SMALL BUSINESS ADMINISTRATION
Interest Rates
The Small Business Administration publishes an interest rate called the Optional Peg
Rate (13 CFR 120.214) on a quarterly basis. This rate is a weighted average cost of
money to the government for maturities similar to the average SBA direct loan. This rate
may be used as a base rate for guaranteed fluctuating interest rate SBA loans. This rate
will be 4.63 percent for the July – September quarter of FY 2024.
Pursuant to 13 CFR 120.921(b), the maximum legal interest rate for any Third Party
Lender’s commercial loan which funds any portion of the cost of a 504 project (see 13
CFR 120.801) shall be 6% over the New York Prime rate or, if that exceeds the
maximum interest rate permitted by the constitution or laws of a given State, the
maximum interest rate will be the rate permitted by the constitution or laws of the given
State.
David Parrish,
Chief, Secondary Market Division.
[FR Doc. 2024-14233 Filed: 6/27/2024 8:45 am; Publication Date: 6/28/2024]