{"data":{"id":"us/7-cfr-1427.22","jurisdiction":"us","citation":"7 CFR 1427.22","heading":"Commodity certificate exchanges.","body":"(a) For any outstanding marketing assistance loan provided for upland or ELS cotton, a producer may purchase a commodity certificate and exchange that commodity certificate for the marketing assistance loan collateral.\n(b) The exchange rate is the lesser of:\n(1) The loan rate and charges, plus interest applicable to the loan; or\n(2) The adjusted world price for upland cotton or ELS cotton as determined by CCC.\n(c) Producers must request a commodity certificate exchange on or before loan maturity in person at the FSA county office by:\n(1) Completing a written request on the form or providing the information as required by CCC:\n(2) Purchasing a commodity certificate for the exact amount required to exchange the marketing assistance loan collateral; and\n(3) Immediately exchanging the purchased commodity certificate for the outstanding loan collateral.\n(d) Gains realized from a commodity certificate exchange are not subject to AGI or payment limitation provisions specified in part 1400 of this chapter.","path":["Title 7—Agriculture","Subtitle B—Regulations of the Department of Agriculture","CHAPTER XIV—COMMODITY CREDIT CORPORATION, DEPARTMENT OF AGRICULTURE","SUBCHAPTER B—LOANS, PURCHASES, AND OTHER OPERATIONS","PART 1427—COTTON","Subpart A—Nonrecourse Cotton Loan and Loan Deficiency Payments"],"source_url":"https://www.ecfr.gov/api/versioner/v1/full/2026-08-25/title-7.xml","current_through":"2026-08-25","vintage":"","retrieved_at":"2026-08-27T02:24:01Z","sha256":"b8d81da5d8289f0a02c30b75b34442a9777021bf826bb382b1e481dba9a02acf","source_id":"us-cfr","stale":true,"prev":"us/7-cfr-1427.21","next":"us/7-cfr-1427.23"},"notice":"GroundRules: Original legal text. Not legal advice."}