Mid Penn Bank closes $470M in small business loans

Mid Penn Bank recently helped close $470 million in loans for 2,184 small businesses through the federal Paycheck Protection Program (PPP).

More than $400 million of the funds have already been disbursed to over 1,600 businesses.

“I’m so proud of the work done by our team, working around the clock, to support over 2,100 small businesses and their 50,000 dedicated employees,” Rory Ritrievi, Mid Penn Bank president and CEO, said. “We felt it was not only our duty but our pleasure to help. While the funds allocated to the PPP have been fully expended, we’re hopeful that Congress will reauthorize a second round to help even more businesses and independent contractors. When that day comes, Mid Penn Bank will again be ready to do its part.”

The PPP was created under the CARES Act. The Small Business Administration guarantees the loans if the businesses use at least 75 percent of the funds for payroll costs. The two-year loans have 1 percent interest and no payments for six months.

Mid Penn Bank will work with its divisions, First Priority Bank and Scottdale Bank & Trust, to accept applications in anticipation of a second PPP phase.

The information was disclosed as part of the bank’s 8-K filing with the U.S. Securities and Exchange Commission.