{"ok":true,"canonical_url":"https://dealroom.so/glossary/past-defaults","api_url":"https://dealroom.so/api/public/glossary/past-defaults","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":"past-defaults","term":"Past defaults","group":"People and paperwork","definition":"This refers to any prior instances where you or a key principal failed to repay a loan or meet other debt obligations. Lenders review this as part of your creditworthiness.","what_it_means":"If you have a history of defaulting on federal debt, particularly previous SBA loans, it will severely impact your eligibility for a new 7(a) loan. Lenders will pull your credit report and review all key principals' financial history. Be transparent about any past issues.","url":"https://dealroom.so/glossary/past-defaults","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":"credit-report","term":"Credit report","url":"https://dealroom.so/glossary/credit-report"},{"slug":"derogatory-mark","term":"Derogatory mark","url":"https://dealroom.so/glossary/derogatory-mark"},{"slug":"personal-financial-statement","term":"Personal financial statement","url":"https://dealroom.so/glossary/personal-financial-statement"},{"slug":"fico-score","term":"FICO score","url":"https://dealroom.so/glossary/fico-score"}],"related_questions":[{"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"},{"question":"If my business defaults, does the SBA pay the bank directly?","url":"https://dealroom.so/sba-loans/basics/if-my-business-defaults-does-the-sba-pay-the-bank-directly"},{"question":"What happens if the business defaults on an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/what-happens-if-the-business-defaults-on-an-sba-7-a-loan"},{"question":"What happens if my business defaults on an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/what-happens-if-my-business-defaults-on-an-sba-7-a-loan"},{"question":"If my business defaults, does the SBA guarantee protect me as the borrower?","url":"https://dealroom.so/sba-loans/basics/if-my-business-defaults-does-the-sba-guarantee-protect-me-as-the-borrower"},{"question":"Does the SBA guarantee mean I am not personally responsible if my business defaults?","url":"https://dealroom.so/sba-loans/basics/does-the-sba-guarantee-mean-i-am-not-personally-responsible-if-my-business-defaults"}]},"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 — Past defaults","url":"https://dealroom.so/glossary/past-defaults","source_type":"DealRoom Data"}}