7 CFR § 765.1 - Introduction.

---
identifier: "/us/cfr/t7/s765.1"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "7 CFR § 765.1 - Introduction."
title_number: 7
title_name: "Agriculture"
section_number: "765.1"
section_name: "Introduction."
chapter_name: "FARM SERVICE AGENCY, DEPARTMENT OF AGRICULTURE"
subchapter_number: "D"
subchapter_name: "SPECIAL PROGRAMS"
part_number: "765"
part_name: "DIRECT LOAN SERVICING—REGULAR"
positive_law: false
currency: "2026-03-24"
last_updated: "2026-03-24"
format_version: "1.1.0"
generator: "[email protected]"
authority: "5 U.S.C. 301 and 7 U.S.C. 1989."
regulatory_source: "72 FR 63309, Nov. 8, 2007, unless otherwise noted."
cfr_part: "765"
---


# 765.1 Introduction.

(a) *Purpose.* This part describes the policies for servicing direct FLP loans, except for borrowers who are delinquent, financially distressed, or otherwise in default on their loan.

(b) *Servicing actions.* Servicing actions described in this part include:

(1) Limited resource reviews;

(2) Graduation to commercial credit;

(3) Application of payments;

(4) Maintaining and disposing of security;

(5) Transfer of security and assumption of debt; and

(6) Servicing accounts of deceased borrowers.

(c) *Loans covered.* The Agency services direct FLP loans under the policies contained in this part. This part is not applicable to Non-program loans, except where noted.