Farm Loan Programs - Direct Loan Servicing - Special (7 CFR 766)

Instructions for Form FSA-2524

BORROWER RESPONSE TO DENIAL OF PRIMARY LOANS

SERVICING

FOR BORROWERS WHO RECEIVED FORM FSA-2512 AND APPLIED FOR SERVICING

This form is used by financially distressed borrowers, who applied for servicing, but could not develop a feasible plan. It is submitted in response to FSA-2523 notifying borrowers of FSA’s denial of primary loan servicing and explaining, in detail, all their options.

THIS FORM IS FOR INFORMATIONAL PURPOSES ONLY and should only be completed and returned in response to receiving forms FSA-2523 and FSA 2524 from the agency.

Items 1 and 3-6A will typically be completed by the Agency.

Items 2, 3-6B and 3-6C are completed by the Borrower(s). If the agency failed to complete 1 and 3-6A, information may be entered by the Borrower(s).

Fld Name / Item No.	Instruction
1 Borrower	The agency will enter the name(s) of the borrower(s) required to respond to Denial of Primary Loan Servicing and Intent to Accelerate. All borrowers (entity and individual persons) that executed the promissory note or assumption agreement, and have not been previously released of liability for the debts, must execute a form in order to be considered for some of the options. They may all sign one form or each sign separate forms.
2 Options Available	One or more of the options may be available to the borrower(s). Check the appropriate blocks to select the options desired.
3-6A Borrower Name	The agency official will type the name of the borrower that should sign the form. This will be one of the parties that executed the promissory note or assumption agreement. At least one borrower (entity and individual person) that executed the promissory note or assumption agreement, and have not been previously released of liability for the debts, must execute a form in order to be considered for the selected option(s).
3-6B Signature	The borrower named in block 3A will sign the response form. At least one borrower (entity and individual person) that executed the promissory note or assumption agreement, and have not been previously released of liability for the debts, must execute the form in order to be considered for the selected option(s). They may all sign one form or each sign separate forms.
3-6C Date	The date will be entered by the borrower when they sign the form.

If additional information is needed, contact the local FSA office.