§937 — Title 7 Agriculture | U.S. Code

Summary

If the Secretary thinks an applicant can get part of the money from a responsible cooperative or another lender at fair rates and terms the applicant can repay, the Secretary can ask the applicant to apply for and take that loan at the same time as the government-insured loan. The Secretary must still make full use of the funds available for insured loans under this program. For electric loans, the Secretary cannot require more than 30 percent of the applicant’s credit needs to come from another loan.

Title 7, §937

Agriculture — Source: USLM XML via OLRC

When it appears to the Secretary that the loan applicant is able to obtain a loan for part of his credit needs from a responsible cooperative or other credit source at reasonable rates and terms consistent with the loan applicant’s ability to pay and the achievement of this chapter’s objectives, he may request the loan applicant to apply for and accept such a loan concurrently with an insured loan, subject, however, to full use being made by the Secretary of the funds made available hereunder for such insured loans under this subchapter. The Secretary may not request any applicant for an electric loan under this chapter to apply for and accept a loan in an amount exceeding 30 percent of the credit needs of the applicant.

Notes & Related Subsidiaries

Editorial Notes

Amendments

1994—Pub. L. 103–354 substituted “Secretary” for “Administrator” wherever appearing. 1993—Pub. L. 103–129 inserted at end “The Administrator may not request any applicant for an electric loan under this chapter to apply for and accept a loan in an amount exceeding 30 percent of the credit needs of the applicant.” 1981—Pub. L. 97–35 substituted “an insured loan” for “a loan insured at the standard rate”.

Statutory Notes and Related Subsidiaries

Effective Date

Section effective May 11, 1973, see section 12 of Pub. L. 93–32, set out as a note under section 930 of this title.

§937 Loans From Other Credit Sources