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Rural Bank Plays Big Role in COVID-19 Recovery with 164 PPP Loans

Release Date: 
Thursday, April 23, 2020
Release Number: 
20-04-23KY
Contact: 
michael.ashcraft@sba.gov

The Murray Bank, located in scenic Murray, Kentucky, secured $9.6 million in Paycheck Protection Program (PPP) funds for its business customers impacted by the COVID-19 crisis. The PPP is a loan designed to provide a direct incentive for small businesses to keep their workers on the payroll. SBA will forgive PPP loans if all employees are kept on the payroll for eight weeks and the money is used for payroll, rent, mortgage interest, or utilities. Also, at least 75% of the proceeds must be used for payroll and payroll-related expenses.

A small bank in rural Kentucky, The Murray Bank has done few SBA loans in the past decade. However, their staff worked around the clock to process 164 PPP loans in just a few days. One PPP borrower stated, “The Murray Bank staff worked hard to secure PPP funds for local businesses like ours. They were a lifeline that helped save our business. We thank them and the SBA for being there for us.”