WASHINGTON–Credit unions are looking for the House to find a way to introduce or attach legislation in the Senate that would raise the statutory limit on the Small Business Administration’s flagship 7(a) business loan program, which has hit its statutory lending cap of $18.75 billion.
During consideration of HR 2499, the Veterans Entrepreneurship Act of 2015, in the Senate an amendment was added that would raise the cap to $23.5 billion for the 2015 fiscal year.
In a letter to House leadership, NAFCU Vice President of Legislative Affairs Brad Thaler is urging the lower chamber to do the same.
"The SBA 7(a) loan program is important to credit unions and their members...SBA loan products add additional tools to credit unions already helping their members with other financial needs," Thaler wrote. Thaler also points to how NAFCU formalized a national partnership with the SBA to promote small business lending on Feb. 25, 2015.
"If no action is taken, a valuable source for small business capital will be unavailable to those still fighting to recover from the financial crisis," Thaler said.