Why were PPP loans called loans if nobody was expected to pay them back, instead of PPP handouts?

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I am not commenting on whether or not they should have been. I am not interested in tying them back to discussion of any other loans or loan forgiveness.

Why call them loans if they are not?

In: Economics

34 Answers

Anonymous 0 Comments

The small company I work for got one of these. There was a ad rush to them and they ran out of funds quickly. There was a general understanding at the time that you wouldn’t need to pay it back. Officially you could only keep it if you didn’t lay off any employees but nobody checked.

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