What conditions apply for variable interest rates?

CFR · 2024-01-01 · US · Title 13

A Lender may use a variable rate of interest for guaranteed loans under the following conditions: (a) (b) (c) (d) (1) For all 7(a) loans of $50,000 and less, the interest rate shall not exceed six and a half (6.5) percentage points over the base rate; (2) For all 7(a) loans of more than $50,000 and up to and including $250,000, the maximum interest rate shall not exceed six (6.0) percentage points over the base rate; (3) For all 7(a) loans of more than $250,000 and up to and including $350,000, the maximum interest rate shall not exceed four and a half (4.5) percentage points over the base rate; and (4) For all 7(a) loans of more than $350,000, the maximum interest rate shall not exceed three (3.0) percentage points over the base rate. (e)

official document · source cfr-2024 · id 13:§ 120.214