Coronavirus rescue loans for small business went to community lenders as big banks fumbled

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Coronavirus rescue loans for small business went to community lenders as big banks fumbled
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Small businesses may have gotten coronavirus relief from the Paycheck Protection Program based on which bank they picked, not how early they applied.

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Executives at some of the country’s largest banks, speaking on the condition they not be named, have been expressing deep frustration for weeks about getting guidance from President Trump’s administration on how to comply with the hastily prepared rescue program. The SBA posted initial rules the night before the program went live early this month.

Some big banks spent days trying to get more guidance from the agency about elements of the application process, according to people with knowledge of the talks.Meanwhile, executives at major banks told their employees to make sure that they had validated financial information from small businesses before submitting packets to the government.

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