SBA will help with disaster loans
Representatives from the Small Business Administration are at Hillsboro city building until Aug. 15 to provide information on low-interest disaster loans for county residents who suffered flood losses between June 22 and July 6.
Interest rates as low as 1.938% are available to homeowners, renters, nonprofit organizations, and business owners.
“If homeowners or renters qualify for a loan, it’s at 1.938% for the life of the loan,” SBA public information officer Don Fikes said.
“The loan term is up to 30 years. If you combine the two, a low interest rate and a 30-year term, maybe it can be affordable.”
At that rate and for 30 years, cost to borrow $10,000 would be $36.65 per month, according to standard loan rate calculations.
People with large amounts of money in the bank or large 401(k) plans might have to pay a higher rate, Fikes said.
Business loans are 4% and private nonprofit organizations are 2.75% interest.
Homeowners can borrow up to $200,000 for their primary residence and people with damage to personal property including vehicles can borrow up to $40,000.
Loan amounts and terms are based on the applicant’s financial condition.
Once an application has been submitted, a loss verifier will contact the applicant, Fikes said.
Last modified Aug. 7, 2019