SAN FRANCISCO/WASHINGTON—When the U.S. government first rolled out forgivable loans to small businesses in early April under the Paycheck Protection Program, loan officers at Bank of the West in Grapevine, Texas, worked nights and weekends to process a tsunami of applications.
But since those first few frantic weeks, demand has “just dried up,” said bank president Cindy Blankenship. On May 15, the bank stopped taking applications for PPP loans.
