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Code of Federal Regulations (Last Updated: July 5, 2024) |
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Title 7 - Agriculture |
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Subtitle B - Regulations of the Department of Agriculture |
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Chapter XVIII - Rural Housing Service, Rural Business-Cooperative Service, Rural Utilities Service, and Farm Service Agency, Department of Agriculture |
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SubChapter H - Program Regulations |
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Part 1980 - General |
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Subpart D - Rural Housing Loans |
§ 1980.399 - Appeals.
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The borrower and the Lender respectively can appeal an RHS administrative decision that directly and adversely impacts them. Decisions made by the Lender are not covered by this paragraph even if RHS concurrence is required before the Lender can proceed. Appeals will be conducted in accordance with the rules of the National Appeals Division, USDA.
(a)
Appealable decisions. (1) The borrower and the Lender must jointly execute the written request for an alleged adverse decision made by RHS. The Lender need not be an active participant in the appeal process.(2) The Lender may appeal without the borrower where RHS has:
(i) Denied or reduced the amount of a loss payment to the Lender; or
(ii) Required an originating Lender to indemnify RHS for a loss payment.
(b)
Nonappealable decisions. (1) The Lender's decision as to whether to make a loan is not subject to appeal.(2) The Lender's decision to deny servicing relief is not subject to appeal.
(3) The Lender's decision to accelerate the account is not subject to appeal.