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No payments until 2022 for EIDL – and it’s not too late to apply

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The U.S. Small Business Administration has announced the deferment period for the COVID-19 Economic Injury Disaster Loan (EIDL) program will now extend until March 2022.

The loan program was introduced last year and continues to accept applications from qualified small businesses. The loans offered under the program are designed to give economic relief to small businesses that are experiencing a temporary loss of revenue, and most U.S. small businesses with 500 or fewer employees are eligible.

Ineligible businesses include those engaged in gambling, multi-level sales distribution, investment or lending. The administration provides detailed eligibility guidelines in its most recent FAQ sheet.

What changed?

Recipients of loans made in calendar year 2020 will have a first payment due date extended from 12 months to 24 months from the date of the note.

Recipients of loans made in calendar year 2021, will have a first payment due date extended from 12 months to 18 months from the date of the note.

This extension applies to all disaster loans. Those with existing disaster loans approved before 2020 will resume their regular payment schedule with the payment immediately preceding March 31, 2022.

This deferment extension does not alter rates or make other changes to the loan. The fixed rates remain at 3.75% for businesses and 2.75% for nonprofits. The loans have a maturity date of 30 years, and there are no prepayment penalties or fees. The maximum loan amount is $150,000, and collateral is required for loans more than $25,000. During the deferment period, interest will continue to accrue, and borrowers who wish to continue making full or partial payments as scheduled can do so. Businesses can apply for, and receive, the Paycheck Protection Program loans and the Economic Injury Disaster Loans, but funds from each loan cannot be used for the same purposes.

Small businesses that wish to apply now can still receive these terms, and the deferment period will last 18 months from the date of the note. At this time, applications are still being accepted and the administration continues to “approve over $500 million each week for the COVID-19 EIDL program,” according to the U.S. Small Business Administration, 2021.

Applicants can learn more about the process below, or visit the administration’s website and apply here.

How to get a COVID-19 EIDL loan

According to the U.S. Small Business Administration, there are four steps in the COVID-19 EIDL application process:

  1. Apply at
  2. Receive a loan quote. This is an estimate of qualified loan amount; it does not mean the loan is approved. applicants need to choose a loan amount up to this maximum.
  3. Application review. A loan officer will review the application for completeness and may contact the applicant if more information is needed.
  4. Decision. A decision is made as to whether the application is approved or declined.


  • An email is sent to the applicant(s) to choose the loan amount and sign loan documents. Be sure to download a copy for your records.
  • Loan proceeds are transferred to your bank account within 5-10 business days.
  • Retain receipts and contracts for all loan funds spent for three (3) years.
  • Make payments through OR mail payments to:

U.S. Small Business Administration

P.O. Box 3918

Portland, OR 97208-3918


An applicant can request reconsideration in writing within six months of the date of decline letter. Send to: E-mail:


U.S. Small Business Administration Disaster Assistance Processing & Disbursement Center

14925 Kingsport Road

Fort Worth, Texas 76155