WASHINGTON – In response to a letter from the Hawaii congressional delegation, the U.S. Small Business Administration (SBA) announced Nov. 3 that it is implementing a six-month deferment period for Maui businesses impacted by the Hawaii wildfires.
This deferment period covers principal and interest payments, as well as a pause on interest accrual, and includes all COVID-19 Economic Injury Disaster Loans (EIDL) and any previous disaster loans that are still being repaid.
“Thousands of people, businesses, and families were impacted by the wildfires on Maui,” said the delegation in a joint statement. “As our communities continue the recovery process, this deferment period will provide borrowers who have been impacted by the wildfires with additional time to determine next steps after the destruction. We are grateful the SBA has heeded our call and we’ll continue to support our families, businesses, and communities to ensure they have the federal assistance they need to begin rebuilding.”
The Hawaii congressional delegation consists of Sens. Mazie Hirono and Brian Schatz and Reps. Jill Tokuda and Ed Case.
SBA will automatically place all COVID-19 EIDL and disaster loans for borrowers in Maui County that are still in repayment into deferment for six months. At the end of the deferment period, loan payments will return to the normal payment amount and interest accrual will resume on the outstanding principal balance.
Borrowers still experiencing financial hardship at the end of the six-month deferment period should contact SBA to discuss additional options, such as the Hardship Accommodation Plan for COVID-19 EIDL borrowers.
Borrowers located in Hawaii, but outside of Maui County, can request a deferment of their payments and pause on interest accrual for six months due to financial hardship caused by the wildfires by submitting a request to their loan servicing center. These borrowers should request their deferment through the messaging feature in the MySBA Loan Portal (https://lending.sba.gov/).
Eligible COVID-19 EIDL borrowers can also contact the COVID-19 EIDL Customer Service Center at (833) 853-5638 or by email at COVIDEIDLServicing@sba.gov.