Under the recently passed CARES Act (Coronavirus Aid, Relief, and Economic Security Act), loan processors and financial institutions are both tasked with quickly and expediently on-boarding low-interest disaster recovery loans for 30.7 million small businesses affected by COVID-19.
Our Solution will save you the TIME and EXPENSE of manually entering these loans, allowing you to help more small businesses in a shorter amount of time without additional staff. NXTsoft works with your SBA loan platform of choice.
If your loan platform or financial institution has not previously boarded SBA loans, NXTsoft’s CARES Connector, a secure API connection, in coordination with your SBA platform, can get you setup and processing these small business administration loans within 3-4 days.
Regulations require financial institutions to board and hold these loans in their core systems and many institutions have not processed SBA loans before. NXTsoft’s secure API technology, has been trusted by more than 950 financial institutions nationwide to automate the loan boarding process and expedite the funding process, providing a seamless integration between loan origination systems and core systems.
Many small businesses are depending on these loans to survive and with the volume of loans to be processed coupled with financial institution’s operating short-staffed, it is imperative to ensure that the SBA Loan onboarding process integrated with the core system and as expedient as possible. If you are a financial institution or loan processor who would like more information on NXTsoft’s CARES Connector, please contact us here or call 800-915-3381.
NXTsoft can work with any SBA loan platform.
NXTSoft has developed some frequently asked questions to address the concerns of financial institutions who may now be responsible for originating these new SBA loans.
How do I enroll if my institution is not an SBA certified lender?
The SBA has three lending programs: 7(a), CDC/504, and Microloan. Each program has its own lending practices and eligibility requirements for lenders. Review the details of each, then decide which program is best for you. For more information and how to apply click here.
Historically, the SBA has required that any state or territory impacted by disaster provide documentation certifying that at least five small businesses have suffered substantial economic injury as a result of a disaster, with at least one business located in each declared county/parish. Under the just-released revised criteria, states or territories are only required to certify that at least five small businesses within the state/territory have suffered substantial economic injury, regardless of where those businesses are located.
What origination solutions are out there to temporarily assist with the surge in volume?
There are a number of loan origination solutions available on the market today to help your institution deal with this surge in volume. Contact NXTsoft and we’d be happy to give some recommendations based on your business needs.
How complex is it to originate an SBA loan?
The complexity of originating an SBA loan depends on your organization’s process and what infrastructure is already in place. Any small businesses who apply for these loans must meet all the requirements set in place by the type of SBA loan.
How much training will it take my staff?
The time commitment for training your institution’s staff to originate an SBA loan depends on the loan origination solution you choose. Each fits a specific business need and function.
How long will it last?
Many small business are depending on these loans to survive. Due to the volume of loans, coupled with financial institutions operating short staffed, it is imperative to ensure your SBA CARES Act loans process is completely integrated to the core system as expediently as possible. If you are a financial institution or loan processor that would like more information on NXTsoft’s CARES Connector, please contact us here or call 800-915-3381.