Rumor: FEMA only provides loans to disaster survivors.

Fact

This is false. In most cases, FEMA grants do NOT have to be paid back.

There are some less common situations in which you may have to pay FEMA back if you receive duplicate benefits from insurance or a grant from another source. For example, if you have insurance that covers your temporary housing costs, but you ask FEMA to advance you some money to help you pay for those costs while your insurance is delayed, you will need to pay that money back to FEMA after you receive your insurance settlement.

If you are a homeowner or small business owner, low-interest disaster loans are also available from the U.S. Small Business Administration (SBA) in a declared major disaster area. These loans may help with home repair or replacement, personal property, vehicles, mitigation, business losses, and working capital for small business and most private nonprofits. Learn more about SBA disaster loans.