January 11, 2018

NAFCU rep testifies on ways to strengthen SBA's 7(a) loan program Wednesday

NAFCU witness Sonya McDonald, executive vice president and chief lending officer at Randolph-Brooks Federal Credit Union, is slated to deliver the credit union perspective on how to strengthen the Small Business Administration's 7(a) loan program before the House Small Business Committee Wednesday.

McDonald testified on the same subject before a House Small Business subcommittee last year.

The hearing, "Strengthening SBA's 7(a) Loan Program," is slated to begin at 11 a.m. Eastern. The hearing will also include testimony from representatives of the Independent Community Bankers of America, the American Bankers Association and the National Association of Government Guaranteed Lenders.

During the hearing, McDonald will testify on how the changes proposed in the Small Business 7(a) Lending Oversight Reform Act of 2018 (H.R. 4743) could strengthen oversight of the program and help credit unions and American consumers. The bill was introduced this week by Senate Small Business and Entrepreneurship Committee Chairman Jim Risch, R-Idaho, House Small Business Committee Chairman Steve Chabot, R-Ohio, and respective Ranking Members Jeanne Shaheen, D-N.H., and Nydia Velázquez, D-N.Y.

NAFCU has closely worked with the SBA to increase the number of credit unions offering SBA 7(a) loans. At NAFCU's 2017 Congressional Caucus, NAFCU President and CEO Dan Berger signed a new Memorandum of Understanding with SBA Administrator Linda McMahon aimed at improving access to credit union small-dollar loans to small businesses across the nation.