I don't think the PPP loan program was "0 risk" and I don't think banks perceived it that way. If they could easily make 2.8% for 0 actual/perceived risk, there

I don't think the PPP loan program was "0 risk" and I don't think banks perceived it that way. If they could easily make 2.8% for 0 actual/perceived risk, there would be no reason for any bank to deny any potentially qualified applicant. From what I read a number of national banks (eg. BofA, Chase, etc) only offered to loan to customers with previous/existing loans (banks reducing risk). I think they were wary of underwriting risk (even though the USA government made assurances to banks) and risk of perception / reputation risk if any companies they applied on behalf of turned out to defraud the PPP program (possible future reputation damage).