Rates
Current SBA loan rates
SBA 7(a) loans are priced off the prime rate (6.75% as of June 2026); 504 loans use a fixed debenture rate. Here is what that means for your rate today.
Key takeaways
- SBA 7(a) loans are capped at the prime rate (6.75%, as of June 2026) plus a spread of 3.00 to 6.50 points depending on loan size, a maximum rate of 9.75% to 13.25%.
- SBA 504 debenture rates are fixed when the bond sells: 6.2% on the 20-year term and 6.172% on the 25-year term, effective July 9, 2026.
- These are maximums, not what every borrower pays. Lenders often price below the cap for well-qualified borrowers; see what borrowers actually paid in our study of paid rates.
- Rates move with the prime rate and Treasury yields, not on a fixed schedule. This page reflects the FRED prime rate as of June 2026 and 504 debenture pricing as of July 9, 2026; check back, since both can change month to month.
Current rate environment
via FRED- Prime rate
- 6.75%
- as of Jun 2026
- SOFR
- 3.58%
- as of Jul 2026
- Banks tightening small-firm credit
- +8.1%
- net tightening, as of Apr 2026
SBA 7(a) rates are typically the prime rate plus a lender spread the SBA caps. See how SBA rates work.
How SBA loan rates are set
SBA 7(a) loans are priced off a base rate, usually the prime rate, plus a spread the lender adds. The SBA caps how large that spread can be, and the cap shrinks as the loan size grows, so a $50,000 loan can carry a wider spread than a $1,000,000 loan. SBA 504 loans work differently: the CDC/SBA portion is a fixed rate tied to 10-year Treasury yields, set once when the debenture bond is sold, rather than a spread over prime.
Primary source: the SBA's own 7(a) terms, conditions, and eligibility page, which documents the maximum spreads in effect since June 1, 2025.
SBA 7(a) maximum interest rates
The SBA caps how much a lender can add to the prime rate. These are the maximum variable rates by loan size at the 6.75% prime rate (as of June 2026); lenders frequently price below the cap for well-qualified borrowers.
| Loan size | Max spread over prime | Max rate |
|---|---|---|
| $50,000 or less | +6.50% | 13.25% |
| $50,001 to $250,000 | +6.00% | 12.75% |
| $250,001 to $350,000 | +4.50% | 11.25% |
| Over $350,000 | +3.00% | 9.75% |
Caps apply to variable-rate 7(a) loans. Fixed-rate 7(a) maximums and SBA Express loans follow separate rules. These are the maximums; for what borrowers actually pay by loan size, year, and lender, see our study of paid rates.
What 7(a) borrowers actually paid
The caps above are ceilings, not the market. Using the initial note rate recorded on 919,627 SBA 7(a) loans in the public FOIA record, here is the median rate borrowers actually paid by loan size in FY2025. Smaller loans price higher, and the middle-half range shows how far two similar borrowers can land apart.
SBA 7(a) initial note rates by loan size, FY2025, computed from the public FOIA record. The cap is today's variable-rate maximum; paid rates span the full year and include fixed-rate loans on a separate schedule, so a few in the largest tier run above the current cap.
| Loan size (FY2025) | Median paid | Middle half |
|---|---|---|
| Loans of $50,000 or less | 10.75% | 10%–13% |
| $50,001 to $250,000 | 10.5% | 9.99%–11.25% |
| $250,001 to $350,000 | 10.25% | 9.5%–10.5% |
| More than $350,000 | 9.5% | 8.5%–10.25% |
Initial note rates at approval, not APRs; the SBA guaranty fee is separate. See the full breakdown by year and by lender in what SBA borrowers actually pay.
SBA 504 rates
A 504 loan combines a bank first mortgage (about 50% of the project, at a negotiated rate) with a fixed-rate CDC/SBA debenture (up to 40%), tied to 10-year Treasury yields and locked when the bond sells. As of July 9, 2026, the debenture rate is 6.2% for a 20-year term and 6.172% for a 25-year term.
See current SBA 504 loan rates, the 50/40/10 structure, and the FY2026 fees →
The fee context
The interest rate is not the only cost of an SBA loan. The SBA also charges an upfront guaranty fee on the guaranteed portion of a 7(a) loan, layered on top of whatever rate you negotiate. The current fee schedule, worked examples, and who pays nothing at all are in the SBA guaranty fee breakdown, and you can price your own loan in the guaranty fee calculator. If a lender or consultant charges to prepare your application, that is a packaging fee, with its own federal rules and disclosure requirements: see the SBA packaging fee guide.
Frequently asked questions
What is the current SBA loan rate?
SBA 7(a) loans are usually priced as the prime rate plus a lender spread. The prime rate is 6.75% as of June 2026, so a typical 7(a) loan over $350,000 runs around 9.75% at the SBA's maximum spread, and often lower. SBA 504 loans use a separate fixed debenture rate.
Are SBA loan rates fixed or variable?
SBA 7(a) loans can be either, but most are variable and adjust with the prime rate. The CDC/SBA portion of a 504 loan is always a fixed rate, set when the debenture bond is sold.
How are SBA 504 rates set?
The 504 debenture is a fixed rate tied to the yield on 10-year U.S. Treasury notes plus a market spread, set each month when the bonds are sold to investors. As of July 9, 2026, the effective rate was 6.2% on the 20-year debenture and 6.172% on the 25-year. The bank first-mortgage portion of a 504 has its own separately negotiated rate and term.
Can I negotiate my SBA loan rate?
Yes. The SBA only caps the maximum spread. The actual rate is negotiated with the lender, so strong credit, collateral, and shopping multiple lenders can lower it. Compare lenders before you commit.
Can I get a fixed-rate SBA 7(a) loan?
Yes, though most 7(a) loans are variable. A fixed-rate 7(a) loan follows its own SBA maximum-rate schedule, separate from the variable-rate caps on this page, so confirm which schedule applies before comparing quotes from different lenders.
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