Types of loans are eligible for review by the Small Business Loan Review Board

Small businesses with gross revenues of $1 million or less in the preceding fiscal year can appeal to the Small Business Review Board. Eligible loan types include:

  • Lines of credit
  • Term loans
  • Overdraft protection on corporate accounts
  • Corporate credit cards

Requests for the acquisition or refinancing of commercial real estate or investment properties are not eligible for review.

Appeal process

The Commissioner of Banks appoints an employee from the Division of Banks (DOB) to be Small Business Loan Review Board's Administrative Secretary.

  1. The Administrative Secretary contacts the lender requesting copies of your entire loan package be sent to the DOB.
  2. Your loan package is presented for review at the Small Business Loan Review Board's next scheduled meeting.
  3. You are notified by mail of appeal decision.

The Small Business Loan Review Boards meet on an as needed basis. The meetings depend on the number of appeals awaiting review and the availability of board members.

Members of the Small Business Loan Review Board

Five members appointed by the Commissioner of Banks serve on each Small Business Loan Review Board.

  • 3 members are small business representatives
  • 2 members are representatives of bank or bank holding companies

At least 3 of the members of each Small Business Loan Review Board must either live or work within the respective region.

Regional Small Business Loan Review Boards

Massachusetts law states that there must be four regional Small Business Loan Review Boards.

  1. Boston Metropolitan Area Small Business Loan Review Board
    • includes Suffolk, Essex, Middlesex, and Norfolk counties
  2. Southeastern Massachusetts Small Business Loan Review Board
    • includes Bristol, Plymouth, Barnstable, Dukes, and Nantucket counties
  3. Central Massachusetts Small Business Loan Review Board
    • includes Worcester County
  4. Western Massachusetts Small Business Loan Review Board
    • includes Franklin, Hampden, Hampshire, and Berkshire counties

Meetings

Members of the Small Business Loan Review Board review each loan denial to determine if the basis of the denial was unreasonable. Based on the information presented, members vote to agree with the denial to recommend the lender reconsider the loan denial.

Neither the applicant nor the lender is present during the Small Business Loan Review Board meeting.

You can submit written material related to your application. These written materials will be included in the presented loan package. The decision is based on the information contained in the loan package and any other relevant information presented by you or the lender.

The Small Business Loan Review Boards meet on an as needed basis. The meetings depend on the number of appeals awaiting review and the availability of board members.

Successful appeals - lender to reconsider loan application

If the decision if for a lender to reconsider your loan application, that does not mean that the lender is obligated to approve your loan applications.

The Small Business Loan Review Board can only recommend that a lender reconsider a small business loan denial. This does not guarantee an approval for your loan. However, lenders are encouraged to abide by the appeal decision.

Unsuccessful appeals - decision to agree with lender's denial of application

If the Small Business Review Board votes to agree with the lender's decision to deny your application this ends the matter at the Small Business Loan Review Board level and the appeal is considered closed. However, you are provided with information on alternative sources of financing, including information regarding relevant small business financing programs offered by the Commonwealth.

Contact

Address

Administrative Secretary - Small Business Loan Review Boards
Division of Banks
1000 Washington Street, 10th Floor
Boston, MA 02118-6400
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