SBA issues final rule, stops 7(a) lender moratorium

The Small Business Administration issued a final rule this week to lift the moratorium on the number of non-depository lenders in the 7(a) program.

Through the 7(a) program, banks and other lenders provide loans to underserved small businesses.

The number of non-depository institutions in the program has been capped at 14 institutions for decades, but that cap is eliminated under the rule.