SBA extends deferral of EIDL Covid small business loans
SBA extends deferral of EIDL Covid small business loans

Effective immediately, the Small Business Administration (SBA) is extending the deferral for existing borrowers of the COVID Economic Injury Disaster Loan (EIDL) program for a total of 30 months. This includes principal and interest payments on all COVID EIDL loans approved since inception.

SBA extends EIDL loan deferral

The SBA has made concerted efforts to help small businesses with the loans they have received from the EIDL program. Especially when it comes to making sure they ask for forgiveness of these loans.

This time, the SBA is helping by extending the deferral of EIDL loans. As SBA Administrator Isabella Casillas Guzman said, “This extended deferral of principal and interest will provide financial relief to millions of small business owners – especially those hardest hit by the pandemic and the challenges of the related market – so they can continue to pivot, adapt and grow.”

With this adjournment, small business owners will have an extended period with increased flexibility to deal with the ongoing challenges of the pandemic and associated issues. With 3.9 million borrowers and more than $351 billion in humanitarian assistance, the deferrals will help literally millions of small business owners.

Posting Details

Here are the details of the deferment as outlined by the SBA.

  • This deferral extension is effective for all COVID-EIDL loans approved in calendar years 2020, 2021, and 2022. Loans now have a total deferral of 30 months from the date of the memo. Interest will continue to accrue on the loans during the deferral.
  • Borrowers can make partial or full payments during the deferral period, but they are not required to do so. The SBA recommends using
  • The SBA will not send monthly SBA Form 1201 payment notices; however, the SBA will send regular payment reminders via email.
  • Existing COVID EIDL borrowers can find account balances and payment due dates in the SBA Capital Access Financial System (CAFS) and learn how to create an account in the CAFS system by logging on to Capital Access Financial System (
  • Deferrals may result in lump sum payments. The deferral will not stop any pre-authorized debit (PAD) set up or any recurring payments on the loan. COVID-EIDL borrowers with an SBA-established PAD should contact their SBA Service Center to stop recurring payments during the extended deferral period. COVID-EIDL borrowers who have established a DPA through Pay.Gov or any other bill payment service are responsible for ending recurring payments during the extended deferment period.
  • After the end of the deferment period, COVID-EIDL borrowers will be required to make regular payments of principal and interest commencing 30 months from the date of the note.

Take advantage of SBA enhancements

The SBA continues to make enhancements to the EIDL program to help small businesses so they can better weather financial challenges. The SBA has increased the COVID EIDL cap, established a 30-day exclusivity window, expanded eligible use of funds, and simplified membership requirements.

Be sure to visit the SBA website regularly for the latest news. You can subscribe to SBA press releases for up-to-date information about SBA programs, services, and financial assistance.

If you have questions about the postponement, you can call SBA’s COVID EIDL Customer Service Center toll-free at 1-833-853-5638. If you are deaf or hard of hearing or have a speech impediment, you can dial 7-1-1 to access telecommunications relay services. You can also email for more help and for more information on COVID EIDL.

The center is open Monday through Saturday from 8 a.m. to 8 p.m. ET with multilingual representatives. Additionally, you can visit to get in touch with the SBA’s resource partners.

Image: Depositphotos


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