[Code of Federal Regulations]
[Title 7, Volume 14]
[Revised as of January 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR1965.2]

[Page 320-321]
 
                          TITLE 7--AGRICULTURE
 
   CHAPTER XVIII--RURAL HOUSING SERVICE, RURAL BUSINESS--COOPERATIVE 
SERVICE, RURAL UTILITIES SERVICE, AND FARM SERVICE AGENCY, DEPARTMENT OF 
                         AGRICULTURE (CONTINUED)
 
PART 1965--REAL PROPERTY--Table of Contents
 
  Subpart A--Servicing of Real Estate Security for Farm Loan Programs 
                    Loans and Certain Note-Only Cases
 
Sec.  1965.2  General policies.

    (a) The terms ``nonprogram (NP)'' and ``ineligible'' may be used 
interchangeably throughout this subpart but are identical in their 
meaning.
    (b) FmHA or its successor agency under Public Law 103-354 will 
service real estate security in a manner that best accomplishes the loan 
objectives and protects the Government's financial interest. To 
accomplish this, FmHA or its successor agency under Public Law 103-354 
will service the real estate security in accordance with the security 
instruments and related agreements, including any authorized 
modifications and the provisions of this subpart.
    (c) The Federal Equal Credit Opportunity Act prohibits creditors 
from discriminating against credit applicants on the basis of race, 
color, religion, national origin, sex, marital status, age (provided 
that the applicant has the capacity to enter into a binding contract); 
because all or part of the applicant's income is derived from any public 
assistance, program; or because the applicant has in good faith 
exercised any right under the Consumer Credit Protection Act. The 
Federal agency that administers compliance with this law is the Federal 
Trade Commission, Equal Credit Opportunity, Washington, DC 20580.
    (d) If the farm is situated in more than one State, county or 
parish, the loan will be serviced by the County Office servicing the 
county in which the borrower's residence is located. If the borrower is 
a corporaton, cooperative, partnership or joint operation or if the

[[Page 321]]

borrower's residence is not on the farm, the loan will be serviced by 
the County Office servicing the county in which the farm or a major 
portion of the farm is located.

[51 FR 13482, Apr. 21, 1986, as amended at 58 FR 52654, Oct. 12, 1993]