The Department of Community and Economic Development (DCED) has extended a reduction in interest rates for four business loan programs to encourage new economic growth and job creation, according to Senator Elder Vogel.
In December, the DCED lowered the interest rates for four business loan programs. The interest rates for the Machinery and Equipment Loan Fund, the Small Business First Program, the Pollution Prevention Assistance Program and the Export Financing Program were reduced from 2.75 percent to 1.50 percent. DCED also waived its fees charged to the borrowers.
The new rates were initially in place for applications received through March 31. The three month extension will apply the new rate to applications received through June 30.
Since the interest rate reduction was initially announced, 37 Small Business First loan applications have been submitted to DCED for consideration. In 2011, there were only 34 applications received in the entire year and 38 applications the year prior. The additional three loan programs had an uptick in applications over the last three months as well.
For more information about DCED and other Jobs First PA initiatives, visit newPA.com/jobs1st or call toll-free (866) 466-3972.