# 1951.203 Definitions.
(a) *Approval official.* An official who has been delegated loan and/or grant approval authorities within applicable programs.
(b) *Assumption of debt.* The agreement by one party to legally bind itself to pay the debt incurred by another.
(c) *CONACT.* The Consolidated Farm and Rural Development Act, as amended.
(d) *Eligible applicant.* An entity that would be legally qualified for financial assistance under the loan or grant program involved in the servicing action.
(e) *Ineligible applicant.* An entity or individual that would not be considered eligible for financial assistance under the loan or grant program involved in the servicing action.
(f) *Nonprogram (NP) loan.* An NP loan exists when credit is extended to an ineligible applicant and/or transferee in connection with loan assumptions or sale of inventory property; any recipient in cases of unauthorized assistance; or a recipient whose legal organization has changed as set forth in § 1951.220(e) of this subpart resulting in the borrower being ineligible for program benefits.
(g) *Servicing office.* The State, District, or County Office responsible for immediate servicing functions for the borrower or grantee.
(h) *Transfer fee.* A one-time nonrefundable application fee, charged to ineligible applicants for Rural Development services rendered in the processing of a transfer and assumption.
[55 FR 4399, Feb. 8, 1990, as amended at 69 FR 70884, Dec. 8, 2004]