13 CFR § 120.435 - Which loan pledges do not require notice to or consent by SBA?
---identifier: "/us/cfr/t13/s120.435"source: "ecfr"legal_status: "authoritative_unofficial"title: "13 CFR § 120.435 - Which loan pledges do not require notice to or consent by SBA?"title_number: 13title_name: "Business Credit and Assistance"section_number: "120.435"section_name: "Which loan pledges do not require notice to or consent by SBA?"chapter_name: "SMALL BUSINESS ADMINISTRATION"part_number: "120"part_name: "BUSINESS LOANS"positive_law: falsecurrency: "2026-03-24"last_updated: "2026-03-24"format_version: "1.1.0"generator: "[email protected]"authority: "15 U.S.C. 634(b) (6), (b) (7), (b) (14), (h), and note, 636(a), (h) and (m), 650, 687(f), 696(3) and (7), and 697(a) and (e); sec. 521, Pub. L. 114-113, 129 Stat. 2242; sec. 328(a), Pub. L. 116-260, 134 Stat. 1182."regulatory_source: "61 FR 3235, Jan. 31, 1996, unless otherwise noted."cfr_part: "120"---
Identifier
/us/cfr/t13/s120.435
Currency
2026-03-24
Positive Law
No
Updated
2026-03-24
Chapter
Small Business Administration
Authority
15 U.S.C. 634(b) (6), (b) (7), (b) (14), (h), and note, 636(a), (h) and (m), 650, 687(f), 696(3) and (7), and 697(a) and (e); sec. 521, Pub. L. 114-113, 129 Stat. 2242; sec. 328(a), Pub. L. 116-260, 1... 15 U.S.C. 634(b) (6), (b) (7), (b) (14), (h), and note, 636(a), (h) and (m), 650, 687(f), 696(3) and (7), and 697(a) and (e); sec. 521, Pub. L. 114-113, 129 Stat. 2242; sec. 328(a), Pub. L. 116-260, 134 Stat. 1182.
# 120.435 Which loan pledges do not require notice to or consent by SBA?(a) Notwithstanding the provisions of § 120.434(e), 7(a) loans may be pledged for the following purposes without notice to or consent by SBA:(1) Treasury tax and loan accounts;(2) The deposit of public funds;(3) Uninvested trust funds;(4) Borrowings from a Federal Reserve Bank; or(5) Advances by a Federal Home Loan Bank.(b) For purposes of the Paycheck Protection Program (PPP), the other provisions of § 120.434 shall also not apply to PPP loans pledged under paragraph (a)(4) or (5) of this section.[85 FR 21752, Apr. 20, 2020]