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SBA Notice

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SBA Notice
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SBA Information Notice



TO: All SBA Employees CONTROL NO.: 5000-957





SUBJECT: Past Due Guaranty Fee Notices on EFFECTIVE: 6/14/2005

Short Term Loans



On May 10, 2005 SBA issued Procedural Notice 5000-956, Past Due Guaranty Fees on Short

g

Term Loans, which established a notification system to remind lenders of guaranty fees still

owed on loans with a maturity of 12 months or less (short term loans). Attached to SBA

Procedural Notice 5000-956 were samples of the first and final notices that SBA would send to

lenders in the event that the full guaranty fee owed on a loan had not been paid within the

required timeframe.



SBA notifies lenders of past due guaranty fees using SBA Form 1544. Due to the formatting

limitations of SBA Form 1544, SBA has had to revise the text of the first and final notices that

were described in SBA Procedural Notice 5000-956.



Attached to this Information Notice are samples of the revised first and final notices that SBA

will send to remind lenders of past due guaranty fees owed on short term loans. The procedures

and other information set forth in SBA Procedural Notice 5000-956 have not changed.



Questions from lenders regarding this notice may be submitted to one of the two SBA Servicing

Centers. For the SBA Little Rock Servicing Center, questions may be directed to

lrsc.servicing@sba.gov. For the SBA Fresno Servicing Center, questions may be directed to

fsc.servicing@sba.gov.







___________________________

James E. Rivera

Associate Administrator

for Financial Assistance





Attachment









EXPIRES: 9/1/2005 PAGE 1 of 2

SBA Form 1353.3 (4-93) MS Word Edition; previous editions obsolete

Must be accompanied by SBA Form 58

Federal Recyling Program Printed on Recycled Paper

Short Term Loans – 15th day message





Bank (SBA Loan Number)



According to Agency records, SBA approved a 7(a) short term

loan on (date) to (SBA Loan Name)

for a total amount of $_____________.



It has been 15 days since the guaranty was approved and SBA

has not received the $ that is still owed. The SBA

guaranty on this loan will be cancelled on (date) if SBA

has not received the full guaranty fee due.



Payment of the required guaranty fee is to be made to the

following address:



Small Business Administration, Denver, CO 80259-0001



The remittance should include the SBA Loan Name and the SBA

Loan Number. If your records reflect that the full guaranty

fee has already been paid, you may contact the appropriate SBA

Servicing Center at (office telephone number) to initiate a correction of

SBA's records.





Short Term Loans – 30th day message



Bank (SBA Loan Number)



The guaranty for SBA Loan No. (loan number) which SBA provided

for a loan approved on (date) to (SBA Loan Name)

has been cancelled. This action was taken because the

Agency did not receive the full guaranty fee within the

required timeframe.



SBA may consider a request by the lender to reinstate the

guaranty. The lender should submit the request to the

(appropriate SBA) Servicing Center and must include the

information set forth in SBA Procedural Notice

5000-956 (eff. date 5/10/05).



Note: The cancellation of the guaranty will not result in a

refund of any fee paid or change the status of the guaranty

fee as still being owed by the lender to SBA. SBA will

consider a lender's failure to remit required SBA guaranty

fees in a timely manner when SBA reviews a lender's continued

participation in any of SBA's loan programs.



Questions regarding this notification should be addressed

to the SBA Servicing Center.









PAGE 2 of 2 EXPIRES: xxx

SBA Form 1353.3 (4-93) MS Word Edition; previous editions obsolete

Must be accompanied by SBA Form 58

Federal Recyling Program Printed on Recycled Paper


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