RD 1951-15 Community Programs Assumption Agreement

USDA
Form RD 1951-15
(Rev. 1-00)

FORM APPROVED
OMB NO. 0572-0137
OMB NO. 0575-0066

COMMUNITY PROGRAMS ASSUMPTION AGREEMENT

PART A
1. TRANSFER CASE NUMBER

3. ASSUMPTION
TYPE

2. TRANSFEREE NAME

4. NOTE INTEREST
RATE

5. EFFECTIVE DATE

6. AMOUNT ASSUMED

%
7. APPROVAL DATE

8. APPROVAL
DATE

9. TRANSFEROR CASE NUMBER

10. TRANSFEROR NAME

12. PURCHASE CODE
O-PROGRAM
1- NONPROGRAM

11. LOAN NUMBERS BEING
TRANSFERRED

13. FUND
CODE

14. RACE/TAX
CODE

15. EMPLOYEE
RELATIONSHIP
CODE

16. ASSUMPTION
CODE:
1 - SAME
2 - NEW

17. RELEASE FROM
LIABILITY
1 - YES
2 - NO

PART B

AGREEMENT
This agreement dated

,

, is between the United States of America, acting through the Rural Housing

Service or the Rural Utilities Service or the Rural Business-Cooperative Service (herein called the Agency), and the assuming
(herein called Transferee), whose mailing address is

party,

.
and

The Government is the holder of debt instrument(s) executed by
identified as follows:

TABLE I
Instrument
Type

Date Executed

Principal Amount

UNPAID ON DATE HEREOF
Principal
Accrued Interest

Int.
Rate

Ins. Charge
Rate

According to the Paperwork Reduction Act of 1995, an agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it
displays a valid OMB control number. The valid OMB control number for this information collection is 0572-0137 and 0575-0066. The time required to complete this information
collection is estimated to average 30 minutes per response, including the time for reviewing instructions, searching existing data sources, gathering and maintaining the data
needed, and completing and reviewing the collection of information.

WHEREAS in connection with such loans the following security instruments were taken on property described therein
which is located in
County, State of

.
TABLE II

KIND OF
INSTRUMENT

DATE
EXECUTED

OFFICE WHERE
RECORDED

BOOK/VOLUME/
DOCUMENT NO.

PAGE
NUMBER

Now therefore, in consideration of the assumption of indebtedness as herein provided and the Agency's consent
to the assumption and related conveyance of security property, if applicable, it is agreed as follows:
1. The transferee hereby jointly and severally assumes liability for and agrees to pay to the order of the
Agency, or to the order of the insured holder through the Agency if and when an insured holder is the holder of
said debt instrument(s), at the office of the Agency shown below, the entire unpaid indebtedness in accordance
with the rates and terms specified in the following subparagraphs (a) or (b) designated by an X in the appropriate
block:
(a) Same Rates/Terms. The entire unpaid indebtedness will be paid in accordance with the rates and
terms stipulated in the debt and security instruments listed in Tables I and II of Part B of this agreement.
(b) New Rates/Terms. The entire unpaid indebtedness will be paid in the amounts and at the times
specified in the following subparagraph (i) or (ii) designated by an X in the appropriate block.
(i). The sum of
) plus interest at the rate of

dollars ($

percent (

%) per annum, paid in installments of $

on

,

thereafter on the

and $

of

until the principal and interest are fully paid, except that the final

installment of the entire indebtedness evidenced hereby, if not sooner paid, shall be due and payable
(

) months/years from the date of this Assumption Agreement.

(ii). The sum of
dollars ($

percent (
payable as follows:

) with interest thereon at the rate of
%) per annum from the date hereof. The principal and interest shall be due and

,

$

on

;

$

on

;

$

on

;

$

on

;

$

on

;

$

on

;

$

on

;

$

on

;

$

on

;

$

on

;

$

on

;

$

on

;

$

on

;

$

on

;

$

on

;

and a final installment in the amount of any remaining portion of the indebtedness hereby assumed which shall
be paid on or before

Interest hereafter accruing shall be. due and payable on the same dates as principal

installments listed above.
2. The provisions of said debt and security instruments and of any outstanding agreements executed or assumed
by the present debtors pertinent thereto shall, except as modified herein, remain in full force and effect, and the
transferee hereby assumes the obligations of and agrees to be bound by and to comply with all covenants,
agreements and conditions contained in said instruments and agreements, except as modified herein, the same as if
they had executed them as of the dates thereof as principal obligors, including any obligation to pay the Agency an
insurance charge in addition to interest if and as provided in any such instruments.
3. REFINANCING AGREEMENT: If at any time it shall appear to the Agency that the transferee may
be able to obtain a loan from a responsible cooperative or private credit source at reasonable rates and terms for
loans for similar purposes and periods of time, transferee will, at the Agency's request, apply for and accept a loan
in a sufficient amount to pay the loan(s) hereby assumed in full and, if the lender is a cooperative, to pay for any
necessary stock. (Refinancing requirements do not apply to loans classified as nonprogram loans.)

4. This agreement shall be subject to present regulations of the Agency and to its future regulations which are not
inconsistent with the express provisions hereof.
5. When the loan(s) hereby assumed is held by an insured holder, prepayments made by the transferee may,
except for final payment, be remitted by the Agency to the holder on an annual installment due date basis or other
basis established by Agency regulation. Final payment will be remitted promptly. The effective date of every
payment made by the transferee shall be the date the payment is received by the Agency.
6. The property described in Table II was obtained or improved through Federal financial assistance. This
property is subject to the provisions of Title VI of the Civil Rights Act of 1964 and the regulations issued pursuant
thereto for so long as the property continues to be used for the same or similar purpose for which financial
assistance was extended or so long as the transferee owns it, whichever is longer.

Position 2

RD 1951-15 (Rev. 1-00)

TRANSFEREE

(SEAL)

Attest:

Name of Transferee

BY

BY

TITLE

TITLE

Agency Name

UNITED STATES OF AMERICA
OFFICE ADDRESS:
Agency Name
BY
TITLE