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Economics in Brief: Small Businesses Happy With PPP Loans from CDFIs

Among the small businesses that rated their PPP loan experience as “satisfied:” 70 percent applied through a CDFI; 61 percent applied through a small bank; 48 percent worked with a credit union; 41 percent obtained their loan through a large bank; and Only 18 percent of applicants who used a fintech company for their loan were satisfied. The survey also found that fintech companies were less likely to approve loan applications, or they approved smaller amounts than what the businesses requested. Less than half (47 percent) of those who applied for a PPP loan through an online lender got the full amount they requested. Alarm Raised Over Racial Disparities in How Loans Are Modified for Small-Business Owners

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