I was denied for EIDL SBA loan and was notified by an email. The reason stated was "Not eligible due to character reasons". I have 90 days to request for reconsideration, what should I submit and what is the effective way to dispute it?

SBA_EIDL / 1-27-2021 / File:# 253

Character reasons. Applicants may be declined if they have been convicted of a felony in the past five years; or ever been engaged in the production or distribution of any product or service that has been determined to be obscene by a court of competent jurisdiction; those who are currently suspended or debarred from contracting with the federal government or receiving federal grants or loans; and/or those who are presently subject to an indictment, criminal information, arraignment, or other means by which formal criminal charges are brought in any jurisdiction.

You can follow the reconsideration process we offer and provide evidence by official documents you have no adverse conditions that would make you ineligible for a loan. 

You may need to do a criminal background check on yourself. You can call your local Sheriffs office and ask them if you have any open items, outstanding warrants or notices that you might have forgotten about. You can also do a work history report to find any issues your current employer or past employers are experiencing. You can also request from local courts a declaration of moral character. This is typically used when you move for work in a foreign country.

  • Check with your local courts and law enforcement for legal issues. 
  • Employment check to make sure your current or past employers are not on a blacklist.
  • Check if you or your company or the company you work for has been denied bidding rights to government contracts. 

Supply all documents from as many agencies as you can for your reconsideration or appeal.

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