|
|
Article: Small Business Administration Suspends Loan Guarantee Program.
- Article from:
- Knight Ridder/Tribune Business News
- Article date:
- January 8, 2004
CopyrightCOPYRIGHT 2004 Knight-Ridder/Tribune Business News. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
|
Chicago Tribune Knight Ridder/Tribune Business News
Jan. 8--The U.S. Small Business Administration has temporarily suspended its flagship loan guarantee program just three months into the fiscal year, citing insufficient funding to meet unprecedented demand for loans.
The agency said that thousands of unprocessed loan applications will be returned to lenders, while applications already sent to processing centers will be canceled.
It is believed to be the first-ever suspension of the SBA's 7(a) loan program, which backs 40 percent of all long-term lending to the country's small businesses.
The decision to cancel those applications ...