BOSTON – Members of Merrimack Valley Federal Credit Union now have an additional business lending resource to turn to.

The $429 million credit union recently became a Small Business Administration lender and will participate in the agency's 7(a) loan program.

"We are pleased to be an approved SBA lender as this will provide our members in the Merrimack Valley as well as the underserved community additional borrowing alternatives," said Peter Matthews, president/CEO of MVFCU. The 7(a) program can guarantee loans up to $2 million. Loans are available for most business purposes, such as to purchase commercial real estate, equipment, and inventory as well as for short-term working capital. The interest rate is not to exceed 2.75% over the prime lending rate. Maturities are up to 10 years for working capital and up to 25 years for fixed assets. Alan Jenne, MVFCU vice president of lending, said, "With this status and the recent hiring of Robert Murphy associate vice president of business lending, [who] is an experienced SBA lender, this allows us to expand our business lending products and reach out to more small business owners in our charter area." MVFCU serves more than 45,000 members.