Garrett County Government - Department of Business Development

SBA 7(a) Loan Program Reaches FY 2015 Loan Guaranty Program Limit

Last Updated on Jul 24, 2015 at 9:43am | Business Resources

The Small Business Administration's 7(a) program has reached its FY 2015 loan guaranty program limit. As a result, SBA is forced to suspend its 7(a) small business lending until the start of the new fiscal year on October 1, 2015, or until such time as the 7(a) loan authority is increased by Congress. All loan applications submitted through delegated or non-delegated authority as of noon (EDT) on July 23, 2015 will be processed as usual.
SBA continues to work closely with its partners in the House of Representatives and Senate to address this challenge. While a solution is not yet finalized, SBA is hopeful that Congress will soon increase the 7(a) program’s lending authority, ensuring that entrepreneurs and businesses can continue to rely on the program to secure the credit necessary to start or expand their business. 
As announced in SBA Information Notice #5000-1344, dated 7-22-2015, applications are being processed up to the point of approval and placed into a queue awaiting the availability of program authority (the “Queue”). As additional program authority becomes available due to Congressional action or as a result of cancelations of loans previously approved this fiscal year, applications in the Queue will be funded in the order they were approved by SBA.    
Questions concerning this Notice should be directed to the lender relations specialist in the local SBA field office. The staff at the Baltimore District Office will continue to closely monitor this situation and provide updates as they are available.