What Are SBA Loan Rates in November 2026?
The Federal Reserve H.15 release dated 5 October 2026 reports a bank prime loan rate of 7.00%. SBA 7(a) variable rates are capped at Prime plus a spread that narrows as the loan gets larger: 13.50% on loans of $50,000 or less, 13.00% from $50,001 to $250,000, 11.50% from $250,001 to $350,000, and 10.00% above $350,000. SBA 7(a) fixed rates run from 15.00% on loans of $25,000 or less down to 12.00% on loans of $250,001 or more. For the November 2026 funding cycle, published standard SBA 504 effective rates are 6.600% for 10 years, 6.975% for 20 years and 6.974% for 25 years. These apply to the CDC/SBA portion, not the separate bank loan. Because variable rates are tied to Prime, every change in the Prime Rate moves these ceilings with it.
SBA loans take 30 to 60 days. Need money sooner? RAN Funding puts SBA and faster options side by side: working capital in as little as 24–48 hours, or a business line of credit. One short form, soft credit check.
Update, October 28, 2026: the Fed held its range at 3.75% to 4.00% in a 10–2 vote, so Prime stays at 7.00% and the rates on this page are unchanged. Markets price about an 85% chance of a quarter-point hike on December 9. What the hold means for business loans.
Current Rates
SBA loans are made by lenders and partially guaranteed by the Small Business Administration. The SBA does not set the rate, but it does cap it — which is why these are ceilings rather than quotes.
7(a) variable rates
| Loan size | Maximum spread over Prime | Maximum rate today |
|---|---|---|
| $50,000 or less | Prime + 6.5% | 13.50% |
| $50,001 to $250,000 | Prime + 6.0% | 13.00% |
| $250,001 to $350,000 | Prime + 4.5% | 11.50% |
| $350,001 or more | Prime + 3.0% | 10.00% |
7(a) fixed rates
Confirm the applicable monthly fixed-rate limits in the SBA Fiscal Transfer Agent rate publications.
| Loan size | Maximum fixed rate |
|---|---|
| $25,000 or less | 15.00% |
| $25,001 to $50,000 | 14.00% |
| $50,001 to $250,000 | 13.00% |
| $250,001 or more | 12.00% |
504 rates
SBA 504 financing supports eligible real estate and major fixed assets. CDC Small Business Finance lists standard effective rates of 6.600% for 10 years, 6.975% for 20 years and 6.974% for 25 years, effective 8 November 2026. Published rates include CDC, SBA and central servicing fees and apply to the CDC/SBA debenture portion. The accompanying bank loan is priced separately. Refinancing and manufacturing categories have different published rates. Check the linked rate table for the applicable funding cycle.
Checked 10 November 2026. Variable ceilings above are calculated using 7.00% Prime plus the SBA maximum spread. An existing variable loan resets according to its note, not necessarily on the day Prime changes. Fixed-rate maximums are published monthly by the SBA Fiscal Transfer Agent.
How SBA Rates Are Set
Three things determine your rate inside the ceiling.
- Loan size. The permitted spread narrows as the loan grows, so larger loans are cheaper per dollar. This is mechanical, not negotiable.
- The lender. Within the cap, the lender prices for its own risk and cost of funds. Two lenders can quote materially different rates on the same file.
- Your file. Credit score, time in business, debt service coverage and collateral all move you within the band.
A variable rate is quoted as Prime plus a spread, so it adjusts over the life of the loan. A fixed rate is higher at the outset and does not. Which is better depends on your view of where Prime goes, and on whether your business can absorb a payment that rises.
Which SBA Program Fits
| 7(a) | 504 | |
|---|---|---|
| Typical use | Working capital, equipment, acquisition, refinancing | Owner-occupied real estate and major fixed assets |
| Rate basis | Prime plus a capped spread, or fixed | Long-term bond yields |
| Rate reference | Maximums of 10.00% to 15.00% depending on size and structure; negotiated rates may be lower | 6.600%–6.975% for the standard CDC/SBA portion in November 2026; bank portion priced separately |
| Term | Up to 10 years for most uses, up to 25 for real estate | 10, 20 or 25 years |
If you are financing a building, 504 is almost always the cheaper route. For everything else, 7(a) is the workhorse.
What SBA Pricing Costs You in Speed
SBA capital is the cheapest we arrange, and it is the slowest. Expect 30 to 60 days to fund, two years of trading history, annual revenue of $250,000 or more shown on two years of business tax returns, a credit score from 680, and no bankruptcies or outstanding collections. You will produce two years of business and personal tax returns, bank statements, a profit and loss statement and a voided business check.
That is the right trade for a planned investment. It is the wrong trade for a cash flow gap that closes in three weeks, which is what the faster products exist for — at a cost that reflects the speed. If you are not sure which side of that line you are on, the useful question is whether the money is funding an opportunity you chose or a shortfall that chose you.
How to Compare SBA Loan Offers
Ask each lender for the same details: the base rate and spread, whether pricing is fixed or variable, the reset schedule, total fees, monthly payment, term and prepayment conditions. A maximum permitted rate is a ceiling, not the rate every borrower pays.
For 504 financing, request both the bank-loan terms and the CDC/SBA terms. Comparing only the debenture rate leaves out part of the financing cost. For a Prime-based 7(a) loan, ask how the payment changes if Prime rises or falls.
The credit, revenue and operating-history figures below describe RAN Funding’s stated program criteria; individual lenders and SBA products can have different requirements. Funding estimates depend on a complete file, underwriting and closing.
After the October 28 Fed Hold: What It Means for SBA Rates
SBA 7(a) variable rates are capped at Prime plus 3.00 to 6.50, so every Fed move passes straight through at the next quarterly reset. With Prime at 7.00% since September 17, and the Fed holding rates at its October 28 meeting, here is where the caps sit now and where they would go if the Fed hikes at its next meeting on December 9.
| Loan size | Cap now (Prime 7.00%) | After Oct 28 hold | If the Fed hikes 0.25 on Dec 9 |
|---|---|---|---|
| $350,001+ | 10.00% variable | 10.00% | 10.25% |
| $250,001 – $350,000 | 11.50% | 11.50% | 11.75% |
| $50,001 – $250,000 | 13.00% | 13.00% | 13.25% |
| $50,000 or less | 13.50% | 13.50% | 13.75% |
The Fed held as expected on October 28. With September CPI at 3.7%, a December hike is still possible, so if your SBA quote is variable, plan your payment on the higher column. On a $250,000 10-year 7(a) loan at Prime + 3, each quarter point is about $35 a month. Fixed-rate 7(a) options and the 504 program (10-year debentures fixed at 6.3% – 7.0% in October) are the hedge; scenarios and what to do before December 9 are in prime rate is 7%: what it means for business loan rates.
Related guide: Business loan outlook for Q1 2027
Common Questions
What is the maximum SBA 7(a) interest rate right now?
With the Prime Rate at 7.00% in November 2026, SBA 7(a) variable rate ceilings are 13.50% on loans of $50,000 or less, 13.00% from $50,001 to $250,000, 11.50% from $250,001 to $350,000, and 10.00% above $350,000. Fixed rate ceilings run from 15.00% on the smallest loans down to 12.00% on loans of $250,001 or more.
Are SBA rates fixed or variable?
Both are available. Variable rates are quoted as Prime plus a capped spread and adjust over the life of the loan, so they start lower and can rise. Fixed rates start higher and do not move. The choice depends on your view of Prime and on whether your business can absorb a payment that increases.
How long does an SBA loan take to fund?
Expect 30 to 60 days. SBA underwriting is thorough and the documentation requirement is substantial: two years of business and personal tax returns, bank statements, a profit and loss statement and a voided business check. If you need capital inside a week, an SBA loan is not the product.
Why is my SBA quote below the maximum rate?
The SBA caps the rate rather than setting it. Within the cap, the lender prices for its own cost of funds and for the risk in your file, so credit score, trading history, debt service coverage and collateral all move you within the band. Larger loans also carry a narrower permitted spread, which makes them cheaper per dollar borrowed.
Did SBA loan rates change after the October 28, 2026 Fed meeting?
No. The Federal Reserve held rates at its October 27–28 meeting, so Prime stays at 7.00% and SBA 7(a) variable caps stay at 10.00% to 13.50%. The next meeting is December 9. A hike then would move Prime to 7.25% the next day and raise every SBA 7(a) variable cap by 0.25 points at the next reset; a hold keeps the caps at 10.00% to 13.50%.
Sources
- 7(a) loan program terms, conditions, and eligibility — U.S. Small Business Administration
- H.15 Selected Interest Rates: 5 November 2026 — Federal Reserve Board
- SBA 504 Loan Rates — CDC Small Business Finance
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