---
kind: "section"
citation: "25 C.F.R. § 103.4"
title: "25"
number: "103.4"
heading: "What kinds of loans will BIA guarantee or insure?"
url: "https://uscodex.org/cfr/25/103.4"
---

# §103.4. What kinds of loans will BIA guarantee or insure?


In general, BIA may guarantee or insure any loan made by an eligible lender to an eligible borrower to conduct a lawful business organized for profit. There are several important exceptions:

- (a) The business must contribute to the economy of an Indian reservation or tribal service area recognized by BIA;
- (b) The borrower may not use the loan for relending purposes;
- (c) If any portion of the loan is used to refinance an existing loan, the borrower must be current on the existing loan; and
- (d) BIA may not guarantee or insure a loan if it believes the lender would be willing to extend the requested financing without a BIA guaranty or insurance coverage.

## Notes

### Authority

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

### Source

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