{"ok":true,"canonical_url":"https://dealroom.so/glossary/libor-indexed-loan","api_url":"https://dealroom.so/api/public/glossary/libor-indexed-loan","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":"libor-indexed-loan","term":"LIBOR-indexed loan","group":"The loan itself","definition":"A loan whose interest rate adjusts based on the London Interbank Offered Rate (LIBOR). LIBOR has been phased out, so existing loans were converted to alternative reference rates.","what_it_means":"While new loans no longer use LIBOR, you might encounter an existing business loan tied to it if you're refinancing or assuming debt. Your lender will have transitioned any LIBOR-indexed loan to a SOFR-based rate or another benchmark, as LIBOR ceased publication. Understand the new rate.","url":"https://dealroom.so/glossary/libor-indexed-loan","official_sources":[],"related":[{"slug":"libor","term":"LIBOR","url":"https://dealroom.so/glossary/libor"},{"slug":"sofr-based-rate","term":"SOFR-based rate","url":"https://dealroom.so/glossary/sofr-based-rate"},{"slug":"variable-rate","term":"Variable rate","url":"https://dealroom.so/glossary/variable-rate"}],"related_questions":[{"question":"How should a lender handle the transition of an existing variable-rate 7(a) loan from LIBOR to an alternative base rate?","url":"https://dealroom.so/for-lenders/questions/how-should-a-lender-handle-the-transition-of-an-existing-variable-rate-7-a-loan-from-libor"},{"question":"Are SBA 7(a) loans only for businesses unable to get traditional bank loans?","url":"https://dealroom.so/sba-loans/basics/are-sba-7-a-loans-only-for-businesses-unable-to-get-traditional-bank-loans"},{"question":"What exactly is an SBA 7(a) loan, and who offers these loans?","url":"https://dealroom.so/sba-loans/basics/what-exactly-is-an-sba-7-a-loan-and-who-offers-these-loans"},{"question":"How do SBA 7(a) loan interest rates compare to standard commercial loans?","url":"https://dealroom.so/sba-loans/basics/how-do-sba-7-a-loan-interest-rates-compare-to-standard-commercial-loans"},{"question":"What makes an SBA 7(a) loan 'government-backed' compared to other loans?","url":"https://dealroom.so/sba-loans/basics/what-makes-an-sba-7-a-loan-government-backed-compared-to-other-loans"},{"question":"Does the SBA check for past defaults on federal debts, like student loans or prior SBA loans?","url":"https://dealroom.so/sba-loans/basics/does-the-sba-check-for-past-defaults-on-federal-debts-like-student-loans-or-prior-sba-loan"}]},"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 — LIBOR-indexed loan","url":"https://dealroom.so/glossary/libor-indexed-loan","source_type":"DealRoom Data"}}