We know many of you are being flooded with requests for Paycheck Protection Program (PPP) loans from small businesses in your community. We’ve had several questions on the subordination process related to the Federal Reserve’s Paycheck Protection Program Liquidity Facility (PPPLF), which was announced earlier this week on April 6.
Since that announcement, FHLBank Topeka has been actively working with the Federal Reserve on developing an efficient approach to allow our members to subordinate their newly created PPP loans to the Federal Reserve Bank of Kansas City. We continue to actively work on this matter as we know it’s an important issue for many of our members, and we hope to have a resolution very soon. We will send an update to all members as soon as we can.
If you have questions in the meantime, please contact your Regional Account Manager or a member of our Credit team (Lance Liby, Chief Credit Officer | 785.478.8140, Tom Bliss, Director of Credit Administration | 785.478.8149 or Kylie Mergen, Director of Financial Services | 785.478.8203).