---
kind: "section"
citation: "25 C.F.R. § 103.10"
title: "25"
number: "103.10"
heading: "What lenders are eligible under the Program?"
url: "https://uscodex.org/cfr/25/103.10"
---

# §103.10. What lenders are eligible under the Program?

- (a) Except as specified in [paragraph (b)](#b) of this section, a lender is eligible under the Program, and may be considered for BIA approval, if the lender is:
  - (1) Regularly engaged in the business of making loans;
  - (2) Capable of evaluating and servicing loans in accordance with reasonable and prudent industry standards; and
  - (3) **Otherwise reasonably acceptable to BIA.**
- (b) **The following lenders are not qualified to issue loans under the Program—**
  - (1) An agency or instrumentality of the Federal Government;
  - (2) A lender that borrows money from any Federal Government source, other than the Federal Reserve Bank System, for purposes of relending;
  - (3) A lender that does not include the interest on loans it makes in gross income, for purposes of chapter 1, [title 26](/cfr/26.md) of the United States Code; and
  - (4) **A lender that does not keep any ownership interest in loans it originates.**

## Notes

### Authority

Authority: 25 U.S.C. 1498, 1511.

### Source

Source: 66 FR 3867, Jan. 17, 2001, unless otherwise noted.