SBA Loans PDF Print E-mail
Written by Daniel Drew   
Friday, 22 May 2009 04:21

SBA Interest Loans

What are interest rates of SBA loans? From the website for their 504 program:

“Interest rates on 504 loans are pegged to an increment above the current market rate for five-year and 10-year U.S. Treasury issues. Maturities of 10 and 20 years are available. Fees total approximately three (3) percent of the debenture and may be financed with the loan.”

Though its a little more complicated for their 7(a) loan program 

“Interest rates may be fixed or variable. Fixed rate loans of $50,000 or more must not exceed Prime Plus 2.25 percent if the maturity is less than 7 years, and Prime Plus 2.75 percent if the maturity is 7 years or more. 
 
For loans between $25,000 and $50.000, maximum rates must not exceed Prime Plus 3.25 percent if the maturity is less than 7 years, and Prime Plus 3.75 percent if the maturity is 7 years or
more. 
 
For loans of $25,000 or less, the maximum interest rate must not exceed Prime Plus 4.25 percent if the maturity is less than 7 years, and Prime Plus 4.75 percent, if the maturity is 7 years or more.”

Source:http://www.sba.gov/
Comments
Thank you
Suzana 2009-05-27 02:59:58

I am very happy to have received
the information in this article. I was not
aware of the interest rates, that is good to know.
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Last Updated ( Saturday, 18 July 2009 23:39 )