Falling behind on a COVID-19 EIDL loan can raise serious questions about what the SBA may do next and whether your business or personal assets could be at risk. The consequences depend on factors such as your loan balance, payment status, collateral, personal guarantees, and whether the debt has been referred to the U.S. Department of the Treasury. Understanding what can happen at each stage can help you evaluate your options before the situation becomes more difficult or expensive to resolve.
Quick Answer: What Happens if You Don't Pay Back an EIDL Loan? If you don't pay back an EIDL loan, the account may become delinquent and eventually enter default. Depending on the circumstances, the SBA may pursue collection efforts, enforce applicable collateral or personal guarantees, and refer the debt to the U.S. Department of the Treasury for collection activities permitted under federal law.
Borrowers experiencing financial hardship may still have repayment options available before default occurs, so contacting the SBA early is often the best way to avoid additional consequences.
Note: This guide focuses primarily on COVID-19 EIDL loans. Collateral, personal-guarantee, servicing, and repayment rules for other SBA disaster loans may differ.
Missing a single EIDL loan payment doesn't automatically trigger severe collection actions. However, if the loan remains unpaid, the consequences can become more serious over time. Understanding the typical progression can help you take action before your options become more limited. 1
| Stage | What It Means | Possible Consequences |
|---|---|---|
| Current | Payments are made on time. | The loan remains in good standing. |
| Late Payment | A scheduled payment has been missed. | Late notices may be sent, interest may continue to accrue, and the account may become delinquent if not brought current. |
| Delinquency | Payments remain overdue. | Collection efforts may increase, and the SBA may contact the borrower about repayment. |
| Default | The loan is declared in default under the loan agreement. | The borrower may receive demand letters, the full balance may be accelerated, and the debt may be referred for collection. |
| Treasury Referral | A delinquent debt may be referred to Treasury collection programs, including TOP and, where applicable, Cross-Servicing. | Eligible federal payments may be offset through TOP, while Cross-Servicing can use additional authorized collection tools. |
The earlier you address repayment problems, the more options you're likely to have. Waiting until your loan reaches default, or is referred to the Treasury, can significantly reduce your flexibility and increase the overall cost of resolving the debt. The following sections explain what relief options may still be available, what happens if you close your business, and the steps you should take before selling business assets or making other major financial decisions.
Many borrowers assume that defaulting on an EIDL loan means the debt is immediately turned over to the U.S. Department of the Treasury. In reality, default and Treasury referral are two separate stages in the collection process. Understanding the difference can help you make informed decisions before your options become more limited.
An EIDL loan enters default when you fail to meet the repayment terms outlined in your loan agreement and the delinquency is not resolved. Default doesn't necessarily mean immediate legal action, but it may permit the SBA to exercise remedies available under the loan documents and applicable law, including acceleration and enforcement of collateral.
Depending on the circumstances of your loan, the SBA may:
| Action | Possible? | Notes |
|---|---|---|
| Interest continues to accrue | ✔️ Yes | Interest generally continues to accrue on the outstanding balance. Additional collection costs may apply if the debt progresses into federal collection. |
| Send collection notices | ✔️ Yes | The SBA typically sends payment reminders and demand letters before escalating collection efforts. |
| Declare the loan in default | ✔️ Yes | If you fail to meet the terms of your loan agreement, the SBA may declare the loan in default. |
| Refer the debt to the U.S. Treasury | ✔️ Yes | Defaulted EIDL loans may be referred to the Treasury for collection under applicable federal procedures. |
| Garnish wages | ⚠️ Possibly | Administrative wage garnishment may be available in certain cases after Treasury referral and subject to applicable federal law and required notice procedures. |
| Offset federal payments | ⚠️ Possibly | Eligible federal payments, including certain tax refunds, may be subject to offset through the Treasury Offset Program. |
| Seize pledged collateral | ✔️ Yes (if applicable) | If your EIDL loan is secured, the SBA may have rights to enforce its security interest in pledged collateral, subject to applicable law. |
| Automatically forgive the remaining balance | ❌ No | Unlike PPP loans, EIDL loans are generally not eligible for automatic loan forgiveness. |
Default is often the point at which borrowers have fewer repayment options available, making early communication with the SBA especially important.
If the SBA is unable to resolve the default, it may refer the debt to the U.S. Department of the Treasury for collection. A COVID EIDL may be referred to the Treasury Offset Program after reaching the applicable delinquency threshold. Loans meeting separate Cross-Servicing requirements may also be transferred to Treasury's Cross-Servicing Program. Once qualifying debt is transferred to Treasury's Cross-Servicing program, Treasury handles the federal collection activity through that program. 2
A Treasury referral generally increases both the complexity and the cost of resolving the debt because collection fees may be added to the outstanding balance.
One of the Treasury's primary collection tools is the Treasury Offset Program (TOP). 3 This program allows certain eligible federal and state payments that would otherwise be made to the borrower to be applied toward delinquent federal debts.
Depending on your circumstances and applicable law, offsets may include:
Federal income tax refunds
Certain federal benefit payments
Federal vendor payments
Other eligible federal payments
Not every borrower will be subject to every type of offset, but it's important to understand that Treasury has collection tools that extend beyond traditional billing notices.
Once an EIDL loan is referred to the Treasury, collection fees may be added to the balance owed. These fees are separate from the loan's principal and accrued interest and can significantly increase the total amount required to resolve the debt.
Addressing repayment issues before Treasury referral may help borrowers avoid additional collection costs.
In certain circumstances authorized under federal law, Treasury may pursue administrative wage garnishment or other collection methods. These actions generally occur only after required notices and procedures have been followed.
The availability of specific collection tools depends on the facts of each case, so borrowers should not assume every remedy will apply automatically.
One of the most common concerns among EIDL borrowers is whether the SBA can pursue their personal assets if they default on the loan.
The answer depends on several factors, including the size of the loan, whether you signed a personal guarantee, how your business is organized, and what collateral secures the loan.
For many COVID EIDL loans $25,000 and less, the SBA generally did not require collateral.
That doesn't mean the loan disappears if you stop making payments, but it does mean the SBA typically doesn't have a security interest in business assets under the standard loan terms. Borrowers are still responsible for repaying the debt, and other collection efforts may still be available if the loan goes into default.
For larger EIDL loans, the SBA often required business assets to serve as collateral.
Collateral may include:
If your loan is secured, the SBA may have rights relating to that collateral if the loan remains unpaid.
For many COVID EIDL loans over $200,000, borrowers were generally required to sign a personal guarantee.
A personal guarantee means you agree to be personally responsible for the debt if the business cannot repay the loan. While it doesn't automatically mean the SBA will pursue personal assets, it does expand the government's legal remedies beyond those available for loans without a personal guarantee.
Many borrowers assume that operating as an LLC or corporation completely shields them from personal liability.
While those business structures often provide important liability protections, they do not automatically eliminate obligations created by a valid personal guarantee.
Likewise, an LLC doesn't prevent the SBA from enforcing its rights against pledged business collateral.
Whether you're operating as an LLC, corporation, partnership, or sole proprietorship, your potential liability depends on your specific loan agreement and business structure.
Factors that may affect your situation include:
Because every situation is different, borrowers should avoid assuming that their business entity alone determines what the SBA can or cannot do.
Key Takeaway The SBA does not automatically take personal assets simply because an EIDL loan goes into default. However, your exposure depends on the terms of your loan, the existence of collateral, any personal guarantee you signed, and your individual circumstances. Before making decisions based on generalized advice, review your loan documents and seek qualified guidance if you're unsure how your loan affects your personal liability.
If you're having trouble making your EIDL loan payments, don't assume your only option is to stop paying. As of September 2026, the SBA still offers Payment Assistance to eligible COVID EIDL borrowers experiencing temporary financial difficulties. 4
While relief programs have changed since the COVID-19 pandemic, some borrowers may still qualify for repayment accommodations. The key is to contact the SBA before your loan becomes severely delinquent. The SBA currently offers a Payment Assistance option for certain borrowers experiencing temporary financial difficulties.
The SBA's former Hardship Accommodation Plan (HAP) is no longer available for new enrollments. SBA discontinued new HAP enrollments on March 19, 2025. The current Payment Assistance program operates under different terms.
Eligible COVID EIDL borrowers may be able to reduce their required monthly payment by 50% for six months. After the assistance period ends, borrowers generally must resume their regular monthly payments.
Interest is not waived during the reduced-payment period. It continues to accrue on the outstanding balance, which may increase the balloon payment due at the end of the loan term.
According to the SBA's current eligibility requirements, borrowers generally must:
Eligible borrowers may generally use Payment Assistance once every five years.
Because eligibility and program terms can change, borrowers should verify the current requirements directly through the SBA Loan Portal or the SBA's official COVID EIDL servicing information before applying.
Key Takeaway: The old COVID EIDL Hardship Accommodation Plan is no longer open for new enrollment. In 2026, qualifying borrowers may instead be eligible for the SBA's current Payment Assistance program, which can temporarily reduce required payments by 50% for six months while interest continues to accrue.
Payment Assistance temporarily reduces the required monthly payment, but it does not stop interest from accruing.
Interest continues to accrue on the outstanding loan balance during the six-month reduced-payment period. Because the borrower is paying less during that time, the unpaid interest may increase the amount due later, including the potential balloon payment at the end of the loan term.
Before enrolling in Payment Assistance, borrowers should review how the reduced payments may affect their remaining balance, repayment schedule, and total interest costs.
Don't wait until you've missed several payments or received a default notice; contacting the SBA early may increase the likelihood of qualifying for available payment assistance programs.
Before reaching out, gather information about your financial situation so you can clearly explain why you're requesting relief. Being prepared can also help the SBA evaluate your request more efficiently.
When requesting payment assistance, be prepared to:
You should also continue monitoring your loan through the SBA Loan Portal and respond promptly to any requests for additional information. Delays in providing documentation could affect how quickly your request is reviewed.
Most importantly, don't ignore letters, emails, or phone calls from the SBA. Even if you can't make your full payment, communicating with the agency demonstrates that you're actively working toward a resolution and may preserve options that become unavailable once the loan enters default or is referred to the U.S. Department of the Treasury.
Key Takeaway - Payment Assistance is intended to help eligible borrowers manage temporary financial difficulties, not eliminate the debt. Interest continues to accrue during the reduced-payment period, so borrowers should understand how the program may affect the balance and amount due at maturity.
One of the biggest misconceptions about EIDL loans is that closing your business automatically eliminates the debt. Unfortunately, that's not how EIDL loans work.
While closing your business may end your day-to-day operations, it does not automatically cancel your loan obligation. What happens next depends on several factors, including your loan amount, whether you pledged collateral, and whether you signed a personal guarantee.
Common Mistake: Some business owners dissolve their company before understanding how their EIDL loan, collateral, or personal guarantee may be affected. Taking a few hours to review your obligations before filing dissolution paperwork can help you avoid decisions that are difficult or impossible to reverse.
Many borrowers believe that dissolving an LLC or corporation makes the EIDL loan disappear. In reality, dissolving the business simply ends the legal entity's operations; it doesn't erase outstanding debts.
If your business still owes money on its EIDL loan, the SBA may continue its collection efforts even after the business has closed. You're still responsible for complying with the loan documents, including any requirements related to repayment, collateral, and communication with the SBA.
Ignoring the loan after dissolving the business can increase the risk of default and eventually lead to additional collection activity.
Not every EIDL loan includes a personal guarantee.
Generally speaking:
Loans over $200,000 required a personal guarantee.
Loans of $200,000 or less generally did not require a personal guarantee. The absence of a separate personal guarantee does not necessarily mean every borrower has zero personal exposure, particularly where the individual is the borrower or where other legal theories could apply.
If you signed a personal guarantee, you may remain personally responsible for the debt even after your business closes. A business dissolution typically does not eliminate obligations created under a personal guarantee.
Many EIDL loans also required collateral, particularly for larger loan amounts.
If your business pledged assets as collateral, the SBA may retain a security interest in those assets until the loan is satisfied or otherwise resolved. Selling, transferring, or disposing of collateral without addressing the SBA's lien could create additional legal and financial complications.
If you're considering selling equipment, inventory, vehicles, or other business assets, it's important to understand your obligations before completing the transaction.
If you've decided to permanently close your business, don't simply stop making payments and hope the issue resolves itself.
Instead, notify the SBA that the business has ceased operations and continue responding to any requests regarding your loan. Open communication can help ensure your account is handled appropriately and may preserve options that become more difficult once the loan progresses into default.
Closing a business with an outstanding EIDL loan often requires more than filing dissolution paperwork with your state.
Before winding down operations, consider:
Reviewing your EIDL loan documents.
Identifying any collateral securing the loan.
Determining whether a personal guarantee applies.
Contacting the SBA to discuss your situation.
Speaking with a qualified attorney or financial advisor if you're unsure of your obligations.
Taking these steps before closing your business can help you avoid costly mistakes and better understand your options for resolving the loan.
Key Takeaway: Closing your business does not automatically eliminate your EIDL loan. Before dissolving your company, selling assets, or walking away from the business, make sure you understand how your loan agreement, collateral, and any personal guarantees may affect your ongoing obligations.
If your EIDL loan is secured by business assets, you shouldn't assume you're free to sell equipment, inventory, or other property simply because your business is struggling or closing.
Many EIDL borrowers granted the SBA a security interest in certain business assets when they accepted the loan. That means the SBA may have legal rights in those assets until the loan is repaid or otherwise resolved.
Before selling, transferring, or disposing of business property, it's important to understand how the SBA's lien may affect the transaction.
For many secured EIDL loans, the SBA perfected its security interest by filing a Uniform Commercial Code (UCC) financing statement, commonly referred to as a UCC-1 filing.
A UCC filing doesn't mean the SBA owns your business assets. Instead, it serves as public notice that the SBA has a legal security interest in certain collateral pledged under your loan agreement.
Depending on the terms of your loan, the filing may cover assets such as:
Business equipment
Furniture and fixtures
Inventory
Accounts receivable
Other business property described in your loan documents
Reviewing your loan authorization and any UCC filings can help you understand exactly which assets may be subject to the SBA's lien.
The collateral securing an EIDL loan depends on the loan amount and the terms of your loan agreement.
For many borrowers, collateral may include:
Equipment and machinery
Inventory
Not every asset is automatically collateral, which is why reviewing your loan documents before selling anything is essential.
Business owners often ask whether they can sell inventory or equipment to generate cash while trying to stay afloat.
The answer depends on the circumstances.
Selling inventory as part of your ordinary course of business is generally different from liquidating business assets during a closure. If you're planning to sell equipment, vehicles, or other collateral outside of normal business operations, you should first determine whether SBA approval or lender consent is required under your loan agreement.
If you're planning to:
Close your business
Liquidate equipment
Sell major business assets
Transfer collateral to another party
It's generally advisable to contact the SBA or your loan servicer before completing the transaction. They can explain whether approval is required, whether proceeds must be applied to the loan, and what documentation may be needed.
Selling collateral without understanding your obligations may have serious consequences.
Depending on your loan agreement and the facts of your situation, unauthorized asset sales could:
Complicate efforts to resolve your EIDL loan
Increase the likelihood of collection activity
Create disputes over the proceeds from the sale
Limit your repayment or settlement options later
Before selling any significant business assets, consider taking these steps:
Review your EIDL loan documents to identify pledged collateral.
Search for any UCC filings associated with your business.
Contact the SBA or your loan servicer if you're unsure whether approval is required.
Keep detailed records of any proposed asset sales.
Consult with a qualified attorney or financial advisor if your situation is complex or you're planning to close the business.
Key Takeaway: Selling business assets without first understanding the SBA's security interest can create avoidable problems. If your EIDL loan is secured, take the time to review your loan documents, understand what collateral is covered, and communicate with the SBA before selling major assets.
If you've searched online for answers about EIDL loans, you've probably encountered hundreds of opinions on Reddit, YouTube, Facebook groups, and business forums. While many people share their personal experiences in good faith, what worked for one borrower may not apply to another.
EIDL loans are federal loans governed by specific loan documents, SBA policies, and federal debt collection laws. Every borrower's circumstances are different, which is why relying solely on online anecdotes can sometimes lead to costly mistakes.
Two borrowers may both have EIDL loans, but their legal and financial situations can be dramatically different.
Factors that may affect your options include:
The amount of your EIDL loan
Whether you signed a personal guarantee
Whether business assets were pledged as collateral
Your current payment status (current, delinquent, default, or Treasury referral)
Whether your business is still operating
Your business entity (LLC, corporation, sole proprietorship, etc.)
Advice that makes sense for one borrower could be completely inappropriate for another.
Online communities can be valuable for sharing experiences, but they aren't a substitute for understanding your own loan agreement.
Some of the most common claims found online include:
"Just close your LLC and the debt goes away."
"The SBA isn't collecting anymore."
"They'll never come after a small loan."
"You can sell your equipment before anyone notices."
While these statements may reflect an individual's experience, they should not be treated as universal rules. Every EIDL loan has its own facts, and the SBA's collection decisions depend on a variety of legal and financial factors.
One reason online advice can be misleading is that many borrowers assume an EIDL loan is collected the same way as a private business loan.
It's not.
Because EIDL loans are federal loans, collection actions may involve federal statutes, Treasury referral, administrative offsets, collateral rights, and other government collection procedures that don't apply to traditional commercial lending.
If you're considering:
Closing your business
Selling assets
Stopping payments
Applying for payment assistance
Negotiating a resolution with the SBA
take time to understand how those decisions apply to your specific loan before acting.
A strategy that works for another borrower could have very different consequences for you depending on your loan documents, collateral, repayment history, and overall financial situation.
The internet is full of opinions, but your EIDL loan is governed by your specific loan agreement and federal rules, not by someone else's experience. Before making major decisions that could affect your finances or your business, make sure you're relying on accurate information that applies to your individual circumstances.
Need help evaluating your options? Every EIDL loan is different. If you're unsure how your loan terms, collateral, or repayment status affect your options, EiDLexit can help you understand your situation before you make decisions that may be difficult to reverse.
If you're behind on your EIDL loan payments, or worried that you soon will be, the worst thing you can do is ignore the problem. Taking action early typically provides more options than waiting until the loan has entered default or been referred to the U.S. Department of the Treasury.
Here are some steps you may want to consider before your situation becomes more difficult to resolve.
If your financial hardship is temporary, contact the SBA to determine whether you're eligible for any current payment assistance programs or other repayment accommodations.
Even if you don't qualify for every available option, discussing your situation before your account becomes seriously delinquent may help you understand what relief programs are available.
If you're unable to continue making your scheduled payments, don't assume your only choices are paying in full or defaulting.
Depending on your circumstances, it may be possible to discuss repayment alternatives or other resolution options with the SBA. While not every borrower will qualify for modified payment arrangements, starting the conversation early generally provides more flexibility than waiting until collection activity has escalated.
If your business is closing, you've pledged collateral, signed a personal guarantee, or you're considering selling business assets, obtaining professional guidance may help you avoid unintended consequences.
An attorney experienced in business debt or SBA matters can help you understand your legal obligations, while a CPA or financial advisor may assist with evaluating the financial impact of different repayment strategies.
Professional advice is especially valuable if your situation involves multiple business owners, bankruptcy considerations, or complex asset issues.
Filing for bankruptcy does not automatically eliminate an EIDL loan. Whether your personal obligation to repay the debt can be discharged depends on the type of bankruptcy, the circumstances surrounding the loan, and whether any exception to discharge applies. 5
One important distinction is the difference between personal liability for the debt and the SBA's rights in collateral securing the loan. A bankruptcy discharge may eliminate a borrower's personal liability for an otherwise dischargeable debt, but it does not necessarily eliminate a valid lien against pledged collateral.
The treatment of an EIDL loan varies depending on the bankruptcy chapter you file.
When an EIDL loan is secured, it's important to distinguish between the borrower's obligation to repay the debt and the SBA's security interest in pledged property.
A bankruptcy discharge generally addresses a borrower's personal liability for dischargeable debts. It does not necessarily eliminate a creditor's valid lien against collateral.
For example, if the SBA has a valid security interest in business equipment, a bankruptcy discharge could potentially eliminate an individual's personal liability for an otherwise dischargeable debt while the SBA retains certain rights against the pledged equipment.
The treatment of collateral depends on the bankruptcy case, the loan documents, the validity and priority of the lien, and applicable bankruptcy law.
A personal guarantee can also be important when determining how an EIDL loan is affected by bankruptcy.
If a business is the borrower but an owner personally guaranteed the loan, a bankruptcy filed by the business does not automatically discharge the guarantor's personal obligation. Likewise, an individual's bankruptcy does not automatically eliminate the borrowing business's obligations.
Whether a particular borrower or guarantor receives a discharge depends on who files bankruptcy, the type of proceeding, and whether the debt is otherwise dischargeable.
Not every debt is eligible for a bankruptcy discharge.
If a bankruptcy court determines that an EIDL debt falls within an applicable exception to discharge, such as when a loan was obtained through fraud, intentional misrepresentation, or certain materially false statements, the debt may be declared nondischargeable. 6
For example, knowingly providing false information to obtain an EIDL loan could affect whether the resulting debt can be discharged.
However, a violation of an EIDL loan requirement does not automatically mean the debt is nondischargeable. Whether an exception to discharge applies depends on the specific conduct, the evidence, applicable bankruptcy law, and ultimately the bankruptcy court's determination.
There is no universal rule that every EIDL loan is either dischargeable or nondischargeable.
The outcome depends on the borrower, the bankruptcy chapter, the loan documents, any personal guarantee or collateral, whether an exception to discharge applies, and the orders entered in the bankruptcy case.
Borrowers should also understand that discharging personal liability and eliminating a lien are not the same thing. Even when personal liability for a debt is discharged, a valid lien may survive and continue to affect pledged collateral.
Because the consequences can vary significantly from one case to another, borrowers considering bankruptcy should consult a qualified bankruptcy attorney who can review their EIDL loan documents and individual circumstances.
Key Takeaway: Bankruptcy may provide relief from personal liability for some EIDL debt, but filing bankruptcy does not automatically erase an EIDL loan or eliminate the SBA's rights in pledged collateral. The outcome depends on the bankruptcy chapter, who is liable for the debt, any liens or personal guarantees, and whether an exception to discharge applies.
One of the biggest mistakes borrowers make is waiting until they've received demand letters or Treasury notices before reaching out.
If you're experiencing financial hardship, contact the SBA as soon as possible. Early communication may help preserve repayment options that become more limited once a loan enters default.
Even if you're unsure what your next step should be, starting the conversation demonstrates that you're actively working to address the situation rather than ignoring it.
Key Takeaway If you're struggling with your EIDL loan, acting early almost always provides more options than waiting until the account reaches default or Treasury referral. Whether that means requesting payment assistance, speaking with the SBA, consulting a professional, or simply understanding your obligations, taking proactive steps today can help you make more informed decisions tomorrow.
Closing your business does not automatically eliminate your obligation to repay an EIDL loan. Depending on the loan terms, the SBA may still pursue repayment from business assets, pledged collateral, or personal guarantors. The outcome often depends on the loan amount, collateral position, business structure, and any bankruptcy proceedings that may apply.
In some circumstances, yes. If your EIDL loan is referred to the U.S. Department of the Treasury for collection, the government may have access to administrative collection tools that can include wage garnishment, subject to federal law and required notice procedures. Not every borrower will be subject to wage garnishment, and the specific collection actions available depend on the facts of the case.
Not automatically. A personal guarantee can make a guarantor personally liable for the debt, but that does not necessarily mean the person's home was pledged as collateral. Whether the government could ultimately pursue a particular personal asset depends on the loan documents, collection procedures, applicable exemptions, and other federal and state law. Review your loan documents and consult qualified counsel if you're concerned about a specific asset.
Generally, borrowers in default on an existing SBA loan may have difficulty qualifying for additional SBA financing until the default is resolved. Lenders evaluate both eligibility requirements and outstanding federal debt when reviewing new loan applications.
Not necessarily. Whether an EIDL loan can be discharged in bankruptcy depends on several factors, including the type of bankruptcy filed, the nature of the debt, and the specific facts of your case. If you're considering bankruptcy, consult with a qualified bankruptcy attorney before making any decisions.
Even if your business no longer has significant assets, your obligations under the loan agreement may continue. Whether the SBA can pursue additional collection efforts depends on factors such as collateral, personal guarantees, and your individual circumstances. Closing the business or having few remaining assets does not automatically eliminate the debt.
It can. Depending on the circumstances, a default may affect your business credit and, in some situations, your personal credit. The impact varies based on factors such as your loan structure, reporting practices, and any personal liability associated with the loan.
The U.S. Department of the Treasury administers federal debt collection programs, but available resolution options vary depending on the status of the debt and applicable federal procedures. If your EIDL loan has already been referred to the Treasury, contact the appropriate servicing office promptly to understand what options, if any, may be available.
What happens if you don't pay back an EIDL loan? Ignoring the problem rarely improves the situation. Whether you're considering closing your business, selling assets, or simply struggling to make payments, addressing the issue before your loan reaches default typically gives you the widest range of options.
1 SBA - Managing Your EIDL
2 U.S. Department of the Treasury - Bureau of the Fiscal Service: Cross-Servicing
3 U.S. Department of the Treasury – Bureau of the Fiscal Service: Treasury Offset Program
4 SBA - Covid 19 EIDL Payment Assistance
5 U.S. Courts - Discharge in Bankruptcy – Bankruptcy Basics
6 Cornell Legal Information Institute - 11 U.S.C. § 523 – Exceptions to Discharge