The U.S. Small Business Administration is stepping in to help Tennesseans in need after historic flooding.
Residents of Carter, Cocke, Greene, Johnson, Sevier and Unicoi counties can apply for disaster loans, which are low-interest, long-term loans from federal agencies. The interest rate is 2.81% for individuals and 4% for corporations for 30 years.
Francisco Sanchez, deputy administrator for disaster recovery and recovery at the U.S. Small Business Administration, told Knox News that the agency not only helps small businesses, but also homeowners and private nonprofit organizations.
Sanchez said victims who are approved for loans will not have to make any payments for one year, and no interest will accrue during that time.
He said the approval process takes an average of seven to 10 days.
Can a homeowner or renter apply for a Helen Flood Loan?
Homeowners can apply for a loan of up to $500,000 to replace or repair their home. Both renters and homeowners are eligible for loans of up to $100,000 to repair or replace personal property.
What federal flood loans are available to businesses?
Both businesses and private nonprofit organizations can apply for federal loans of up to $2 million for losses not covered by insurance. If insurance only partially covers the damage, a loan can help fill the gap.
Sanchez said there are also loans available for economic damage, which are for business owners who suffered from disaster-related losses even though there was no physical damage. It could be because roads are cut off, employees can't come to work, or customers can't come.
More information, including applying for a loan, can be found at sba.gov/funding-programs/disaster-assistance.
Arena Arora, data and investigative reporter for Knox News, can be reached by email at areena.arora@knoxnews.com. Follow her at X@arena alola Also on Instagram @areena_news.
This article originally appeared in the Knoxville News Sentinel: U.S. Small Business Administration offers flood loans in Tennessee
