{"ok":true,"canonical_url":"https://dealroom.so/for-lenders/questions/how-does-a-lender-verify-the-accuracy-and-completeness-of-borrower-certifications-on-sba-f","api_url":"https://dealroom.so/api/public/questions/how-does-a-lender-verify-the-accuracy-and-completeness-of-borrower-certifications-on-sba-f","question":"How does a lender verify the accuracy and completeness of borrower certifications on SBA Form 1919 regarding criminal history?","topic":"Required Forms (1919, etc.)","audience":"lender","bot_mode":"lender","short_answer":"Lenders verify criminal history certifications by performing background checks on all principals and cross-referencing against the information provided on SBA Form 1919, documenting any discrepancies or disclosures.","rule":"SBA Form 1919 requires borrowers to certify regarding criminal history. Lenders must take reasonable steps to verify this information through background checks (e.g., criminal records search). Any adverse information must be disclosed to the SBA, and the lender must determine if the applicant is still eligible under current rules.","example":"For a $750,000 7(a) loan, the lender receives Form 1919 where the borrower certifies no felony convictions. The lender conducts a third-party background check which confirms no adverse criminal history. If a past misdemeanor was found, the lender would document the discrepancy, request a written explanation from the borrower, and assess if it impacts eligibility.","what_lenders_check":"Lenders must ensure accurate eligibility determinations based on criminal history. Failure to adequately verify information on Form 1919 or to disclose adverse findings to the SBA can result in a guaranty denial.","required_facts":["SBA Form 1919","Criminal history certification","Background checks","Eligibility determination"],"source_families":["SBA Form 1919 - Borrower Information Form","SOP 50 10 - Lender and Development Company Loan Programs","Criminal Justice Reviews for SBA Business Loan Programs - Final Rule"],"official_sources":[{"title":"SBA Form 1919 - Borrower Information Form","url":"https://www.sba.gov/sites/default/files/2025-03/2025.02.27%20Form%201919%20-%20Updates%20%28FINAL%29_03-12-2025%20%281%29.pdf"},{"title":"SOP 50 10 - Lender and Development Company Loan Programs","url":"https://www.sba.gov/sites/default/files/2025-05/SOP%2050%2010%208%20Technical%20Updates%20effective%206.1.2025.docx"},{"title":"Criminal Justice Reviews for SBA Business Loan Programs - Final Rule","url":"https://www.federalregister.gov/documents/2024/04/30/2024-09009/criminal-justice-reviews-for-the-sba-business-loan-programs-disaster-loan-programs-and-surety-bond"}],"related_questions":[{"question":"Beyond Form 1919, what specific additional forms are always required for a business acquisition loan involving real estate?","url":"https://dealroom.so/for-lenders/questions/beyond-form-1919-what-specific-additional-forms-are-always-required-for-a-business-acquisi"}],"related_terms":[{"term":"Form 1919","url":"https://dealroom.so/glossary/form-1919"},{"term":"Borrower Certifications","url":"https://dealroom.so/glossary/borrower-certifications"},{"term":"SBA Form 1919 Disclosure","url":"https://dealroom.so/glossary/sba-form-1919-disclosure"},{"term":"Claim on the SBA Guarantee","url":"https://dealroom.so/glossary/claim-on-the-sba-guarantee"},{"term":"Certifications","url":"https://dealroom.so/glossary/certifications"},{"term":"SBA Form 148","url":"https://dealroom.so/glossary/sba-form-148"}],"related_tools":[{"name":"SBA 7(a) payment & fee calculator","url":"https://dealroom.so/sba-7a/calculator"},{"name":"Find an active SBA 7(a) lender","url":"https://dealroom.so/lenders"}],"data_freshness":{"last_reviewed":"2026-06-14","sba_rule_sources_checked_through":"2026-06-14"},"citation":{"label":"DealRoom.so SBA 7(a) Q&A","url":"https://dealroom.so/for-lenders/questions/how-does-a-lender-verify-the-accuracy-and-completeness-of-borrower-certifications-on-sba-f","source_type":"DealRoom Q&A"},"caveats":["Grounded in the current SBA rulebook; verify against official sources before relying on it for a live deal.","Not legal, tax, or financial advice and not an approval decision."]}