### Question
Can you define what Preferred Lenders Program means?


### Answer
**Preferred Lenders Program** is defined as the following in *15 U.S.C. § 636*:

> a program under which a written agreement between the lender and the Administration delegates to the lender (I) complete authority to make and close loans with a guarantee from the Administration without obtaining the prior specific approval of the Administration, and (II) authority to service and liquidate such loans

#### Citation:
  - *15 U.S.C. § 636*
  - Heading: **CHAPTER 14A-AID TO SMALL BUSINESS**

