{"ok":true,"canonical_url":"https://dealroom.so/glossary/sba-peg-rate","api_url":"https://dealroom.so/api/public/glossary/sba-peg-rate","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":"sba-peg-rate","term":"SBA Peg Rate","group":"The loan itself","definition":"The SBA Peg Rate is an alternative base rate lenders can use for variable interest rates on SBA 7(a) loans. It's set by the SBA and changes quarterly.","what_it_means":"While most lenders use WSJ Prime or Term SOFR, some may offer the SBA Peg Rate as the index for your variable interest loan. Understand how often it adjusts and compare its historical volatility to other base rates to gauge potential payment fluctuations. It's less common but an option.","url":"https://dealroom.so/glossary/sba-peg-rate","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":"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":"variable-rate","term":"Variable rate","url":"https://dealroom.so/glossary/variable-rate"},{"slug":"wsj-prime","term":"WSJ Prime","url":"https://dealroom.so/glossary/wsj-prime"},{"slug":"fixed-spread","term":"Fixed Spread","url":"https://dealroom.so/glossary/fixed-spread"},{"slug":"spread","term":"Spread","url":"https://dealroom.so/glossary/spread"}],"related_questions":[{"question":"What is the difference between Prime Rate and the SBA optional peg rate for 7(a) loans?","url":"https://dealroom.so/sba-loans/basics/what-is-the-difference-between-prime-rate-and-the-sba-optional-peg-rate-for-7-a-loans"},{"question":"What alternative base rates are available for variable-rate 7(a) loans besides the Wall Street Journal Prime rate?","url":"https://dealroom.so/for-lenders/questions/what-alternative-base-rates-are-available-for-variable-rate-7-a-loans-besides-the-wall-str"},{"question":"What is the 'Prime Rate' when talking about SBA 7(a) loan rates?","url":"https://dealroom.so/sba-loans/basics/what-is-the-prime-rate-when-talking-about-sba-7-a-loan-rates"},{"question":"What specific alternative base rates are permissible for variable rate 7(a) loans?","url":"https://dealroom.so/for-lenders/questions/what-specific-alternative-base-rates-are-permissible-for-variable-rate-7-a-loans"},{"question":"What is the Wall Street Journal Prime Rate's role in SBA 7(a) loan interest rates?","url":"https://dealroom.so/sba-loans/basics/what-is-the-wall-street-journal-prime-rate-s-role-in-sba-7-a-loan-interest-rates"},{"question":"Are SBA 7(a) loan interest rates typically fixed or variable, and what base rate index is commonly used?","url":"https://dealroom.so/sba-7a/questions/are-sba-7-a-loan-interest-rates-typically-fixed-or-variable-and-what-base-rate-index-is-co"}]},"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 — SBA Peg Rate","url":"https://dealroom.so/glossary/sba-peg-rate","source_type":"DealRoom Data"}}