{"ok":true,"canonical_url":"https://dealroom.so/glossary/loan-modification","api_url":"https://dealroom.so/api/public/glossary/loan-modification","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":"loan-modification","term":"Loan Modification","group":"The loan itself","definition":"This is a change to the original terms of your loan, such as the interest rate, payment schedule, or maturity date. It's typically done to help a borrower facing financial hardship.","what_it_means":"If your business experiences unexpected challenges after acquiring it with an SBA 7(a) loan, you might request a Loan Modification from your lender. This could involve an interest-only payment period or a deferred principal payment. These changes require SBA approval and are not guaranteed, but they can be crucial for business survival.","url":"https://dealroom.so/glossary/loan-modification","official_sources":[{"slug":"sop-50-10","title":"SOP 50 10 — Lender and Development Company Loan Programs","official_url":"https://www.sba.gov/document/sop-50-10-lender-development-company-loan-programs","official_label":"View on SBA.gov","authority_tier":2,"publisher":"U.S. Small Business Administration","source_guide_url":"https://dealroom.so/sba-7a/sources/sop-50-10"}],"related":[{"slug":"interest-only-payment","term":"Interest-Only Payment","url":"https://dealroom.so/glossary/interest-only-payment"},{"slug":"deferred-principal-payment","term":"Deferred Principal Payment","url":"https://dealroom.so/glossary/deferred-principal-payment"},{"slug":"loan-agreement","term":"Loan agreement","url":"https://dealroom.so/glossary/loan-agreement"},{"slug":"servicing","term":"Servicing","url":"https://dealroom.so/glossary/servicing"}],"related_questions":[{"question":"When is an E-Tran modification specifically required for changes in collateral post-authorization?","url":"https://dealroom.so/for-lenders/questions/when-is-an-e-tran-modification-specifically-required-for-changes-in-collateral-post-author"},{"question":"When is an E-Tran modification required for a final loan amount change less than $5,000?","url":"https://dealroom.so/for-lenders/questions/when-is-an-e-tran-modification-required-for-a-final-loan-amount-change-less-than-5-000"},{"question":"When must a lender obtain an E-Tran modification for changes to a 7(a) loan's terms?","url":"https://dealroom.so/for-lenders/questions/when-must-a-lender-obtain-an-e-tran-modification-for-changes-to-a-7-a-loan-s-terms"},{"question":"When is an E-Tran modification required for changes to a 7(a) loan's terms after initial authorization?","url":"https://dealroom.so/for-lenders/questions/when-is-an-e-tran-modification-required-for-changes-to-a-7-a-loan-s-terms-after-initial-au"},{"question":"When is an E-Tran modification required if the final SBA 7(a) loan amount changes slightly after initial authorization?","url":"https://dealroom.so/for-lenders/questions/when-is-an-e-tran-modification-required-if-the-final-sba-7-a-loan-amount-changes-slightly-"},{"question":"When can a lender approve a short-term deferment or modification of a 7(a) loan's payment terms without prior SBA consent?","url":"https://dealroom.so/for-lenders/questions/when-can-a-lender-approve-a-short-term-deferment-or-modification-of-a-7-a-loan-s-payment-t"}]},"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 — Loan Modification","url":"https://dealroom.so/glossary/loan-modification","source_type":"DealRoom Data"}}