SBA Extends Deferment Period for COVID-EIDL Loans to 30 Months

March 17, 2022 ROARK

On March 15, the head of the U.S. Small Business Administration (SBA),  Administrator Isabella Casillas Guzman, directed the agency to allow additional deferment of principal and interest payments for existing COVID Econonomic Injury Disaster Loan (EIDL) program borrowers for a total of 30 months of deferment from inception on all approved COVID EIDL loans.   This provides additional flexibility for small business owners, many from our Southern California region, impacted by the pandemic - particularly in sectors that were hit with additional disruption due to recent variants, supply chain and inflation challenges in a growing economic recovery. 

Over 3.9 million borrowers were allocated more than $351 billion in relief aid since the inception of the COVID EIDL program - a federal disaster relief loan - that also included reaching the smallest of small businesses from historically underserved, disadvantaged communities.   

Read more in the announcement from the SBA.  

Key information regarding deferment: 

  • This deferment extension is effective for all COVID-EIDL Loans approved in calendar years 2020, 2021, and 2022. Loans now have a total deferment of 30 months from the date of the Note. Interest will continue to accrue on the loans during the deferment. 
  • Borrowers may make partial or full payments during the deferment period but are not required to. 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 set up an account in the CAFS system by logging in at Capital Access Financial System (  
  • Deferments may result in balloon payments. The deferment will not stop any established Preauthorized Debit (PAD) or recurring payments on the loan. COVID-EIDL Borrowers with an SBA established PAD must contact their SBA servicing center to stop recurring payments during the extended deferment period. COVID-EIDL Borrowers who have established a PAD through Pay.Gov or any other bill pay service are responsible for terminating recurring payments during the extended deferment period. 
  • After the deferment period ends, COVID-EIDL Borrowers will be required to make regular principal and interest payments beginning 30 months from the date of the Note. 

Source:  SBA

At ROARK, we help business owners and leaders take the pressure off.  Programs like these have been critical for the small business community.  That's why we also offer a full suite of finance & accounting solutions.  At ROARK, we're a boutique finance and accounting consulting firm with CPAs and MBAs ready to assist business leaders. You deserve a partner who can take the pressure off and help you grow your business.    

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