of the COVID-19 pandemic. The program operates through three lending facilities and offers four-year loans, ranging in size from $500,000 to $200 million, with floating rates, and principal and interest payments deferred during the first year to assist businesses facing temporary cash flow interruptions.

Lending is conducted through Eligible Lenders. The Federal Reserve does not extend loans directly to borrowers. Main Street loans are not grants and cannot be forgiven.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s