1 00:00:00.100 --> 00:00:04.400 Right. So the first thing we're going to talk about is the eid-l 2 00:00:03.400 --> 00:00:06.600 program and 3 00:00:08.100 --> 00:00:12.200 honestly, this is blew my mind because the fact that for people 4 00:00:11.200 --> 00:00:14.600 that don't know there's a program during covid 5 00:00:14.600 --> 00:00:17.200 for business owners and he got extended for 6 00:00:17.200 --> 00:00:19.000 almost three years ultimately. 7 00:00:21.300 --> 00:00:24.400 And about 220 million dollars were written off was written off 8 00:00:24.400 --> 00:00:27.300 already and the the people 9 00:00:27.300 --> 00:00:30.200 that actually had to borrow that borrowed the money. They had 10 00:00:30.200 --> 00:00:32.900 something the first payments in October and like we talked about 11 00:00:35.800 --> 00:00:38.300 I guess depending on the situation 12 00:00:38.300 --> 00:00:39.600 some people weren't able. 13 00:00:40.300 --> 00:00:43.600 To actually make that first payment but 14 00:00:43.600 --> 00:00:47.100 it's a 30-year. It's a 30 year loan and 15 00:00:46.100 --> 00:00:49.700 already like 220 million dollars already been 16 00:00:49.700 --> 00:00:50.800 has been written off. 17 00:00:53.200 --> 00:00:55.800 We were talking about it and it actually blew my mind because 18 00:00:58.400 --> 00:01:00.300 three years for people to make that payment 19 00:01:01.500 --> 00:01:04.600 You know, it was pretty much excused. 20 00:01:05.900 --> 00:01:08.800 Three years. That's a long time. Well, 30 21 00:01:08.800 --> 00:01:11.400 months 30. So what is that two two and 22 00:01:11.400 --> 00:01:13.000 a half two and a half years half years. 23 00:01:13.600 --> 00:01:16.700 But the fact that you know, a lot of they have 24 00:01:16.700 --> 00:01:19.500 people have this time to kind of recuperate and get 25 00:01:19.500 --> 00:01:22.700 themselves together, which is why these extensions 26 00:01:22.700 --> 00:01:24.000 were made originally. 27 00:01:26.800 --> 00:01:29.900 You know and some this so 28 00:01:29.900 --> 00:01:31.600 has already been written off because they know that. 29 00:01:32.400 --> 00:01:34.100 People aren't going to be able to make the payments. 30 00:01:34.700 --> 00:01:36.400 ultimately, so 31 00:01:37.600 --> 00:01:40.900 Blows my mind a little bit. Okay. Wow. Yeah Johnny 32 00:01:40.900 --> 00:01:43.600 is referring to the story that is on our homepage where 33 00:01:43.600 --> 00:01:46.200 we talked about how the SBA has 34 00:01:46.200 --> 00:01:49.200 already released some data on write-offs for the eidl. 35 00:01:50.300 --> 00:01:53.500 Now there is already an eidl they're 36 00:01:53.500 --> 00:01:56.300 always has been an eidl for normal disasters. 37 00:01:57.300 --> 00:02:00.200 But the SBA broke down which ones were related to 38 00:02:00.200 --> 00:02:01.600 covid and which ones weren't. 39 00:02:02.100 --> 00:02:05.100 So I only looked at the ones that were were related to covid because 40 00:02:05.100 --> 00:02:08.600 that's the one that everyone is concerned with and yeah, as Johnny mentioned 41 00:02:08.600 --> 00:02:11.200 we noticed already that 220 million 42 00:02:11.200 --> 00:02:14.400 dollars worth of covid related Eid loans have already 43 00:02:14.400 --> 00:02:17.600 been charged off as Johnny mentioned. This 44 00:02:17.600 --> 00:02:20.400 is really before anyone has even had to make the 45 00:02:20.400 --> 00:02:24.000 first payment because there was a 30-month deferment 46 00:02:23.600 --> 00:02:26.500 from the time these people got the loan 47 00:02:26.500 --> 00:02:28.100 and the first batch of people. 48 00:02:29.100 --> 00:02:32.400 To have to make a payment started in October but already 49 00:02:32.400 --> 00:02:35.200 at that point the SBA had already 50 00:02:35.200 --> 00:02:38.400 written off 220 million dollars worth. So that's presumably before 51 00:02:38.400 --> 00:02:41.400 anyone even owed a first payment which is really incredible. When 52 00:02:41.400 --> 00:02:45.800 you think about the fact of these loans are what 360 53 00:02:44.800 --> 00:02:47.400 360 payments. There's 54 00:02:47.400 --> 00:02:50.700 yeah 360 payments so 30 55 00:02:50.700 --> 00:02:53.200 years. So if you can't make if you're sure to 56 00:02:53.200 --> 00:02:53.900 make the first payment 57 00:02:54.900 --> 00:02:57.400 The likelihood of you making the last payment. It's 58 00:02:57.400 --> 00:03:00.300 pretty much slim to none. Yeah. Well, you know what's weird 59 00:03:00.300 --> 00:03:03.300 is that they already wrote off the loans before the first payment I think 60 00:03:03.300 --> 00:03:06.200 was even due before the first one was even do because the first one was 61 00:03:06.200 --> 00:03:09.500 due was in October and they were they were 62 00:03:09.500 --> 00:03:13.200 only reporting right off up until the end of September that presumably 63 00:03:12.200 --> 00:03:15.600 means that these payments were not even technically do 64 00:03:15.600 --> 00:03:15.800 yet, 65 00:03:16.800 --> 00:03:19.200 However, the SBA had already determined that I guess 66 00:03:19.200 --> 00:03:22.200 these loans are already uncollectible. So 220 million 67 00:03:22.200 --> 00:03:25.400 dollars was uncollectible before the first 68 00:03:25.400 --> 00:03:28.200 payment was even due on a 30 year 69 00:03:28.200 --> 00:03:31.300 loan. Now 220 million dollars is very very very 70 00:03:31.300 --> 00:03:34.800 very small compared to the total amount of the 71 00:03:34.800 --> 00:03:37.500 ideal loans. Oh because that the balance as 72 00:03:37.500 --> 00:03:42.600 of the end of September was 385 billion billion 73 00:03:41.600 --> 00:03:44.600 dollars. Let me ask you that really quick. 74 00:03:46.500 --> 00:03:49.600 What would you do with 3 plus billion 75 00:03:49.600 --> 00:03:49.900 dollars? 76 00:03:51.300 --> 00:03:54.100 I mean, I think yeah this you know, I don't know what I would 77 00:03:54.100 --> 00:03:56.000 personally do. But this what would you personally do? 78 00:03:56.600 --> 00:03:58.100 What would I do with it? That's 79 00:03:59.200 --> 00:04:02.000 yeah, it's a lot. It's a lot of money a lot of money. It's it's you know, 80 00:04:02.100 --> 00:04:05.900 it's it's a it's a big chunk of the American economy. That's 81 00:04:05.900 --> 00:04:08.600 how much is owed on these on 82 00:04:08.600 --> 00:04:11.400 these loans, right? And we're already seeing that there are defaults 83 00:04:11.400 --> 00:04:15.000 before the first payment is even due and interestingly enough. 84 00:04:14.100 --> 00:04:17.400 We had inquired with the SBA 85 00:04:17.400 --> 00:04:20.300 about something unrelated probably a few weeks, maybe even a 86 00:04:20.300 --> 00:04:23.200 month before where we were asking about the process to make 87 00:04:23.200 --> 00:04:26.900 a payment because it was our understanding that there was one Pate one portal 88 00:04:26.900 --> 00:04:29.300 where you check your balance and another portal where 89 00:04:29.300 --> 00:04:30.100 you make your payment. 90 00:04:30.900 --> 00:04:33.600 And we were confused as to if if that 91 00:04:33.600 --> 00:04:36.500 was true, right and if that might be 92 00:04:36.500 --> 00:04:40.100 confusing and if anyone had called to ask about that and 93 00:04:39.100 --> 00:04:42.800 the response, we got kind of almost side 94 00:04:42.800 --> 00:04:45.800 stepped or inquiry and it kind of went more 95 00:04:45.800 --> 00:04:49.200 than direction of well. If you can't pay they 96 00:04:48.200 --> 00:04:52.100 can make an exception and potentially all 97 00:04:51.100 --> 00:04:54.300 for number six month deferment on 98 00:04:54.300 --> 00:04:57.600 payment and I just thought it was weird that they even brought that up because 99 00:04:57.600 --> 00:05:00.500 that wasn't our question right payments aren't 100 00:05:00.500 --> 00:05:03.900 even due or they just started to become new. Yeah and already 101 00:05:03.900 --> 00:05:06.200 the SBA is already talking about further deferments. Now, 102 00:05:06.200 --> 00:05:10.000 these are loans that are gonna be paid off over the course of 30 years. It's 103 00:05:09.100 --> 00:05:12.700 gonna be in the 2015. Yeah. So if people 104 00:05:12.700 --> 00:05:15.500 are already being like I can't make the first payment for loans 105 00:05:15.500 --> 00:05:18.300 that are gonna be paid for the next 30 Years. What is 106 00:05:18.300 --> 00:05:22.000 the likelihood of collective collectibility? Yeah. Well 107 00:05:21.300 --> 00:05:24.900 and I think it's also interesting to point out that and something 108 00:05:24.900 --> 00:05:27.600 we talked about is just trying to figure out the calculations 109 00:05:27.600 --> 00:05:30.200 itself. Like how do they determine this number? But obviously 110 00:05:30.200 --> 00:05:30.700 they 111 00:05:30.900 --> 00:05:33.400 they did determine that number and on top 112 00:05:33.400 --> 00:05:36.000 of that they were able to 113 00:05:36.200 --> 00:05:38.300 write off 220 million and moving forward. 114 00:05:39.200 --> 00:05:42.200 I'm interested to see how much more those start fighting off like 115 00:05:42.200 --> 00:05:45.300 the amount, you know, obviously we have 300 over 116 00:05:45.300 --> 00:05:47.300 300 billion dollars that. 117 00:05:48.800 --> 00:05:51.400 You know, they they have that it's 118 00:05:51.400 --> 00:05:55.100 uh still did still do. Yeah, I'm gonna 119 00:05:55.100 --> 00:05:58.200 say he's still funded but it's still do so. It's 120 00:05:58.200 --> 00:06:01.100 interesting to see how much more you know, they're gonna be able to calculate to say 121 00:06:01.100 --> 00:06:04.600 that this isn't we're gonna be tracking it. Yeah, because I my personal 122 00:06:04.600 --> 00:06:07.200 opinion is that I think the number is gonna be quite High. 123 00:06:07.200 --> 00:06:10.200 Yeah, because and the reason 124 00:06:10.200 --> 00:06:13.300 why just to take something to considerations the fact that like you 125 00:06:13.300 --> 00:06:17.200 said like you've been saying October it hasn't even been so 126 00:06:16.200 --> 00:06:19.500 these people having me their first payments and you know, 127 00:06:20.400 --> 00:06:23.700 they've already been written up people like all right, I can't pay that. 128 00:06:23.700 --> 00:06:24.500 It's like well 129 00:06:25.600 --> 00:06:28.600 Well, not only do you have to pay this one that you can't pay you 130 00:06:28.600 --> 00:06:31.400 got to keep going for another 30 years. Yeah, right. 131 00:06:31.400 --> 00:06:34.900 That's a lifetime 2052. 132 00:06:35.700 --> 00:06:38.300 Yeah, they'll be paying the 2052 and people already saying 133 00:06:38.300 --> 00:06:39.400 that they can't make the first payment.