For financial institutions, SSBCI credit enhancements are risk management tools available only when lending to small businesses. CPCFA currently offers two SSBCI credit enhancement programs, and IBank offers one.
- CPCFA’s CalCAP for Small Business offers post-disbursement enrollment for microloans, and loans and lines of credit up to $5 million. The maximum enrolled amount is $2.5 million. The maximum claim amount is 100% of the loss, subject to the balance of the loan loss reserve account.
- CPCFA’s CalCAP Collateral Support offers a cash pledge to address inadequate or non-existent collateral for loans and lines of credit from $25,000 to $20 million. The maximum enrolled amount is $20 million with maximum cash pledge of $10 million. The maximum claim amount is 100% of the loss, subject to the balance of the collateral support account.
- IBank’s Small Business Loan Guarantee addresses a wide range of underwriting concerns for loans and lines of credit up to $20 million. The maximum guarantee amount is $5 million. The maximum claim amount is 80% of the loss, subject to the selected percentage.