7 CFR § 3560.402 - Loan payment processing.

---
identifier: "/us/cfr/t7/s3560.402"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "7 CFR § 3560.402 - Loan payment processing."
title_number: 7
title_name: "Agriculture"
section_number: "3560.402"
section_name: "Loan payment processing."
chapter_name: "RURAL HOUSING SERVICE, DEPARTMENT OF AGRICULTURE"
part_number: "3560"
part_name: "DIRECT MULTI-FAMILY HOUSING LOANS AND GRANTS"
positive_law: false
currency: "2026-03-24"
last_updated: "2026-03-24"
format_version: "1.1.0"
generator: "[email protected]"
authority: "42 U.S.C. 1480."
regulatory_source: "69 FR 69106, Nov. 26, 2004, unless otherwise noted."
cfr_part: "3560"
---


# 3560.402 Loan payment processing.

(a) *Predetermined Amortization Schedule System (PASS) requirements.* All loans, except the loans specified in paragraph (c) of this section, must be closed and serviced using the PASS.

(b) *Required conversion to PASS.* Borrowers with Daily Interest Accrual System (DIAS) accounts must convert to PASS with any loan servicing action.

(c) *Exceptions.* Seasonal farm labor housing loans and on-farm labor housing loans may be closed on DIAS, monthly, or annual payment schedules.

[69 FR 69106, Nov. 26, 2004, as amended at 87 FR 11286, Mar. 1, 2022]