Federal Disaster Loan Deadline Fast Approaching for Tropical Storm Irene Victims in MA, CT, RI

Massachusetts, Connecticut and Rhode Island victims of the remnants of Hurricane Irene are running out of time to apply for federal disaster loans to replace lost property.

The U.S. Small Business Administration says homeowners, renters, businesses and nonprofit organizations have a deadline of Nov. 25 to apply for low-interest loans.

Authorities say anyone with insured losses should not wait for an insurance settlement before applying for a federal loan. The SBA will consider making a loan for the total loss up to its loan limits as long as beneficiaries agree to use insurance payments to reduce or repay the federal loan.

Disaster loans are available in Bristol, Kent and Providence counties in Rhode Island, Windham County in Connecticut as well as and Bristol, Norfolk and Worcester counties in Massachusetts.

“Loans up to $200,000 are available to homeowners to repair or replace damaged or destroyed real estate. Homeowners and renters are eligible for loans up to $40,000 to repair or replace damaged or destroyed personal property,” said Frank Skaggs in late September. Skaggs is the director of the SBA’s Field Operations Center East in Atlanta.

Businesses and private non-profit organizations of any size may borrow up to $2 million for physical losses and working capital needs through SBA disaster loans. Interest rates are as low as 2.5 percent for homeowners and renters, 3 percent for non-profit organizations and 4 percent for businesses with terms up to 30 years.

While Tropical Storm Irene is a distant memory for some, many New Englanders are still reeling from its devastating effects.

Just last week, President Obama’s Administration expanded FEMA assistance in Massachusetts to include five more counties: Barnstable, Bristol, Dukes, Norfolk and Plymouth.

The disaster assistance for these counties will be available to local government, state agencies and eligible private non-profits. FEMA will reimburse these organizations for 75 percent of the total eligible costs they put toward emergency measures and permanent restoration.

Copyright 2011 The Associated Press.

(With additional information from New England Post)

Related posts:

1. Five Additional MA Counties Affected by Tropical Storm Irene to Receive Federal Disaster Assistance
2. Patrick-Murray Administration Secures Federal Relief For Massachusetts Farmers In 11 Counties Impacted By Irene
3. Obama Signs Conn. Disaster Declaration After Irene
4. Obama Signs Mass. Disaster Declaration After Irene
5. Obama’s Plan for Student Loan Debt Relief: Lower Repayment Amounts, Forgive Debt Sooner, Allow Borrowers to Consolidate Federal Loans

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Posted by erik devaney on Oct 28 2011. Filed under Featured - For home page featured article, General. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry