Published: July 10, 2008 12:08 am         

Low-interest federal disaster loans available

FAIRMONT — The U.S. Small Business Administration is helping West Virginians through low-interest federal disaster loans.

President George W. Bush recently made a major disaster declaration for West Virginia. The proclamation applies to 12 counties in the state that experienced severe storms, tornadoes, flooding, mudslides and landslides from June 3 to 7 of this year. Barbour, Clay, Doddridge, Gilmer, Harrison, Jackson, Jefferson, Marion, Taylor, Tucker, Tyler and Wetzel counties are covered under the disaster declaration.

Anyone in those counties who had damages as a result of heavy conditions during that time frame has the chance to apply for financial assistance from the SBA, said Matt Young, SBA public information officer. The disaster loans are available for physical damage to homes, personal property or businesses and economic injury.

He said the SBA offers home loans for homeowners and renters, and business loans for businesses of any size and nonprofit organizations. Economic injury disaster loans are strictly for small businesses.

Homeowners are eligible to borrow up to $200,000 to repair or replace their primary residence. As much as $40,000 is available for homeowners and renters to repair or replace personal property. Businesses can get a maximum of $2 million for physical damages or economic injury, Young said.

These loans offer a low interest rate of 2.687 percent for homeowners and renters and 4 percent for businesses. The terms of the loans can go up to 30 years.

“With those low rates and long terms, we can make these loans affordable for people to be able to make their repairs and recover from the damages they incurred,” Young said.

He said persons must first call the Federal Emergency Management Agency toll free at 1-800-621-FEMA (3362) to register for disaster assistance, which includes FEMA’s programs and the SBA’s low-interest loans.

“If anybody has received a disaster loan application from SBA, we want to urge them to complete and return that application so that they don’t stop their disaster assistance,” Young said. “In order to qualify for full assistance, completing and returning the SBA loan application is essential.”

If the SBA is not able to approve someone for a loan, the person is referred back to FEMA for any possible grant assistance it can provide, he said.

This week, FEMA has established Mobile Disaster Recovery Centers in Marion and Doddridge counties. Until Saturday, the Fairmont center — stationed at the Marion County Police Reserve on State Street — will be open every day from 10 a.m. to 7 p.m. The fixed site at Big Elm Elementary School in Shinnston will remain in operation 10 a.m. to 7 p.m. Monday through Saturday until July 17.

“The purpose is to answer any questions that an applicant might have about the status of his or her application,” Len DeCarlo, spokesman for the FEMA News Desk in Bridgeport, said. “If they have some questions or need to update some information or need help completing their SBA loan application, that’s the place to go get help.”

He said the state identifies the locations and FEMA brings in the materials to set up the Disaster Recovery Centers. The SBA also has a presence at the sites.

Contact the SBA Customer Service Center at 1-800-659-2955 or visit www.sba.gov/services/disasterassistance.

E-mail Jessica Legge at jlegge@timeswv.com.

     

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