{"ok":true,"canonical_url":"https://dealroom.so/glossary/good-character","api_url":"https://dealroom.so/api/public/glossary/good-character","data_freshness":{"sba_records_through":"2026-05-31","fdic_records_through":"2026-03-31","dealroom_last_updated":"2026-06-15","timezone":"America/Chicago"},"source_summary":["Public SBA 7(a) loan records","FDIC institution data","DealRoom lender and franchise enrichment"],"term":{"slug":"good-character","term":"Good character","group":"People and paperwork","definition":"Good character refers to the borrower's honesty, integrity, and financial track record, which lenders assess to determine creditworthiness and reliability.","what_it_means":"The SBA requires all principals of the borrowing entity to demonstrate good character. This involves reviewing your credit report, criminal history, and any past bankruptcies or defaults on government debt. Any red flags here can derail your SBA 7(a) loan application. Be transparent with your lender early on.","url":"https://dealroom.so/glossary/good-character","official_sources":[{"slug":"13-cfr-part-120","title":"13 CFR Part 120 — Business Loans","official_url":"https://www.ecfr.gov/current/title-13/chapter-I/part-120","official_label":"View on eCFR","authority_tier":1,"publisher":"Office of the Federal Register","source_guide_url":"https://dealroom.so/sba-7a/sources/13-cfr-part-120"},{"slug":"sba-form-1919","title":"SBA Form 1919 — Borrower Information Form","official_url":"https://www.sba.gov/document/sba-form-1919-borrower-information-form","official_label":"View on SBA.gov","authority_tier":4,"publisher":"U.S. Small Business Administration","source_guide_url":"https://dealroom.so/sba-7a/sources/sba-form-1919"}],"related":[{"slug":"5-cs","term":"5 Cs","url":"https://dealroom.so/glossary/5-cs"},{"slug":"credit-report","term":"Credit report","url":"https://dealroom.so/glossary/credit-report"},{"slug":"fico-score","term":"FICO score","url":"https://dealroom.so/glossary/fico-score"},{"slug":"derogatory-mark","term":"Derogatory mark","url":"https://dealroom.so/glossary/derogatory-mark"}],"related_questions":[{"question":"How does a lender assess 'good character' for all principals on a 7(a) loan application?","url":"https://dealroom.so/for-lenders/questions/how-does-a-lender-assess-good-character-for-all-principals-on-a-7-a-loan-application"},{"question":"Do I need good personal credit to qualify for an SBA 7(a) loan?","url":"https://dealroom.so/sba-7a/questions/do-i-need-good-personal-credit-to-qualify-for-an-sba-7-a-loan"},{"question":"What basic character requirements must business owners meet when applying for an SBA 7(a) loan?","url":"https://dealroom.so/for-lenders/questions/what-basic-character-requirements-must-business-owners-meet-when-applying-for-an-sba-7-a-l"},{"question":"What are the basic character requirements for business owners applying for an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/what-are-the-basic-character-requirements-for-business-owners-applying-for-an-sba-7-a-loan"},{"question":"Are there any specific character or background checks for owners applying for an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/are-there-any-specific-character-or-background-checks-for-owners-applying-for-an-sba-7-a-l"},{"question":"What if my personal debt-to-income ratio is high, even with a good credit score?","url":"https://dealroom.so/sba-7a/questions/what-if-my-personal-debt-to-income-ratio-is-high-even-with-a-good-credit-score"}]},"caveats":["Definitions represent DealRoom's plain-English interpretation for buyers; verify regulatory terms against the official SBA and eCFR sources listed.","Not legal, tax, or financial advice, and not an SBA eligibility determination."],"citation":{"label":"DealRoom.so Glossary — Good character","url":"https://dealroom.so/glossary/good-character","source_type":"DealRoom Data"}}