{"ok":true,"canonical_url":"https://dealroom.so/for-lenders/questions/how-does-the-lender-verify-the-eligibility-of-an-applicant-who-is-a-lawful-permanent-resid","api_url":"https://dealroom.so/api/public/questions/how-does-the-lender-verify-the-eligibility-of-an-applicant-who-is-a-lawful-permanent-resid","question":"How does the lender verify the eligibility of an applicant who is a lawful permanent resident, including specific documentation requirements?","topic":"Citizenship/residency","audience":"lender","bot_mode":"lender","short_answer":"For lawful permanent residents, the lender must verify their immigration status by obtaining a copy of their Permanent Resident Card (Form I-551, commonly known as a 'green card') and ensuring it is current and valid. This confirms eligibility based on legal residency.","rule":"SBA policy requires that all owners of 20% or more of an applicant business, and any individuals providing a personal guaranty, be U.S. citizens or lawful permanent residents. For lawful permanent residents, lenders must verify their status by obtaining a copy of the Permanent Resident Card (Form I-551). The lender must review the card for authenticity, ensuring it is valid and unexpired. This documentation must be maintained in the loan file to demonstrate eligibility.","example":"A lender receives a 7(a) loan application from a business whose sole owner is a lawful permanent resident. The lender requests and obtains a clear copy of the owner's unexpired Permanent Resident Card (green card) and cross-references the details with the information provided on SBA Form 1919 to confirm eligibility.","what_lenders_check":"Lenders must diligently verify the legal residency status of all principals. Approving a loan to an ineligible applicant due to improper documentation or an expired Permanent Resident Card will result in a guaranty denial.","required_facts":["Lawful permanent resident","Eligibility verification","Permanent Resident Card","Form I-551","Valid status"],"source_families":["SOP 50 10 - Lender and Development Company Loan Programs","Policy Notice 5000-876441 - Citizenship and Residency Requirements","Procedural Notice 5000-876626 - Revised Applicant Ownership, Citizenship and Residency","SBA Form 1919 - Borrower Information Form"],"official_sources":[{"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":"Policy Notice 5000-876441 - Citizenship and Residency Requirements","url":"https://www.sba.gov/sites/default/files/2026-02/Policy%20Notice%205000-876441%20-%20Update%20to%20Citizenship%20and%20Residency%20Requirements%20and%20Recission%20of%20PN%2050000-872050.pdf"},{"title":"Procedural Notice 5000-876626 - Revised Applicant Ownership, Citizenship and Residency","url":"https://www.sba.gov/sites/default/files/2026-02/Procedural%20Notice%205000-876626%20-%20Revised%20Applicant%20Ownership%20Citizenship%20and%20Residency%20%20OFA%202.11.pdf"},{"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"}],"related_questions":[{"question":"If a key management employee who is not an owner is a foreign national, does this affect SBA 7(a) loan eligibility?","url":"https://dealroom.so/for-lenders/questions/if-a-key-management-employee-who-is-not-an-owner-is-a-foreign-national-does-this-affect-sb"},{"question":"For a business owned by a trust, what citizenship and residency requirements apply to the trustee for 7(a) eligibility?","url":"https://dealroom.so/for-lenders/questions/for-a-business-owned-by-a-trust-what-citizenship-and-residency-requirements-apply-to-the-t"},{"question":"How does a lender verify the lawful permanent resident status of a non-citizen applicant?","url":"https://dealroom.so/for-lenders/questions/how-does-a-lender-verify-the-lawful-permanent-resident-status-of-a-non-citizen-applicant"},{"question":"What are the citizenship or residency requirements for a 7(a) loan applicant?","url":"https://dealroom.so/for-lenders/questions/what-are-the-citizenship-or-residency-requirements-for-a-7-a-loan-applicant"},{"question":"Can a non-U.S. citizen individual with an E-2 investor visa be an eligible applicant for a 7(a) loan?","url":"https://dealroom.so/for-lenders/questions/can-a-non-u-s-citizen-individual-with-an-e-2-investor-visa-be-an-eligible-applicant-for-a-"},{"question":"Can an individual with Deferred Action for Childhood Arrivals (DACA) status be an eligible personal guarantor for a 7(a) loan?","url":"https://dealroom.so/for-lenders/questions/can-an-individual-with-deferred-action-for-childhood-arrivals-daca-status-be-an-eligible-p"}],"related_terms":[{"term":"Lawful Permanent Resident","url":"https://dealroom.so/glossary/lawful-permanent-resident"},{"term":"Permanent Resident","url":"https://dealroom.so/glossary/permanent-resident"},{"term":"Lawful permanent residency","url":"https://dealroom.so/glossary/lawful-permanent-residency"},{"term":"Lawful Permanent Residence","url":"https://dealroom.so/glossary/lawful-permanent-residence"},{"term":"Legal Permanent Resident","url":"https://dealroom.so/glossary/legal-permanent-resident"},{"term":"Permanent Resident Card","url":"https://dealroom.so/glossary/permanent-resident-card"}],"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":"2026-06-13","sba_rule_sources_checked_through":"2026-06-13"},"citation":{"label":"DealRoom.so SBA 7(a) Q&A","url":"https://dealroom.so/for-lenders/questions/how-does-the-lender-verify-the-eligibility-of-an-applicant-who-is-a-lawful-permanent-resid","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."]}