SBA loan continuation is questionable after funds are exhausted

The Small Business Administration's 7(a) loan program has opened up credit for lenders. Since Congress upped the amount of the SBA loan guarantee from 75% to 90% and waived some fees, 1,300 more lenders want to participate. Overall, about 3,000 lenders have made 7(a) loans in this fiscal year, a 21% increase since 2008. Because funding was exhausted in May, lenders are eager to see whether the Senate will re-enact the 90% guarantee through the end of the year and boost the maximum loan amount from $2 million to $5 million.

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