# Can one SBA loan have a fixed rate on part and a variable rate on the rest?

**Short answer:** Yes. SOP 50 10 8.1, Appendix 18 lets a lender fix the rate on either the guaranteed or unguaranteed portion and float the other. Neither rate may exceed the SBA maximum, and SBA treats the whole loan as variable.

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Last checked: 2026-11-08

SOP 50 10 8.1, Appendix 18, Fixed and Variable Rate Combinations (about p. 399) allows this structure. The lender may use a fixed rate on either the guaranteed or unguaranteed portion and a variable rate on the other.

## The limits

- Neither rate may exceed the SBA maximum interest rate.
- If the lender uses a combination, the entire loan is considered a variable-rate loan.
- The SOP says the rate on both portions must be based on the variable rate.

## Why a lender would use it

SBA gives one example. A lender may keep a variable rate on the unguaranteed portion it holds, and sell a fixed-rate guaranteed portion on the Secondary Market.

## What it means for your maximum

Because the loan counts as variable, the variable caps are the reference point: Prime plus 3.0 to 6.5 percentage points, depending on loan size. The maximum fixed rate is reserved for a rate that stays in effect for the entire term (Appendix 18, Para. A.1).

## What to ask your lender

Ask how the two portions combine into your payment and which portion adjusts. Your Note must state the first adjustment date and the frequency. Whether a lender offers this structure varies by lender.

## Sources

- [SOP 50 10 8.1, App. 18, Para. A, Fixed and Variable Rate Combinations (about p. 399)](https://legacy.sba.gov/sites/default/files/2026-10/SOP%2050%2010%208.1%20Technical%20Policy%20Updates%20effective%20%2010.1.2026.docx)
- [SOP 50 10 8.1, App. 18, Para. A.1, General Policy on Interest Rates (p. 395)](https://legacy.sba.gov/sites/default/files/2026-10/SOP%2050%2010%208.1%20Technical%20Policy%20Updates%20effective%20%2010.1.2026.docx)
- [SOP 50 10 8.1, App. 18, Para. A, Interest Rate Requirements for an SBA Note (about p. 398)](https://legacy.sba.gov/sites/default/files/2026-10/SOP%2050%2010%208.1%20Technical%20Policy%20Updates%20effective%20%2010.1.2026.docx)
- [13 CFR § 120.214(d)](https://www.ecfr.gov/current/title-13/section-120.214)