1502 Reporting Review
We’ve written before about the importance of staying on top of your 1502 reporting to the SBA. There have been a few recent updates, so it’s time for another quick review, including links to our previous articles where relevant.
For 7(a) 1502 reporting:
- As always, these are monthly, submitted via the FTA 1502 Gateway within the
SBA Capital Access Financial System (CAFS), on the 3rd of every month or the first business day after.
- You have a grace period of two days after the due date.
- If you make a secondary-market payment after the grace period, SBA will assess
a late payment penalty. Lenders will be billed after the 20th for late penalties assessed in the previous month. See below for more notes on how fees are reported to Lenders filing 1502 reports, with automated emails being sent as of July 2023.
For PPP 1502 reporting:
- As of May 18 2023, 1502 reporting for PPP loans is due via the FTA 1502
Gateway on or before the 10th of each month, or the next business day.
Points to remember for both types of loan:
- You must use separate 1502 reports for PPP loans and 7(a) loans.
- For a combined calendar of 7(a) and PPP 1502 Due Dates, click here.
- Starting in June 2023, SBA began sending automated emails to Lenders who
have filed 1502 reports in the last 90 days and who have unreported loans or loans with errors. These emails highlight reporting discrepancies for 7(a) and PPP loans.
You can read more about this process here, and read about the most common errors we find when doing reviews for clients in our articles here and here. We reference Colson Services as the FTA in the article on “Five 1502 Errors”; they are no longer the FTA for SBA loans, but the information in that article is still relevant. As noted in the other article, “In Sync or Not…”, Guidehouse is now the FTA.
- As of July 2023, SBA has released enhancements to servicing fee invoices and
overpayment statements in CAFS. You can now see both the invoices and overpayment statements in the CAFS portal. Lenders impacted by these reports will also be notified via email when the materials are available so they can take corrective action. To read SBA’s update on this, click here.
SBA has extensive material on their FTA Wiki, which you can access here. Their “News” section on that page links to information that’s rather (!) more readable than the official Notices (though we strongly recommend keeping on top of the Notices as well, of course).
Many of our clients rely on us to help them stay up to date on their 1502 reporting, including reviewing and helping remedy any errors or missteps. If you’d like to talk about how that would work for you, give us a call at 877.576.0819, or send us a message through the form here. Initial consultations are always free of charge, and we’d love to see how we can help.