Were your internal audit processes bypassed in the rush of PPP? Here's how to identify and address risk hot spots and move forward to the forgiveness phase of the PPP process.
For many institutions, building, designing, and implementing a PPP solution to support their customers was frantic, to say the least. Given this pace, institutions might have made unintentional errors during the application process, including:
- Borrower eligibility issues
- Loan amount calculations off by as much as 50%
- Loan boarding errors
- Missing or incomplete customer identification documentation
- Missing or incomplete customer attestations and disclosure forgiveness documents
Now is the time to adjust your internal audit plan to focus on the risks, which likely includes performing a risk assessment and an internal audit of your institution’s PPP loan program. This way, you can tackle any potential issues as the loan forgiveness process begins. The guide below recommends ways to help risk management and internal auditors evaluate what’s happened over the past few months and plan for the future.
