House Unanimously Passes Hahn-Backed Legislation to Help Small Businesses Recover from Disasters

Press Release

Yesterday, the House of Representatives unanimously passed H.R. 6296, "The Disaster Loan Fairness Act of 2012," legislation backed by Congresswoman Janice Hahn that would lower the interest rate for Small Business Administration Disaster Loans to small business owners in presidentially-declared disaster zones, and require the Small Business Administration to refund excess interest payments for disaster loans made since 2011.

"Angelinos are no stranger to natural disasters, or to the challenges of recovering after an earthquake or a wildfire. This legislation will give small businesses the security that if the big one hits, they can count on a helping hand from the SBA as they rebuild and reopen their doors."

The bi-partisan legislation, introduced by Rep. Lou Barletta (R-PA) and co-sponsored by Congresswoman Hahn, would lower the interest rates for SBA Disaster Loans to half of the prevailing rate for victims who cannot receive credit elsewhere and three-quarters of the prevailing rate for those who can receive credit elsewhere; interest rates would be capped at a maximum of 4 percent.

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