348.530. Eligibility for loans--rulemaking authority.
Eligibility for loans--rulemaking authority.
348.530. 1. Persons eligible for guarantees for loans under theprovisions of sections 348.515 to 348.533 are individuals engaged infarming operations as defined in section 348.015, who intend to use theproceeds from the loan to finance the purchase of livestock feed used toproduce livestock and input used to produce crops for the feeding oflivestock, and who are seeking a loan or loans to finance not more thanninety percent of the anticipated cost.
2. The authority shall adopt and promulgate rules establishingeligibility under the provisions of sections 348.515 to 348.533, takinginto consideration the individual's ability to repay the loan, the generaleconomic conditions of the area in which the individual will be located,the prospect of success of the particular farm operation for which the loanis sought and such other factors as the authority may establish. Theeligibility of any person for a loan guarantee under the provisions ofsections 348.515 to 348.533 shall not be determined or otherwise affectedby any consideration of that person's race, religion, sex, creed, color, orlocation of residence. The authority may also provide for:
(1) The requirement or nonrequirement of security or endorsement andthe nature thereof;
(2) The manner and time of repayment of the principal and interest;
(3) The maximum rate of interest;
(4) The right of the borrower to accelerate payments without penalty;
(5) The amount of the guaranty charge;
(6) The effective period of the guaranty;
(7) The percent of the loan, not to exceed fifty percent, covered bythe guaranty;
(8) The assignability of loans by the lender;
(9) Procedures in event of default by the borrower;
(10) The due diligence effort on the part of lenders for collectionof guaranteed loans;
(11) Collection assistance to be provided to lenders; and
(12) The extension of the guaranty in consideration of duty in thearmed forces, unemployment, natural disasters, or other hardships.
(L. 2008 S.B. 931)