PPP Loan Program

We struggled with that question and the latest we received from our state bankers association and legal prohibited making the PPP loans to our directors.  We feel this was a big error in the "rules" for the PPP loans.  Why would our bank directors need to work with another bank whom they do not having any banking services with to obtain these loans?? 

However, we partnered with two other community banks to process the PPP loans for each other's directors. 

Dick Burch
Executive Vice President

Chief Financial Officer

SouthAtlantic.bank
630 29th Avenue North
Myrtle Beach SC 29577

P O Box 70130 (29572)
O: 843.839.4412
M: 843.997.6253

Update regarding the measures we are taking at South Atlantic Bank considering the ever evolving COVID-19 environment.

Effective Thursday, March 19, 2020;

All branch lobbies will be limited to appointment only service.  All lanes of our drive-thru will be open to handle all teller services and transactions to include payments, deposits, and in-person withdrawals.  Our priorities are the same in that we will work hard to ensure the safety and well-being of our employees and the communities we serve, all while providing our standard exemplary customer service.  Please check our website https://southatlantic.bank or our social media sites for updates.

We're a small $450mm Tampa based community bank and SBA7a has been a small business line for the past three years.  Does anyone have clarity as to whether it's acceptable to make a PPP loan to a director that sits on your bank board?  I'm primarily concerned with acceptability from the SBA's viewpoint.

Thanks for any insights,

Jack Barrett