Paycheck Protection Program

Paycheck Protection Program

Comerica is not currently accepting new applications for the U.S. Small Business Administration (SBA) Paycheck Protection Program (PPP). If you are interested in applying for a new PPP loan while the program remains open, the SBA's Find a Lender search tool can assist you in finding another participating lender. If we begin accepting additional SBA PPP loan applications as a result of further SBA guidance and changes to the PPP loan program, we will update this site accordingly.

We've obtained PPP funding for more than 14,000 of our customers. Check out our PPP Highlights overview to learn more. More than 1,000 Comerica colleagues have been supporting the PPP project with the mission of serving our customers as they focus on keeping their workforce intact.

Preparing for PPP Loan Forgiveness

To our 14,000+ customers who received SBA Paycheck Protection Program funding, we encourage you to stay on track to be eligible for loan forgiveness. Up to 100% of your loan may be forgiven if you meet program requirements including using funds to pay for eligible business expenses.

 

What’s Next?

For explicit PPP information including details about forgiveness eligibility and program requirements, please visit the SBA’s PPP website and the U.S. Department of Treasury website. Review the SBA’s Frequently Asked Questions to learn additional insights on the forgiveness process. We recommend you consult with an accounting professional for specific questions about documenting your eligible expenses, as well as review your PPP loan documents with any legal or financial advisors who may support you.We know that your PPP loan is a critical element to weathering these challenging times. As the SBA releases further guidance, we are committed to keeping you informed about how and when to apply for PPP forgiveness through Comerica with updates by email and on the website.

Loan Forgiveness Timeline Calculator 

Input your PPP loan information into the following fields to understand the forgiveness process timing including the covered period, last day to apply for forgiveness and first payment due date.

PPP Loan Forgiveness FAQ

Note that much of the information below is taken directly from the SBA and/or the SBA Paycheck Protection Program Loan Forgiveness Application. The information posted here is solely for your convenience and is not intended to be, and should not be considered, comprehensive or definitive. Consult the SBA PPP website and U.S. Department of the Treasury website for information related to loan forgiveness and the PPP program. Guidance and rules directly from the SBA and/or the U.S. Treasury will supersede any information below or in any FAQ posted here, to the extent of any conflict.

In addition to the FAQ information below, please feel free to use our Comerica Virtual Assistant in the lower right corner to quickly locate PPP forgiveness information. Please disable your ad blocker in order to access Comerica Virtual Assistant.

1) Is PPP loan forgiveness automatic?

No. You must request and apply for forgiveness. 

 

2) Who is authorized to apply for PPP loan forgiveness?

When it comes time to apply, the application for PPP loan forgiveness must be completed, certified and signed by an Authorized Representative of the borrower.

An Authorized Representative is a person who has the power and authority to apply for and sign the PPP loan forgiveness application and other document(s) required for PPP loan forgiveness on behalf of the borrower; and who is authorized to sign and to make certifications for and on behalf of the borrower and on behalf of each owner of 20% or more of the borrower’s equity.

 

3) Can I request loan forgiveness from Comerica Bank for an SBA PPP loan?

Yes, if you have received a PPP loan through Comerica you must request forgiveness through Comerica. We are setting up a process to handle requests and will keep you informed as we get additional SBA guidance. The representative whose e-mail was provided on the PPP loan application form will receive an invitation to apply when the company is eligible to apply, and our site is open.

 

4) How will I apply for loan forgiveness? 

If you received a PPP loan from Comerica, we will send you a direct communication that explains how and when you may initiate a loan forgiveness request. Please do not submit a request for forgiveness until we prompt you to do so.

 

5) When can I request loan forgiveness for a PPP loan?

The Paycheck Protection Program Flexibility Act of 2020 made changes to the PPP rules, increasing the initial 8-week Covered Period to 24 weeks. According to rules issued by the SBA, a borrower may submit a loan forgiveness application any time - including before the end of the Covered Period - if the borrower has used all of the loan proceeds for which the borrower is requesting forgiveness. However, if the borrower applies for forgiveness before the end of the applicable Covered Period and has reduced any employee's salaries or wages in excess of 25 percent, the borrower must account for the excess salary reduction for the full 8-week or 24-week Covered Period, as applicable, in accordance with SBA rules.

 

6) Will accrued interest on the forgiven amount on a PPP loan also be forgiven?

If some or all of the PPP loan is ultimately forgiven, the SBA will pay the interest that has accrued with respect to the forgiven amount. Accrued interest on any unforgiven balance remaining will be included in your payments that will become due at the end of the deferral period.

 

7) What should I do to prepare for my loan forgiveness request?

Review the appropriate SBA's PPP Loan Forgiveness Application as a guide. Allow yourself ample time and effort to prepare; we encourage you to download the appropriate application and use it to organize your information in advance so you may complete your online application efficiently and accurately.

Reference the appropriate SBA’s instructions and guidance about calculating your requested forgiveness amount, documenting your eligible business costs, determining impact of FTE reduction and more. Complete the PPP Schedule A Worksheet (pages 4-5 in the full application form) and ensure the accuracy of the data which you will provide in your online application.

Please do not submit the SBA's PPP Loan Forgiveness Application to us, it is meant to only serve as a guide; we will only accept information entered on our online loan forgiveness application site. The PPP Loan Forgiveness Applications are for reference and informational purposes only.

Review the PPP Loan Forgiveness: Required Documentation guide we have created to familiarize yourself with the types of documents you will need to provide during the loan forgiveness process.

We also recommend you consult with an accounting professional for specific questions about documenting your eligible expenses, as well as review your PPP loan documents with any legal or financial advisors who may support you. Since legislative developments may cause SBA program guidelines to evolve, be sure to stay informed by visiting the SBA’s PPP website or the U.S. Department of the Treasury website.

 

8) When does the Covered Period begin for spending so that it may be eligible for loan forgiveness?

Please refer to the definitions of Covered Period and Alternative Payroll Covered Period on the instructions for the SBA's PPP Loan Forgiveness Applications. Please continue to check the SBA.gov and Treasury.gov sites for the latest information.

 

9) When do I need to use the loan proceeds to be eligible for forgiveness?

Please refer to the definitions of Eligible Payroll Costs and Eligible Nonpayroll Costs on the instructions for the SBA's PPP Loan Forgiveness Applications. Also refer to FAQ 8 above as to your Covered Period. Please continue to check the SBA.gov and Treasury.gov sites for the latest information.

 

10) If I spent my loan funds within the Covered Period, could I receive forgiveness on both the loan amount and the interest?

Yes, for the portion that meets all the SBA rules and if the SBA approves your request for loan forgiveness. 

 

11) Can I apply for loan forgiveness if I did not use all of my loan funds during the Covered Period?

You may apply for partial forgiveness if you did not use all of your loan proceeds for eligible expenses during the Covered Period, if you meet all SBA rules and if the SBA approves your request for loan forgiveness for that amount. Please refer to the definitions of Eligible Payroll Costs and Eligible Nonpayroll Costs on instructions for the SBA's Paycheck Protection Program Loan Forgiveness Application. Please continue to check the SBA.gov and Treasury.gov sites for the latest information.

 

12) What documents do I need to include when I apply for forgiveness?

Review the PPP Loan Forgiveness: Required Documentation guide we have created to familiarize yourself with the types of documents you will need to provide during the loan forgiveness process.We recommend you consult with an accounting professional for specific questions about documenting your eligible expenses, as well as review your PPP loan documents with any legal or financial advisors who may support you. You should also review the SBA's PPP Loan Forgiveness Applications

Please do not submit the SBA's PPP Loan Forgiveness Application to us, it is meant to only serve as a guide; we will only accept information entered on our online forgiveness application site. The PPP Loan Forgiveness Applications are for reference and informational purposes only.

Please continue to check the SBA.gov and Treasury.gov sites for the latest information.

 

13) What spending might qualify for forgiveness?

Please refer to the definitions of Eligible Payroll Costs and Eligible Nonpayroll Costs on the instructions for the SBA's PPP Loan Forgiveness Applications. Please continue to check the SBA.gov and Treasury.gov sites for the latest information.

 

14) Do mortgage principal and prepayments qualify for forgiveness?

Please refer to the definition of Eligible Nonpayroll Costs on the instructions for the SBA's PPP Loan Forgiveness Application. Please continue to check the  SBA.gov and Treasury.gov sites for the latest information.

 

15) Will my forgiveness amount be reduced for cases where a borrower laid-off or reduced hours of an employee, then offered to rehire the same employee for the same salary and same number of hours or restore reduction in hours, and the employee rejected the offer?

Please refer to the definition of FTE Reduction Exceptions on the instructions for the SBA's PPP Loan Forgiveness Applications. Please continue to check the SBA.gov and Treasury.gov sites for the latest information.

 

16) Will my loan forgiveness amount be reduced for employees that were fired for cause, voluntary resigned, or voluntarily requested a schedule reduction?

Please refer to the definition of FTE Reduction Exceptions on the SBA's PPP Loan Forgiveness Applications. Please continue to check the SBA.gov and Treasury.gov sites for the latest information.

 

17) What if I wasn't able to rehire my employees until partway through my loan forgiveness period?

Please refer to the definition of FTE Reduction Exceptions on the instructions for the SBA's PPP Loan Forgiveness Applications. Please continue to check the SBA.gov and Treasury.gov sites for the latest information.

 

18) How do I calculate FTEs in the context of PPP loan forgiveness?

Please refer to the definitions of FTE and Average FTE on the instructions for the SBA's PPP Loan Forgiveness Applications. Please continue to check the SBA.gov and Treasury.gov sites for the latest information.

 

19) Can Comerica Bank calculate my loan forgiveness amount for me?

No- per SBA guidance, providing an accurate calculation of the loan forgiveness amount is the responsibility of the borrower. Lenders are expected to perform a good-faith review, in a reasonable time, of the borrower’s calculations and supporting documents. If the lender identifies errors in the borrower’s calculation or material lack of substantiation in the borrower’s supporting documents, the lender should work with the borrower to remedy the issue.

Since legislative developments may cause SBA program guidelines to evolve, be sure to stay informed by visiting the SBA’s PPP website or the U.S. Department of the Treasury website. We also recommend you consult with an accounting professional for specific questions about documenting your eligible expenses, as well as review your PPP loan documents with any legal or financial advisors who may support you.

 

20) Do I need to have a separate bank account for my PPP funds?

The SBA does not require a separate account.

 

21) Can I use PPP funds to reimburse expenses paid through my personal account?

Yes, if the expense is an eligible use of PPP proceeds under SBA and Treasury guidance.

 

22) Can I pay back part or all of my loan sooner than the note maturity?

Yes. Please refer to the SBA.gov and Treasury.gov sites for the latest information.

 

23) Which SBA PPP Loan Forgiveness Application should I use?

On June 16, the SBA revised the Forgiveness Application to incorporate changes enacted by the PPP Flexibility Act of 2020. The SBA also issued a second PPP loan forgiveness application. The new EZ Forgiveness Application requires fewer calculations and less documentation for eligible borrowers. Eligible borrowers under the EZ Forgiveness Application are defined as:

  • Those who are self-employed
  • OR those did not reduce the salaries or wages of their employees by more than 25%, and did not reduce the number of their employees
  • OR those who experienced reductions in business activity as a result of health directives related to COVID-19 and did not reduce the salaries or wages of their employees by more than 25%

If you do not fall within one of these definitions, you should refer to the standard loan forgiveness application.

Please do not submit the SBA's PPP Loan Forgiveness Application to us, it is meant to only serve as a guide; we will only accept information entered on our online forgiveness application site. The PPP Loan Forgiveness Applications are for reference and informational purposes only.

We also recommend you consult with an accounting professional for specific questions about documenting your eligible expenses, as well as review your PPP loan documents with any legal or financial advisors who may support you.

Since legislative developments may cause SBA program guidelines to evolve, be sure to stay informed by visiting the SBA’s PPP website or the U.S. Department of the Treasury website.

 

24) How long will it take to process my application?

Once you have submitted a complete application, SBA guidelines provide lenders with 60 days to review and process the application prior to sending it to the SBA for approval. Once an application is submitted to the SBA, the SBA has an additional 90 days to review the application before making a decision.

To gain a better understanding of timing for the forgiveness process, leverage our loan forgiveness timeline calculator to input your information. The information provided by the calculator relies on the dates and responses provided by you, and is for illustration purposes for your convenience only. Comerica makes no representations or warranties as to the accuracy of the dates shown, and we encourage you to refer to your loan documents and the SBA PPP website for the authoritative terms, provisions and rules governing your PPP loan.

 

25) Can Comerica make a change or update to my forgiveness application if I request it?

We are not able to make changes to your application for you. Once you submit your application, we cannot guarantee that you will have the ability to make changes, so we encourage you to confirm your application is complete and accurate prior to submitting. If you would like to make changes to your application after submitting it, you may initiate a request to reopen your application, but we cannot provide assurances that we will be able to do so in all cases. If your application is able to be reopened, you will need to make the desired changes, upload any additional documents that are required as a result of the change, and re-certify your updated application in a timely manner so that your application can be processed within our 60-day review period.

 

26) For loans approved prior to June 5, 2020, is the Covered Period 8 to 24 weeks or 8 or 24 weeks?

The Paycheck Protection Program Flexibility Act of 2020 made changes to the PPP rules, increasing the initial 8-week Covered Period to 24 weeks (though borrowers with loans approved prior to June 5, 2020, may still elect to use the initial 8-week Covered Period). According to rules issued by the SBA, a borrower may submit a loan forgiveness application any time - including before the end of the Covered Period - if the borrower has used all of the loan proceeds for which the borrower is requesting forgiveness. However, if the borrower applies for forgiveness before the end of the applicable Covered Period and has reduced any employee's salaries or wages in excess of 25 percent, the borrower must account for the excess salary reduction for the full 8-week or 24-week Covered Period, as applicable, in accordance with SBA rules.

 

27) If I am applying for forgiveness using a period prior to the end of the Covered Period, how do I reconcile this with the Covered Period definition throughout the application?

The most recent PPP Loan Forgiveness Applications and instructions were published by the SBA on June 16th and the rule clarifying that a borrower may submit a loan forgiveness application any time (including before the end of the Covered Period – if the borrower has used all of the loan proceeds for which the borrower is requesting forgiveness) was issued on June 22nd. We have requested clarification of this issue from the SBA through our industry trade organizations as to whether there will be an updated application issued that reconciles this, but we have not received a response at this time. Unless or until such further guidance is provided, we would encourage you to consult with your advisors on how to appropriately complete the current form of application.

 

28) What is the time period that my FTE reduction will be based upon if I apply prior to the end of my Covered Period?

The way the current application is drafted notes that it should be the earlier of December 31, 2020 and the date of application. However, the most recent PPP Loan Forgiveness Applications and instructions were published by the SBA on June 16th and the rule clarifying that a borrower may submit a loan forgiveness application any time (including before the end of the Covered Period – if the borrower has used all of the loan proceeds for which the borrower is requesting forgiveness) was issued on June 22, 2020. We have requested clarification of this issue from the SBA through our industry trade organizations as to whether there will be an updated application issued that reconciles this, but we have not received a response at this time. Unless or until such further guidance is provided, we would encourage you to consult with your advisors on how to appropriately complete the current form of application.

 

29) Can the SBA still audit my loan after they’ve approved my loan’s forgiveness?

According to the “Documents that Each Borrower Must Maintain but is Not Required to Submit” section of the SBA’s PPP Forgiveness Application Instructions, “The Borrower must retain all such documentation in its files for six years after the date the loan is forgiven or repaid in full, and permit authorized representatives of SBA, including representatives of its Office of Inspector General, to access such files upon request.”