The State of the EIDL 5/4: Moving forward maximum loan amount will be reduced from 500K to 150K, from reliable inside source and other details in this thread.

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via Reddit

A source reached out to share some details about whats going on, this person has proven to have reliable and accurate info in the past, so I feel confident in sharing this with reddit. Won’t be saying who they are or exactly what they do. Their motivation is to help people on Reddit. Last time I shared info on the 15K cap that was put in place for a while, no one believed me and called fake news. Hopefully this time, people won’t do the same.


Some factual highlights and bullet points for things I learned:

-Previous maximum loan of 500K has been reduced to 150K moving forward. If you have already accepted an offer in the portal of over 150K it will not effect you. If you have not yet accepted an offer or received a portal invite, you will be capped at 150K. As with the last cap, you will not see official word of this but anecdotal reports will start showing up shortly.

-The slowdown on EIDL over the past 2 weeks is two fold. One reason is that with PPP clogging e-tran resources were diverted. Secondly, priority was on reaching out and assisting people who were previously effected by the last 15K cap for full eligibility. No one who was in the “obligating” stage was moving forward due to priority on these prior applicants. As of 5/4 this restriction was lifted and movement will be seen. My assumption is portal invites will be seen soon.

-Minimum credit is confirmed 570. It was lowered to 475 briefly but when the short form was released it was raised back up, due to lack of documentation required and credit being the sole qualifier for these loans. No one knows the exact scoring model used, it is privileged info. Other factors beyond score considered are: No open bankruptcy, no child support delinquency over 60 days, no felonies, no misdemeanors less than 10 years.

-For those who need COGS adjusted, you are likely stuck for the moment. Plan accordingly.

-Those who were denied or waiting for reconsideration / appeal are in a holding pattern. No guidance has been issued on these cases and the priority is on active/approved applicants. Hint: Congressional Inquiry is your friend here. Contact your congressman if you think you truly have a case for appeal.

-Applications are resumed as of right now but only for agriculture. Go to to apply

-For people with banking info problems: There’s different levels of bank errors. They sent out new guidance for those. Specific errors are non issues and we approved easily. Some errors require the LO to call applicants to verify. The previous ones that were declined were reaccepted back to process. These shouldn’t be critical issues anymore.


Some other honorable mentions that I think are more speculation/opinion:

-Processing applications has been slow and difficult due to a high degree of questionable claims from people looking to cash in on the grant vs actual businesses wanting a loan. Think the uber or etsy / youtube crowd. It’s been a significant roadblock and has clogged the system.

-Legit SBA employees (not temps) are here and do read Reddit, they are sympathetic and want to help. They are working 12 hour shifts 6 days a week. They must watch what they say are are limited to help that can be provided from the shadows.


Things change on a daily basis and what you read here may not hold true a week from now or even tomorrow. Remember previous 15K cap came and was lifted before.



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