Sec. 190013. Guarantee amounts
367 words·~2 min read·
/bill/116/hr/6379/ih/section-190013·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
The purpose of this section is to increase loan guarantee amounts in order to mitigate risk for lenders and keep credit flowing, including an emphasis on underserved borrowers. Section 7(a)(2)(A) of the Small Business Act ( 15 U.S.C. 636(a)(2)(A) ) is amended by striking ), such participation by the Administration shall be equal to and all that follows through the period at the end and inserting or the Community Advantage Pilot Program of the Administration), such participation by the Administration shall be equal to 90 percent of the balance of the financing outstanding at the time of disbursement of the loan. .
Effective September 30, 2021, section 7(a)(2)(A) of the Small Business Act ( 15 U.S.C. 636(a)(2)(A) ), as amended by paragraph (1), is amended to read as follows: Except as provided in subparagraphs (B), (D), and (E), in an agreement to participate in a loan on a deferred basis under this subsection (including a loan made under the Preferred Lenders Program), such participation by the Administration shall be equal to— 75 percent of the balance of the financing outstanding at the time of disbursement of the loan, if such balance exceeds $150,000; or 85 percent of the balance of the financing outstanding at the time of disbursement of the loan, if such balance is less than or equal to $150,000. .
Section 7(a)(31) of the Small Business Act ( 15 U.S.C. 636(a)(31) ) is amended— in subparagraph (A)(iv), by striking with a guaranty rate of not more than 50 percent. and inserting the following: with a guarantee rate— for a loan in an amount less than or equal to $350,000, of not more than 90 percent; and for a loan in an amount greater than $350,000, of not more than 75 percent. ; and in subparagraph (D), by striking $350,000 and inserting $1,000,000 . Effective September 30, 2021, section 7(a)(31) of the Small Business Act ( 15 U.S.C. 636(a)(31) ), as amended by paragraph (1), is amended— in subparagraph (A)(iv), by striking guarantee rate and all that follows through the period at the end and inserting guarantee rate of not more than 50 percent. ; and in subparagraph (D), by striking $1,000,000 and inserting $500,000 .
Connectionstraces to 1
Traces to 1 document
U.S. Code
Citation graph
cites case law
Sec. 190013
Guarantee amounts
Cites 1Cited by 0 across 0 sources