JPMorgan’s Small Business Loans Instead Went to Its Biggest Customers
- Only 6% of smaller customers got paycheck-protection loans
- Most of Chase’s larger commercial clients got small-biz loans
A pedestrian wearing a protective mask walks past a JPMorgan Chase & Co. bank branch in New York, on April 10.
Photographer: Mark Kauzlarich/BloombergThis article is for subscribers only.
JPMorgan Chase & Co. provided loans to virtually all of its commercial banking customers that sought financing through the small business relief program, while the lender’s smallest customers were almost entirely shut out, according to data disclosed by the bank.
More than 300,000 customers of JPMorgan’s business banking unit, which serves smaller firms, applied for loans through the Paycheck Protection Program, part of the $2 trillion Cares Act that Congress adopted in late March. About 18,000 were funded, for a 6% success rate.