Current as of October 03, 2022 | Updated by FindLaw Staff
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(a) Rescission of a loan may be requested by a borrower at any time. To rescind a loan, the borrower must demonstrate to RUS that:
(1) The purposes of the loan being rescinded have been completed;
(2) Sufficient funds are available from sources other than RUS or FFB to complete the purposes of the loan being rescinded; or
(3) The purposes of the loan are no longer required to extend or improve telephone service in rural areas.
(b) Borrowers submitting loan applications containing purposes previously covered by a loan that has been rescinded shall include in the application an explanation, satisfactory to RUS, of the change of conditions since the rescission that re-establishes the need for those purposes.
(c) RUS shall not initiate the rescission of a loan unless all of the purposes for which telephone loans have been made to the borrower under the Act have been accomplished with funds provided under the Act.
Cite this article: FindLaw.com - Code of Federal Regulations Title 7. Agriculture § 7.1735.47 Rescissions of loans - last updated October 03, 2022 | https://codes.findlaw.com/cfr/title-7-agriculture/cfr-sect-7-1735-47.html
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