Marshall County

Long Term Recovery

Disaster strikes. Fortunately, you and your family are safe. Lots of damage to your property. What do you do now?

Well, the first days are about rescue and relief. After you know everyone is safe, or those in need are getting medical attention, it's time to put your life back together. Is your home or vehicle damaged? Are you missing items? Do you need basic staples like food and shelter? Check with your network of relatives, friends and neighbors to share resources. Contact your insurance agent, if you have damages to claims. Find out if a Disaster Recovery Center (DRC) has been opened in your area. ( Call 211 to get info.)

The first resources for recovery are your assets and your insurance policies. If a DRC has been opened, it may be able to provide food, shelter and information for a few days. If the state officially declares the event to be a Disaster, FEMA Individual Assistance may be an option. If so, call FEMA (1-800-621-FEMA) or go to http://www.fema.gov/assistance/, and register. They will mail you additional information. FEMA may inspect to assess damages and make funds to those who are uninsured or under-insured, up to a limit. Small Business Administration (SBA) may offer low cost loans to home-owners in need. You will receive mail about SBA, also. (View pages.)

If you still do not have the funds to finish your recovery, talk to Marshall County Long Term Recovery Committee (MCLTRC). They manage and distribute funds donated by the public, as well as grants from various organizations. Their case managers will work with you directly. They will assess that your damages are storm related, that you have used all your available resources to pay for your recovery and work with you to find venders that are licensed and most cost effective. At times, MCLTRC also manages volunteers willing to help people remove debris and/or rebuild their homes. If you need tarpaulins to protect your home until the volunteers can help you, MCLTRC can provide. If you can pay for materials, but do not have enough money to pay a contractor to do the repairs, MCLTRC may be able to arrange volunteer labor for your needs.

To find the contact number for MCLTRC call 211 or the Marshall County Emergency Management Agency at (256) 571-7328

Disaster Assistance

Disaster can strike at any time, and even the most prepared businesses and business owners can be adversely impacted. If your business has been impacted by a disaster, the SBA can help by providing disaster assistance.

Disaster assistance is money provided to individuals, families and businesses in an area whose property has been damaged or destroyed following a Presidential-declared disaster; and whose losses are not covered by insurance. Loans may be available to businesses that have suffered an economic loss as a result of the disaster. Assistance is available from the Federal Emergency Management Agency (FEMA), the SBA, the Farm Services Agency (FSA) and state governments.

FEMA Disaster Assistance

If you need assistance after a disaster, your first point of contact should be FEMA. Contact FEMA directly to apply for assistance, which includes money for housing and essential expenses, such as food and clothing; and critical personal expenses, such as medication. To learn more about FEMA and how to access assistance, explore the following resources:

Home and Personal Property Loans

If you are in a declared disaster area and are the victim of a disaster, you may be eligible for financial assistance from the U.S. Small Business Administration - even if you don't own a business. As a homeowner, renter and/or personal-property owner, you may apply to the SBA for a loan to help you recover from a disaster.

Renters and homeowners alike may borrow up to $40,000 to repair or replace clothing, furniture, cars, appliances, etc. damaged or destroyed in the disaster. Homeowners may apply for up to $200,000 to repair or replace their primary residence to its pre-disaster condition.

The loans may not be used to upgrade homes or make additions unless as required by local building authority/code. Loans may be increased up to 20 percent of the total amount of disaster damage to real estate, as verified by the SBA, to make improvements that lessen the risk of property damage by future disasters of the same kind.

Secondary homes or vacation properties are not eligible for these loans. However, qualified rental properties may be eligible for assistance under our business loan program<.

Any proceeds from insurance coverage on your property or home will be deducted from the total damage to the property to determine the loan amount you are eligible for. The SBA is not permitted to duplicate any benefits.

Interest Rates and Loan Terms

For applicants unable to obtain credit elsewhere the interest rate will not exceed 4 percent. For those who can obtain credit elsewhere, the interest rate will not exceed 8 percent.

The SBA determines whether an applicant has credit available elsewhere. The SBA offers loans with long-term repayments in many cases up to 30 years. Terms are determined on a case-by-case basis, based upon each borrower’s ability to repay.

Applying for a Disaster Loan

The SBA now offers you the option of filing your home disaster loan application electronically. For additional information, please contact our Customer Service Center. Call 1-800-659-2955 (TTY: 1-800-877-8339) or e-mail disastercustomerservice@sba.gov.



Fact Sheet for Homeowners and Renters

Key Points about Disaster Loans

Fact Sheet for Homeowners and Renters

If you are in a declared disaster area and are the victim of a disaster, you may be eligible for a low-interest rate disaster loan from the U.S. Small Business Administration - even if you don't own a business. As a homeowner, renter and/or personal-property owner, you may apply to the SBA for a loan to help you recover from a disaster.

Renters and homeowners alike may borrow up to $40,000 to repair or replace clothing, furniture, cars or appliances damaged or destroyed in the disaster. Homeowners may apply for up to $200,000 to repair or replace their primary residence to its pre-disaster condition.

The loans may not be used to upgrade homes or make additions unless as required by local building authority/code. Loans may be increased up to 20 percent of the total amount of disaster damage to real estate, as verified by SBA, to make improvements that lessen the risk of property damage by future disasters of the same kind.

Secondary homes or vacation properties are not eligible for these loans. However, qualified rental properties may be eligible for assistance under our business loan program.

Any proceeds from insurance coverage on your property or home will be deducted from the total damage to the property to determine the loan amount you are eligible for. SBA is not permitted to duplicate any benefits.

For applicants unable to obtain credit elsewhere the interest rate will not exceed 4 percent. For those who can obtain credit elsewhere, the interest rate will not exceed 8 percent. SBA determines whether an applicant has credit available elsewhere.

SBA offers loans with long-term repayments in many cases up to 30 years. Terms are determined on a case-by-case basis, based upon each borrower’s ability to repay.

For additional information, please contact our Customer Service Center. Call 1-800-659-2955 (TTY: 1-800-877-8339) or e-mail disastercustomerservice@sba.gov.

Frequently Asked Questions

How much can I borrow?

The amount SBA will lend depends on the cost of repairing or replacing your home and/or personal property, minus any insurance settlements or grants. SBA will send an inspector to estimate the cost of your damage once you have completed and returned your loan application.

Can the SBA refinance my mortgage?

In some cases, SBA can refinance all or part of a previous mortgage when the applicant does not have credit available elsewhere, has suffered substantial disaster damage not covered by insurance, and intends to repair the damage. SBA considers refinancing when processing each application.

How soon before I know I have been approved?

The SBA disaster assistance program helps with long-term, low-interest rebuilding and repair of damaged property, unlike immediate emergency relief provided by relief organizations. To make a loan, we must know the repair cost, be assured that you can repay the loan, and take reasonable safeguards to make sure the loan is repaid. The sooner you return the completed loan application, the sooner SBA can process the application. SBA tries to make a decision on each application within 14 days. Make sure the application is complete, since missing information is a major cause for delays.

What information must I submit for a home and/or personal property loan?

You must submit the completed loan application and a signed and dated IRS form 8821 giving permission for the IRS to provide SBA your tax return information.

Is collateral required for these loans?

Loans over $14,000 must be secured to the extent possible. The SBA will not decline a loan if you do not have enough collateral, but will ask for whatever collateral is available. That usually consists of a first or second mortgage on the damaged real estate.

Should I wait for my insurance settlement before I file my loan application?

No, do not miss the filing deadline by waiting for an insurance settlement. Final insurance information can be added after a settlement is made. SBA can approve a loan for the total replacement cost up to our lending limits. Once your insurance settles, if there is a duplication of benefits, we will apply those funds to the balance of your disaster loan.

I’m a farmer, and my barns, fence, and some of my crops were damaged, as well as my home. Can I apply to SBA for assistance?

You may apply for an SBA disaster loan to cover the damage to your home and its contents only. SBA cannot cover agriculture losses. Contact the U.S. Department of Agriculture for recovery assistance for your farm at www.usda.gov.

Essential Information

In Presidentially declared disasters, residents and business owners can begin the disaster application process by registering online with the Federal Emergency Management Agency at www.FEMA.gov, or by calling FEMA at 1-800-621-FEMA (3362). For more information about SBA disaster assistance plus disaster preparedness for individuals and businesses visit: www.sba.gov.

For more information, go to www.ready.gov or call 1-800-BE-READY to order or download free sample emergency plans, business preparedness checklists, and templates providing detailed business continuity and preparedness information.

Applying For A Disaster Loan

SBA now offers you the option of filing your home and business disaster loan applications electronically. To file your disaster electronic loan application online, please click here. You also have the option of submitting your application via mail.

You may also apply in person at any Disaster Recovery Center and receive personal, one-on-one help from an SBA representative. For information or to find a location near you, please contact our Customer Service Center. Call 1-800-659-2955 (TTY: 1-800-877-8339) or e-mail .

Electronic Loan Applications

As a disaster victim, you may now apply for disaster loan assistance at your own convenience through the Electronic Loan Application (ELA). The ELA simplifies the application process and speeds delivery of assistance to you. The ELA allows anyone whose home or business was damaged by a declared disaster to apply for disaster loan assistance. Homeowners and renters can apply for damages to their home, personal property, and vehicles. Businesses can apply for damages to their real estate or business contents and for economic losses.

If you are applying for assistance for a Presidential disaster declaration, homeowners and renters must register with the Federal Emergency Management Agency to obtain a FEMA Registration ID Number by calling 1-800-621-3362. The speech or hearing impaired may call (TTY) 1-800-462-7585.

Tutorial: Disaster Recovery: Guide to SBA’s Disaster Assistance Programs

Disaster Loans Use of Proceeds

The SBA has specific guidelines regarding how the proceeds of such loans may be used. Disaster loans are designed to help you and your business weather an event which has caused either or both of the following: physical damage to your business or property, or economic injury (meaning you can't meet your current obligations in regard to your business).

What Can Disaster Loan Proceeds Be Used For?

The SBA offers several different types of disaster loans for small businesses and nonprofit organizations. The SBA can provide up to $2 million in disaster assistance; this includes both economic injury and physical damage assistance. Depending on your loan type, the proceeds may be used for different purposes. Some applicants will qualify for both an economic injury loan and a physical disaster loan.

Physical Disaster Loans

Physical Disaster Loan proceeds may be used for the repair or replacement of the following:

In addition, disaster loans to repair or replace real property or leasehold improvements may be increased by as much as 20 percent of the total amount of disaster damage to real estate and/or leasehold improvements as verified by the SBA to protect the damaged real property against possible future disasters of the same type.

SBA loans will cover uninsured physical damage. If your property was insured but you are required to apply insurance proceeds to an outstanding mortgage on the damaged property, you can include the amount applied in your disaster loan application.

Economic Injury Disaster Loans

An EIDL can help you meet the normal financial obligations that your business or private nonprofit organization could have met had the disaster not occurred. It permits you to maintain a reasonable working capital position during the period affected by the disaster.