{"ok":true,"canonical_url":"https://dealroom.so/for-lenders/questions/what-documentation-must-a-lender-provide-to-the-fta-when-selling-the-guaranteed-portion-of","api_url":"https://dealroom.so/api/public/questions/what-documentation-must-a-lender-provide-to-the-fta-when-selling-the-guaranteed-portion-of","question":"What documentation must a lender provide to the FTA when selling the guaranteed portion of a 7(a) loan on the secondary market?","topic":"Secondary Market","audience":"lender","bot_mode":"lender","short_answer":"The lender must provide specific documents including a copy of the SBA Loan Guaranty, the Note, the Loan Authorization, an executed Assignment of Guaranty, and a completed Form 1086, among others, to the Fiscal Transfer Agent (FTA).","rule":"To sell the guaranteed portion of a 7(a) loan, lenders must submit a complete package of documents to the FTA. These documents verify the loan's terms, the SBA's guaranty, and the proper assignment of that guaranty to the purchaser, facilitating the secondary market transaction.","example":"A lender decides to sell the guaranteed portion of a $1.2M 7(a) loan. The lender compiles the original SBA Form 750 (Loan Guaranty), the promissory note, the SBA Loan Authorization, a signed SBA Form 1086 (Assignment of Guaranty), and other supporting documents, then submits this package to the FTA for processing the sale.","what_lenders_check":"Lenders must ensure all required documentation is accurate and complete to facilitate a smooth sale on the secondary market. Errors or omissions can delay the sale, incur additional costs, or even prevent the sale if not rectified promptly.","required_facts":["SBA Loan Guaranty","Promissory Note","Loan Authorization","Assignment of Guaranty (Form 1086)"],"source_families":["SOP 50 56 - Lender Participation Requirements","13 CFR Part 120 - Business Loans"],"official_sources":[{"title":"SOP 50 56 - Lender Participation Requirements","url":"https://www.sba.gov/sites/default/files/2023-06/WF%20Attachment%20238243%20Final%20Closeout-%20SOP_50_56_6_07_2023_Final_.docx"},{"title":"13 CFR Part 120 - Business Loans","url":"https://www.ecfr.gov/current/title-13/chapter-I/part-120"}],"related_questions":[{"question":"What are the rules for a 7(a) lender to sell the guaranteed portion of a loan on the secondary market?","url":"https://dealroom.so/for-lenders/questions/what-are-the-rules-for-a-7-a-lender-to-sell-the-guaranteed-portion-of-a-loan-on-the-second"},{"question":"What is a lender's ongoing responsibility for servicing a 7(a) loan after selling the guaranteed portion on the secondary market?","url":"https://dealroom.so/for-lenders/questions/what-is-a-lender-s-ongoing-responsibility-for-servicing-a-7-a-loan-after-selling-the-guara"},{"question":"What are the consequences for a lender if a previously sold guaranteed portion of a loan defaults due to lender error?","url":"https://dealroom.so/for-lenders/questions/what-are-the-consequences-for-a-lender-if-a-previously-sold-guaranteed-portion-of-a-loan-d"},{"question":"What are the lender requirements for pooling and selling the guaranteed portion?","url":"https://dealroom.so/for-lenders/questions/what-are-the-lender-requirements-for-pooling-and-selling-the-guaranteed-portion"},{"question":"What are the requirements for pooling and selling the guaranteed portion of a 7(a) loan on the secondary market?","url":"https://dealroom.so/for-lenders/questions/what-are-the-requirements-for-pooling-and-selling-the-guaranteed-portion-of-a-7-a-loan-on-"},{"question":"What are a 7(a) lender's ongoing reporting obligations after selling the guaranteed portion of a loan on the secondary market?","url":"https://dealroom.so/for-lenders/questions/what-are-a-7-a-lender-s-ongoing-reporting-obligations-after-selling-the-guaranteed-portion"}],"related_terms":[{"term":"Guaranteed Portion","url":"https://dealroom.so/glossary/guaranteed-portion"},{"term":"Acceleration of the Note","url":"https://dealroom.so/glossary/acceleration-of-the-note"},{"term":"M&A advisor","url":"https://dealroom.so/glossary/ma-advisor"},{"term":"Alienate the Business","url":"https://dealroom.so/glossary/alienate-the-business"},{"term":"Ability to repay","url":"https://dealroom.so/glossary/ability-to-repay"},{"term":"Repair to the guaranty","url":"https://dealroom.so/glossary/repair-to-the-guaranty"}],"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/what-documentation-must-a-lender-provide-to-the-fta-when-selling-the-guaranteed-portion-of","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."]}