GAYLORD — If you had a loss from the March 28-30 ice storm that blanketed Northern Michigan, you have until Aug. 8 to apply for low interest disaster loans from the U.S. Small Business Administration.
According to Julie Garrett, a public affairs specialist with the Small Business Administration (SBA), business owners, homeowners, renters and nonprofit organizations can apply for a loan to cover physical damages from the storm that weren’t covered by insurance.
“For homeowners and renters, tree damage was a huge issue along with debris removal. If you have already made repairs you can use a disaster loan to pay off a higher interest debt like a credit card,” Garrett said.
The SBA disaster loans include the following:
“Let’s say the power going out caused a business to lose its refrigerated inventory. That would be eligible for a loan,” said Garrett.
Ordinarily, disaster loans are only for a primary residence (the address used on the owner’s federal income tax return, for example). But, if an owner rents out a cottage or vacation home, it might be eligible for a business loan for physical damages or an Economic Injury Disaster Loan to help cover monthly expenses for lost rental income due to making repairs.
Loan limits for homeowners and renters is $500,000 for damages to primary residences. Businesses and nonprofit loan limits are up to $2 million. Garrett said homeowners and renters can borrow up to $100,000 for storm-related damage to personal property like vehicles.
“We will help you with the tree damage in your yard. If you own 20 acres and had a lot of trees damaged over that acreage, we can’t help with that. Instead apply to the USDA (United States Department of Agriculture) or an FSA (farm service agency,” said Garrett.
The interest rate for loans to homeowners and renters is as low as 2.75%, for businesses it is 4% and for nonprofits it is 3.625%, noted Garrett.
Homeowners, renters, businesses and nonprofit organizations affected by the ice storm in Cheboygan, Charlevoix, Emmet, Mackinac, Montmorency, Otsego and Presque Isle counties are eligible for the SBA loans.
The SBA has established two temporary Disaster Loan Outreach Centers for loan assistance in Cheboygan at the Bodman Building, located at 229 Court St., and in Harbor Springs at 8288 S. Pleasantview Road. Both will be open until Aug. 8.
More information is available at lending.sba.gov and by calling 800-659-2955.
Meanwhile, the East Jordan Chamber of Commerce and SBA Disaster staff are organizing a disaster loan registration event on Thursday, July 31 to help homeowners, renters, businesses and nonprofits in Charlevoix County with losses from the ice storm. Call 231-536-7351 to set up an appointment.
— Contact Paul Welitzkin at pwelitzkin@gaylordheraldtimes.com
This article originally appeared on The Petoskey News-Review: Deadline to apply for SBA loans to help with ice storm damage is Aug. 8
Reporting by Paul Welitzkin, The Petoskey News-Review / The Petoskey News-Review
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