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5. Are there as strict parameters with the EIDL as there are with PPP? For example, can I use the EIDL to pay my business credit card balance?
"The Economic Injury Disaster Loan (EIDLs) funds are for working capital to pay the ordinary and necessary debts and obligations as if the business were not impacted by the disaster. Funds cannot be used to expand or improve the business or refinance existing debt. However if credit cards were used for working capital needs on an emergency basis (similar to obtaining an emergency or bridge loan), they can use the EIDL proceeds to pay the portion of the credit card that was used for emergency purposes as a result of the disaster."
Answer provided by the Small Business Development Center of Massachusetts with the following disclaimer.
"Please be advised that this document was drafted by employees of the Massachusetts District Office for general reference only. The Massachusetts District Office does not make any representations, warranties, or guaranties, express or implied, as to the accuracy or completeness of the information contained within. Any opinions provided herein are not the official opinions of the SBA, are not binding on the SBA, and shall not be considered eligibility determinations for any of SBA’s loan programs. Additionally, information changes frequently so this document may not reflect the most current information."
(The disclaimer follows the same policy of the Loan Authorization and Agreement Promissory Note Part E Borrower may not use an oral statement of SBA to contradict or alter the written terms of this Note.)