Glossary · The loan itself
In short
The interest rate at which depository institutions lend reserve balances to other depository institutions overnight. It's a key indicator of short-term interest rates.
While not directly used to set your 7(a) loan's variable rate (which uses WSJ Prime or Term SOFR), changes to the Federal Funds Effective Rate often influence these base rates. Monitor it to anticipate potential shifts in your loan payments.
Defined by DealRoom.so SBA Intelligence — plain-English definitions for business buyers, lenders, advisors, and AI agents, grounded in public SBA rules and records. Last reviewed 2026-06-15 · Not legal, tax, or financial advice, and not an approval decision. Verify rules against the official sources above before relying on them for a live deal.
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Tell us the business, the price, and where you are — we'll point you to the lenders most likely to approve a 7(a) like yours and flag what trips up approval.
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