Categories: News

Today In Payments: PPP Loans Could Trigger Treasury Investigation; SMBs Say COVID-19 Relief Loans Won’t Spur Rehiring

In today’s top news, Treasury Secretary Steven Mnuchin said companies that received Paycheck Protection Program (PPP) loans without qualifying could face investigations, and some small- to medium-sized businesses (SMBs) that received PPP loans said they won’t be able to rehire all of their employees. Plus, facing bankruptcy, Travelex is seeking a buyer.

PPP Loans Could Trigger Treasury Investigation

Companies that received PPP loans could face investigations if they did not meet the criteria for coronavirus relief, Mnuchin said Wednesday (April 22). Some of the bigger firms receiving loans qualified during the self-certification step of the PPP process but may not actually need the money to stay afloat during the pandemic, Mnuchin said.

SMBs Say COVID-19 Relief Loans Won’t Spur Rehiring

Some SMBs that received forgivable loans under the PPP say they won’t be able to rehire every employee laid off during the coronavirus pandemic. The PPP will forgive the loans as long as businesses spend 75 percent of the funds on payroll within eight weeks of receiving the money, but SMBs say that economic conditions and the terms of the loan will make rehiring everyone difficult.

Hobbled By Hackers And COVID-19, Travelex Goes Up For Sale

Travelex, the British foreign exchange company, is seeking a buyer. The move comes after its parent company, Finablr, said it was in danger of collapsing after it discovered $100 million of undisclosed financing and was not confident of its financial health.

COVID-19 Puts $100B Dent In Global Remittance Flows

The world remittance fall-off anticipated because of the coronavirus pandemic could have serious effects for numerous countries. The projected decline is expected to be more than $100 billion from what it was last year, draining an important resource used by developing countries like Somalia, Haiti and South Sudan. Those countries could see a 20 percent drop in the remittance flows.

The Race To The Cloud: Will Digital Banks Win?

For legacy financial institutions (FIs), winning customers’ loyalty often comes down to offering innovative products and services. But with 80 percent of FIs still using legacy core banking systems, digital banks and FinTechs are seemingly at an advantage. In the Digital Banks And The Power Of The Cloud Tracker, Nathalie Oestmann, chief operating officer at aggregated payment card provider Curve, discusses how she thinks flexible, cloud-based infrastructure puts digital banks at an advantage.

Auto Insurance Premiums Big Digital-First Shift

As Americans look to cut costs amid financial and economic upheaval, auto insurance may get increased scrutiny as policyholders examine whether what they pay reflects actual risk. Dan Preston, CEO of Metromile, tells PYMNTS why premiums based on miles driven, a digital-first mindset — and an app — may be the wave of the future.

Stripe’s John Collison On Improving ‘The Art Of Authorization’ Amid A Digital Payments Boom

Stripe Co-Founder and President John Collison tells PYMNTS the pandemic has increased the importance of robust digital commerce capabilities. Stripe has announced major updates to its software that will connect users directly with Mastercard, Visa and the world’s other top credit card networks.

Get our hottest stories delivered to your inbox.

Sign up for the Newsletter to get updates on top stories and viral hits.


New PYMNTS Report: The CFO’s Guide To Digitizing B2B Payments – August 2020

The CFO’s Guide To Digitizing B2B Payments, a PYMNTS and Comdata collaboration, examines how companies are updating their AP approaches to protect their cash flows, support their vendors and enable their financial departments to operate remotely.

Recent Posts

Bitcoin Daily: Venezuela May Collect Taxes In Crypto; Russian Agency Proposes AI To Track Crypto Transactions

Venezuela may be going forward with a plan to allow the use of the Petro (PTR) cryptocurrency to pay taxes,…

34 mins ago

Report: ByteDance Seeks TikTok Investment From India’s Reliance

ByteDance, the parent of assailed video-sharing app TikTok, is working with India's Reliance Industries in order to save the company's…

58 mins ago

In Germany, Cold Hard Cash Still the Way to Pay

Amid the great digital shift, there are still pockets of commerce — and even entire countries — where cash is…

2 hours ago

Wirecard Kicked Off Germany’s Blue-Chip Index

Exchange operator Deutsche Boerse will be removing Wirecard from the DAX index of leading German blue-chip stocks following a rule…

2 hours ago

Nium Begins Offering Google Pay Options For Its Visa Cards

Nium, the global FinTech platform, announced in a press release emailed to PYMNTS that users will be able to make…

3 hours ago

How COVID-19 Is Redefining Luxury Spending

Face masks have become a part of most people’s day-to-day lives as the physical world reopens with some restrictions amid…

3 hours ago