CU Solutions Group (CUSG) announced it has partnered with Abrigo in support of its Paycheck Protection Program (PPP) Forgiveness and Administration solution, part of the Sageworks SBA Lending solution, to aid credit unions in streamlining the loan forgiveness and administration process.
The PPP forgiveness process is expected to be a time-intensive process for financial institutions as they work with borrowers to collect documentation and submit information to the Small Business Administration (SBA). With many aspects of the forgiveness process currently unclear, it is beneficial for credit unions to have a partner, like Abrigo, to help the institution to stay compliant and service the loans at scale.
“The work of credit unions nationwide has been truly inspiring during this fast-paced and unprepared PPP rollout by the SBA,” said Dave Adams, president/CEO of CU Solutions Group. “Despite the lack of clear guidance and overall readiness by the SBA, credit unions have worked quickly and proactively to process applications and to prepare for loan funding. But due to capacity restraints and concerns about fraud exposure, most credit unions and banks have focused on existing client relationships and needs,” Adams continued. “By partnering with Abrigo, CUSG will be able to help credit unions extend these critical services and address the needs of new small business borrowers as well.”
In addition to increased efficiency and speed on the front end, Abrigo’s solution also gives credit unions the ability to calculate the forgiveness amount based on the provided PPP guidelines to ensure compliance and accuracy. Lenders can also generate Form 1502 within the platform to request their loan processing fees from the SBA and for ongoing monthly servicing.
Regardless of whether or not an institution used Abrigo for PPP loan origination, any financial institution union can utilize Abrigo’s PPP loan forgiveness and administration solution. Credit unions that filed with other vendors or directly through the E-Tran portal can easily import the data from their core to streamline the forgiveness process.
“Community financial institutions were the true heroes of the Paycheck Protection Program, and their work is just beginning. As these loans are funded, credit unions need to ensure they are following the proper forgiveness procedures, an often-time-consuming process,” said Abrigo President Jay Blandford. “We’re proud to partner with CU Solutions Group to provide their member credit unions with direct access to our PPP Forgiveness and Administration solution to help streamline the process and keep them compliant.”
Over 175 community financial institutions used Abrigo’s automated PPP loan origination solution, with E-Tran integration, to quickly and efficiently process over 110,000 PPP loans, totaling more than $11.1 billion in loan volume, since the program was first launched on April 3, 2020.
CU Solutions Group partner credit unions will receive preferred pricing for Abrigo’s PPP Forgiveness and Administration solution through the credit union service organization. For more information, visit CUSolutionsGroup.com/Abrigo-PPP.