Texas residents and businesses can now get low–interest federal disaster loans. The money has been made available to help overcome damages caused by April 17th West Fertilizer Plant Explosion. A disaster declaration was issued by SBA and the agency is making funds available on request of Gov. Rick Perry.
The agency is in the process of making loans available in McLennan County and other neighboring counties such as Bosque, Bell, Coryell, Falls, Hill and Limestone. PointWest Bank, 210 N. Roberts Road, is where representatives from the SBA, the Internal Revenue Service, the Federal Emergency Management Agency and the Department of Veterans Affairs will be present.
Disaster loans of $200,000 are available to homeowners. For businesses, $2 million of grants are available for making purchases of equipments, machinery and inventory. Renters are eligible to borrow $40,000 in loans. Additional loans can also be given out as funds by the agency so as to help small businesses meet the cost of making improvements and repairing damages.
For homeowners, interest rate is 1.68 percent, for private nonprofit organizations interest is 2.875 percent and for businesses it is 4 percent. The term is fixed on a case-by-case basis and the payback can last up-to 30 years.
This article was submitted by Rohit Arora, co-founder of Biz2Credit. Biz2Credit is a small business marketplace that connects entrepreneurs with financing options and advice to grow their business. Send all questions to