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SBA Disaster Loan Program  

The US Small Business Administration (SBA) offers low-interest, long-term disaster loans to homeowners, renters, businesses of all sizes and non-profits to repair or replace property damaged by the recent tornados in Kentucky. The interest rate for homeowners and renters is as low as 1.438 percent with terms up to 30 years.

Homeowners can borrow up to $200,000 to make repairs to their primary residences and renters and homeowners can borrow up to $40,000 to replace damaged contents of their homes, including furniture, appliances, and cars.

Businesses can borrow up to $2 million to repair and/or replace damaged buildings, inventory, supplies and other business assets. Businesses can also apply for economic injury disaster loans to help pay the bills they would have been able to pay had the disaster not happen.

Churches with storm damage may also apply for a disaster loan.

Residents with tornado damage should first register with FEMA. If referred to the SBA, homeowners and renters should complete a disaster loan application, even if they don’t want a disaster loan or think they may not qualify. It is part of the qualifying process for some FEMA resources. Those that are denied a disaster loan are referred back to FEMA for any other assistance that they may be eligible to receive. However, they must complete the disaster loan application to be eligible for that assistance.
There is no obligation to accept a disaster loan if approved. Applicants have time to determine whether to accept a disaster loan.

There is no need to wait for insurance to be settled to apply for a disaster loan. A disaster loan may be received before insurance settles to get started on repairs. The insurance settlement will be used to pay down the loan and what the insurance doesn’t cover will be the balance of the loan.

For more information about disaster loans or for the status of an application, call (800) 659-2955 or visit

There are three ways to apply:

Individuals and businesses can apply online at

Those wishing a paper application may call (800) 659-2955 to have one mailed to them.

Residents and businesses can get one-on-one assistance DRC) at an SBA Business Recovery Center (BRC).

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