Here to help meet the needs of your business.

Santander is pleased to participate in the Federal Reserve System’s Main Street Lending Program.

About the Federal Reserve System’s Main Street Lending Program.

The Federal Reserve established the Main Street Lending Program (MSLP) to support lending to small- and medium-sized businesses that were in sound financial condition before the onset of the COVID-19 pandemic. The MSLP will operate through three facilities: the Main Street New Loan Facility (MSNLF), the Main Street Priority Loan Facility (MSPLF), and the Main Street Expanded Loan Facility (MSELF).

How the Main Street Lending Program works.

Santander Bank will solely determine whether a business is approved for a MSLP Loan. The Fed will participate in the lending by purchasing a 95% interest in the loan. Santander Bank retains 5% of the loan.

  • As described in more detail below, the loans can range in size from $250,000 to $300 million—a wide range that may support a broad set of employers.
  • Main Street loans are not grants and cannot be forgiven. To review MSLP rules, guidelines, terms and conditions, and frequently asked questions, please go to the Federal Reserve Bank of Boston’s Main Street Lending Program Information for Borrowers webpage.
  • Loans originated under the MSLP have several features that will help businesses facing challenges.
  • Santander Bank will follow its customary policies, procedures and other program requirements and criteria for originating a MSLP loan to a new customer, including Know Your Customer procedures. In addition, when sizing the amount of the MSLP Loan, Santander Bank will require the business to use an adjusted EBITDA methodology that is based on a methodology that Santander Bank has previously required to be used to adjust EBITDA when extending credit to such businesses or, if there is no such calculation, to similarly situated borrowers on or before April 24, 2020.
  • Businesses that do not have an established relationship with the bank will be required to have minimum 2019 revenues of $10 million and be headquartered within the Santander Bank footprint (CT, D.C., DE, FL, IL, MA, MD, ME, NH, NJ, NY, OH, PA, RI, TX, VA, VT).

There are three types of programs under the MSLP—described below—but each share common characteristics: 5-year maturity, with floating rates, and principal and interest payments deferred as indicated in the chart below to assist businesses facing temporary cash flow interruptions. Term sheets for the respective credit facilities (MSNLF, MSPLF, and MSELF) available under the MSLP can be found here.

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Please contact your relationship manager for more details. If you do not have a relationship with the bank, fit the criteria outlined above, and are interested in MSLP, please email MSLP@santander.us.