{"data":{"id":"us/7-cfr-763.18","jurisdiction":"us","citation":"7 CFR 763.18","heading":"General servicing responsibilities.","body":"(a) For the prompt payment guarantee plan, the seller must use a third party escrow agent approved by the Agency. The escrow agent will:\n(1) Provide the Agency a copy of the recorded Land Contract;\n(2) Handle transactions relating to the Land Contract between the buyer and seller;\n(3) Receive Land Contract installment payments from the buyer and send them to the seller;\n(4) Provide evidence to the Agency that property taxes are paid and insurance is kept current on the security property;\n(5) Send a notice of payment due to the buyer at least 30 days prior to the installment due date;\n(6) Notify the Agency and the seller if the buyer defaults;\n(7) Service delinquent accounts as specified in § 763.20(a);\n(8) Make demand on the Agency to pay missed payments;\n(9) Send the seller any missed payment amount paid by the Agency under the guarantee;\n(10) Notify the Agency on March 31 and September 30 of each year of the outstanding balance on the Land Contract and the status of payment; and\n(11) Perform other duties as required by State law and as agreed to by the buyer and the seller;\n(b) For the standard guarantee plan, the seller must use a third party servicing agent approved by the Agency. The servicing agent will:\n(1) Provide the Agency a copy of the recorded Land Contract;\n(2) Handle transactions relating to the Land Contract between the buyer and seller;\n(3) Receive Land Contract installment payments from the buyer and send them to the seller;\n(4) Provide evidence to the Agency that property taxes are paid and insurance is kept current on the security property;\n(5) Perform a physical inspection of the farm each year during the term of the guarantee, and provide an annual inspection report to the Agency;\n(6) Obtain from the buyer a current balance sheet, income statement, cash flow budget, and any additional information needed, perform, and provide the Agency an analysis of the buyer's financial condition on an annual basis;\n(7) Notify the Agency on March 31 and September 30 of each year of the outstanding balance on the Land Contract and the status of payment;\n(8) Send a notice of payment due to the buyer at least 30 days prior to the installment due date;\n(9) Notify the Agency and the seller if the buyer defaults;\n(10) Service delinquent accounts as specified in § 763.20(b); and\n(11) Perform other duties as required by State law and as agreed to by the buyer and the seller.","path":["Title 7—Agriculture","Subtitle B—Regulations of the Department of Agriculture","CHAPTER VII—FARM SERVICE AGENCY, DEPARTMENT OF AGRICULTURE","SUBCHAPTER D—SPECIAL PROGRAMS","PART 763—LAND CONTRACT GUARANTEE PROGRAM"],"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":"d75bef48b1f38b59f6f438e079f1b514bc482f9da517cc9fe5408b64a70acc0b","source_id":"us-cfr","stale":true,"prev":"us/7-cfr-763.17","next":"us/7-cfr-763.19"},"notice":"GroundRules: Original legal text. Not legal advice."}