Are institutions required to participate in state agricultural loan mediation programs?
(a) If initiated by a borrower, System institutions must participate in state mediation programs certified under section 501 of the Agricultural Credit Act of 1987 and present and explore debt restructuring proposals advanced in the course of such mediation. If provided in the certified program, System institutions may initiate mediation at any time. (b) System institutions must cooperate in good faith with requests for information or analysis of information made in the course of mediation under any loan mediation program. (c) No System institution may make a loan secured by a mortgage or lien on agricultural property to a borrower on the condition that the borrower waive any right under the agricultural loan mediation program of any state. (d) A state mediation may proceed at the same time as the loan restructuring process of 617.7415 or at any other appropriate time. [69 FR 10911, Mar.
Related Questions
- When an agricultural State mediation is requested, what is the effect on loan servicing timeframes, including deadlines for review by Credit Review Committees?
- At what point in distressed loan servicing may a borrower request agricultural State mediation?
- Must qualified lenders participate in agricultural State mediation programs?
