Los Angeles - Permanent residents in the United States (those with green cards) will no longer qualify for loans granted by the Small Business Administration (SBA) starting March 1, according to an announcement by the agency in a memorandum that limits the benefit to 100% American-owned businesses whose owners reside in the country.

The SBA had already tightened The requirements for these loans, known as 7(a), were tightened last December, allowing only businesses with up to 5% ownership by a foreign national, a green card holder, or a US citizen residing outside the United States to qualify. However, in a memorandum issued this Monday, the SBA eliminated the possibility of accessing the popular multipurpose loan, with a maximum amount of $5 million. Changes to the existing rules: Before the changes made by President Donald Trump's administration, small businesses could qualify for the loan if 51% ownership was held by a US citizen living in the United States. The new restriction, which will take effect on March 1, has drawn criticism from Senator Edward J. Markey and Representative Nydia Velazquez, ranking members of the Small Business Committees in both houses, who condemned the change today. "Instead of supporting "For legal immigrants who work hard to start or expand a business, the Trump SBA is choosing hate by prohibiting green card holders from receiving SBA loans," the Democratic legislature said in a statement. Senator Markey noted that last September he received information directly from SBA lenders about problems with the citizenship verification requirements. Last December, Democratic members of the Senate Small Business Committee sent a letter to the SBA reiterating their concerns about the citizenship requirements and highlighting a decline in the volume of loans issued. but they have not received a response.