Federal regulations · Through 2026-08-25 · Newer source version available

7 CFR 1942.111: Applicant eligibility.

(a) General. Loans under this subpart are subject to the provisions of § 1942.17(b) of subpart A of this part 1942.
(b) Credit elsewhere determinations. The approval official must determine whether financing from commercial sources at reasonable rates and terms is available. If credit elsewhere is indicated, the approval official should inform the applicant and recommend the applicant apply to commercial sources for financing. To provide a basis for referral of only those applicants who may be able to finance projects through commercial sources, approval officials should maintain liaison with representatives of lenders in the area. The State Director should keep approval officials informed regarding lenders outside the area who might make loans in the area. Approval officials should maintain criteria for determining applications that should be referred to commercial lenders and maintain a list of lender representatives interested in receiving such referrals.
(c) Public use. Loans under this subpart are subject to the provisions of § 1942.17(e) of subpart A of this part 1942.

Where this section sits in the code

Title 7—Agriculture
Subtitle B—Regulations of the Department of Agriculture
CHAPTER XVIII—RURAL HOUSING SERVICE, RURAL BUSINESS-COOPERATIVE SERVICE, AND RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE
SUBCHAPTER H—PROGRAM REGULATIONS
PART 1942—ASSOCIATIONS
Subpart C—Fire and Rescue and Other Small Community Facilities Projects

(a) General. Loans under this subpart are subject to the provisions of § 1942.17(b) of subpart A of this part 1942.

(b) Credit elsewhere determinations. The approval official must determine whether financing from commercial sources at reasonable rates and terms is available. If credit elsewhere is indicated, the approval official should inform the applicant and recommend the applicant apply to commercial sources for financing. To provide a basis for referral of only those applicants who may be able to finance projects through commercial sources, approval officials should maintain liaison with representatives of lenders in the area. The State Director should keep approval officials informed regarding lenders outside the area who might make loans in the area. Approval officials should maintain criteria for determining applications that should be referred to commercial lenders and maintain a list of lender representatives interested in receiving such referrals.

Collected 2026-08-27T02:24:01Z. Source file · JSON

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