2021 Paycheck Protection Program Loan Update

Heritage Bank of Commerce remains committed to supporting our community as we navigate through these challenging times. Accordingly, we are carefully reviewing the recently released guidance from the Small Business Administration (SBA) for the next round of the Paycheck Protection Program (PPP). Once the details of the 2021 PPP are available, we will provide an online application portal.

We are not currently accepting PPP loan applications. When the application process opens, we will only be taking applications through our online portal. No paper applications will be accepted.

In order to be prepared to apply, please review the PPP loan criteria recently approved with your trusted advisors such as your accountant, bookkeeper or attorney. Some of those key criteria are included below:

• First time borrowers. In general, borrowers can have no more than 500 employees and their business must have been in operation as of February 15, 2020. The first loan can be up to 2.5 times the business’ average monthly payroll costs, up to a $10 million loan maximum.
• Second-time borrowers. Businesses can apply for a second PPP loan if they’ve spent or expect to spend the full amount of their first PPP loan before they receive funding for the second loan. In general, borrowers can have no more than 300 employees. The second loan can be up to 2.5 times the business’ average monthly payroll costs, up to a $2 million loan maximum.
  • Accommodations and Food Services companies with NAICS code 72 can borrow up to 3.5 times the business’ average monthly payroll costs, up to a $2 million loan maximum.
  • All businesses applying for a second PPP loan must demonstrate that their business revenue declined by at least 25% in any quarter in 2020 compared to the same quarter in 2019.
  • Businesses can apply for a second loan whether or not they have requested Forgiveness.

For specific information on PPP loans, please visit SBA’s PPP website and the U.S. Department of Treasury’s website. Both websites include helpful resources that we would encourage potential applicants to review in detail.

We will provide further updates to this page once additional information becomes available. Thank you for your patience.

Paycheck Protection Program Loan Forgiveness Borrower Update

Heritage Bank of Commerce has begun the phased rollout of the Paycheck Protection Program (PPP) Forgiveness process via our PPP Loan Forgiveness Portal.

If you are a PPP loan client, you will receive an email invitation to the HBC Loan Forgiveness Portal, where you will be able to initiate the forgiveness process by completing your electronic application and uploading the supporting documentation. This phased rollout approach will allow for the efficient processing of applications and a smoother overall experience for clients applying for loan forgiveness.

The best way to prepare for loan forgiveness is to gather the appropriate documentation to complete your forgiveness application. We also urge each of our PPP borrowers to meet, in advance, with their accounting and/or legal advisors concerning the forgiveness process.

PPP loan clients with loan amounts up to and including $50,000, will want to review the latest guidance from the Small Business Administration (SBA) here. We are working on updating our system with the new forgiveness application for those loans.

We are making every effort to ensure the forgiveness process remains as straight forward and efficient for you as possible.

Please direct any questions to pppassist@herbank.com (warning: email is not secure and confidential information should never be emailed).

Coronavirus Resources

The safety of our clients and employees is our top priority so we are actively monitoring coronavirus updates and will continue to be guided by the recommendations of local health officials.

Please check here for important updates on all COVID-19 related news:

• Branch Hours 
  • Our branches have resumed their normal operating hours.
• Frequently Asked Questions 

Coronavirus (COVID-19) Frequently Asked Questions

1. How do I protect myself from coronavirus (COVID-19)?
   • The safety of our clients and employees is a top priority for us, so we are actively monitoring coronavirus updates and will continue to be guided by the recommendations of local health officials. For information on COVID-19, we recommend you visit the Centers for Disease Control and Prevention (CDC) website.
   • Follow these everyday preventive actions to help prevent the spread of respiratory diseases, as outlined by the CDC:
     • Wash your hands often with soap and water for at least 20 seconds. If soap and water are not available, use an alcohol-based hand sanitizer.
     • Avoid touching your eyes, nose, and mouth with unwashed hands.
     • Avoid close contact with people who are sick.
     • Stay home when you are not feeling well.
     • Cover your mouth and nose with a tissue when you cough or sneeze, then throw the tissue in the trash and wash your hands.
2. How is the Bank dealing with coronavirus (COVID-19)?
   • Banks prepare diligently for events like coronavirus. While in some ways this event is unique, Heritage Bank of Commerce has extensive plans, procedures and redundancies in place to maintain continuity of service for all our clients throughout the duration of any public health event.
3. Is the Bank prepared for a prolonged event?
   • Heritage has prepared at great length to ensure access and service to our clients and their businesses. We are technologically and financially prepared to support our staff as they help you weather the possible effects of the coronavirus pandemic concerns. Our mission is to be there for our clients as they take on the challenges associated with the coronavirus and its effects.
4. How does coronavirus affect access to my finances?
   • It is our responsibility to maintain your access to, and confidence in, your financial resources during this event. As such, our clients have multiple methods to access and deploy their financial resources through the Bank. We offer extensive online, mobile, phone and in-person service options for clients to take advantage of, depending on their needs and comfort level. We offer ATMs at seven of our branch locations, and you may use your debit or ATM card at any ATM displaying the PLUS, Accel or VISA logo.
   • If you are limiting your time in public there are many ways to bank that don’t require you visit a branch:
     • Online banking allows you to check your balances, transfer funds and send wires & ACH transactions.
     • Mobile banking allows you to check your balances, transfer funds, make deposits, approve wires & ACH transactions.
     • Remote deposit service with scanners allows you to make deposits.
     • Most of our branches offer night depositories, through which you can make a deposit.
     • Our ATMs accept deposits.
     • We’re also happy to speak with you on the phone.
   • For more information on electronic banking options, including ACH, wires, mobile banking and remote deposit services, please visit our website, call us at (800) 796-4777 or email CashMgmt.Support@herbank.com (warning: email is not secure and confidential information should never be emailed).
5. What steps is the Bank taking to deal with this event?
   • For the health and well-being of clients and staff we are taking immediate steps to reduce the risk of transmission in our branch offices. Here are some of those efforts:
     • Instituted work from home for all staff that can do so.
     • Limited the number of clients who can be in the branch at the same time.
     • Required all employees with any illness symptoms stay home.
     • Reduced branch hours.
     • Require social distancing of 6 feet between people in branches.
     • Wiping down common areas on a regular basis throughout the business day.
     • Daily cleaning of common touched areas in the building, including railings, door handles, lobby tables, and other surfaces the public may come into contact with.
     • Encouraging clients to take advantage of our electronic banking products. For more information on electronic banking options including ACH, wires, mobile banking and deposits services, please visit our website, call us at (800) 796-4777 or email CashMgmt.Support@herbank.com (warning: email is not secure and confidential information should never be emailed).
6. How can I interact safely and securely with the Bank and my financial resources during this period?
   • As of today, all of our branch offices are open regular hours. In the event of any changes to the branch availability, information will be posted to our website. A list of branch and ATM locations is available here for your convenience.
   • In addition to branch and ATM locations, multiple online banking and mobile banking options are available for your convenience and ease of use. Most transactions can be accomplished remotely using our systems once clients are enrolled in online and mobile products.
7. What can the Bank do to help me manage my business through this?
   • We take great pride in being your trusted financial partner. We understand the impact an event like this can have on businesses of all sizes. We are here to assist with your financial needs during this situation. Whether it’s getting to your accounts online and setting up electronic payments so your staff can work from home, or mobile wire approvals so you can maintain a control of your accounts remotely without slowing you down, we are here to help you be successful.
8. Is this coronavirus pandemic an opportunity for scams?
   • Criminals are already taking advantage of the coronavirus pandemic to launch a new wave of scams. For your protection, please keep the following in mind:
     • Be alert to suspicious emails or text messages.
     • Do not click on links that may be used to download viruses or fraudulent software to your device.
     • Do not respond to suspicious emails or texts messages.
     • Do not open attachments included in suspicious emails.
     • Be cautious and thoroughly research any donation site to ensure it is not fraudulent. 
9. Is my money safe in Heritage Bank of Commerce?
   • The strength of any bank is its capital and liquidity positions. Heritage Bank of Commerce and its holding company, Heritage Commerce Corp, continue to be “well-capitalized,” meaning we maintain more capital than is required by regulation. That is a benefit when the markets are volatile as they are now. The Bank also maintains ample liquidity to deal with any issues that may arise from the coronavirus pandemic. Your deposits are insured by the FDIC up to $250,000 per depositor and we have sufficient capital and liquidity for any shortfall. We encourage you to continue your normal banking practices. All of our employees are fully committed to see you through these most novel of times. So yes, your money is safe here. The best thing you can do now is stay healthy.
10. Is Heritage Bank of Commerce secure?
    • Heritage Bank of Commerce and its holding company maintain a very strong balance sheet that helps us manage and weather volatility, like what we are experiencing with the coronavirus pandemic. We are regulated by the Federal Reserve Board and the California Department of Business Oversight and meet all their standards for a healthy, secure institution. We are “well-capitalized” by regulatory standards and maintain liquidity for these uncertain economic conditions.
    • There is outside corroboration of our safety and stability. We maintain a “Green” rating with Veribanc and a five star rating with Bauer Financial, a bank rating company. In addition, we also have a favorable rating with Kroll Bond Rating Agency. As a publicly traded stock, banking analysts review our performance quarterly. Their commentary is available online as well. If you would like to see more information about Heritage Bank of Commerce, please refer to our website at HeritageCommerceCorp.com and refer the SEC Filings section.