{"ok":true,"canonical_url":"https://dealroom.so/glossary/material-modification","api_url":"https://dealroom.so/api/public/glossary/material-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":"material-modification","term":"Material Modification","group":"Doing the deal","definition":"A significant change to the terms or conditions of an SBA loan after it's been authorized or disbursed. These changes usually require SBA approval.","what_it_means":"After your loan is authorized or closed, any substantial changes, like deferring payments or altering collateral, are considered a material modification. Your lender must seek SBA approval for these. Understand that such changes are not automatic and can impact your loan's standing.","url":"https://dealroom.so/glossary/material-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"},{"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"}],"related":[{"slug":"sba-loan-authorization","term":"SBA Loan Authorization","url":"https://dealroom.so/glossary/sba-loan-authorization"},{"slug":"loan-agreement","term":"Loan agreement","url":"https://dealroom.so/glossary/loan-agreement"},{"slug":"deferment-period","term":"Deferment Period","url":"https://dealroom.so/glossary/deferment-period"},{"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":"What are the precise conditions under which a lender must submit an E-Tran modification request versus a new application?","url":"https://dealroom.so/for-lenders/questions/what-are-the-precise-conditions-under-which-a-lender-must-submit-an-e-tran-modification-re"},{"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-"}]},"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 — Material Modification","url":"https://dealroom.so/glossary/material-modification","source_type":"DealRoom Data"}}