12 CFR § 617.7605 - How should System institutions document whether the borrower had the financial resources to avoid foreclosure?

---
identifier: "/us/cfr/t12/s617.7605"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "12 CFR § 617.7605 - How should System institutions document whether the borrower had the financial resources to avoid foreclosure?"
title_number: 12
title_name: "Banks and Banking"
section_number: "617.7605"
section_name: "How should System institutions document whether the borrower had the financial resources to avoid foreclosure?"
chapter_name: "FARM CREDIT ADMINISTRATION"
subchapter_number: "B"
subchapter_name: "FARM CREDIT SYSTEM"
part_number: "617"
part_name: "BORROWER RIGHTS"
positive_law: false
currency: "2026-04-05"
last_updated: "2026-04-05"
format_version: "1.1.0"
generator: "[email protected]"
authority: "Secs. 4.13, 4.13A, 4.13B, 4.14, 4.14A, 4.14C, 4.14D, 4.14E, 4.36, 5.9, 5.17 of the Farm Credit Act (12 U.S.C. 2199, 2200, 2201, 2202, 2202a, 2202c, 2202d, 2202e, 2219a, 2243, 2252)."
regulatory_source: "69 FR 10907, 10908, Mar. 9, 2004, unless otherwise noted."
cfr_part: "617"
---


# 617.7605 How should System institutions document whether the borrower had the financial resources to avoid foreclosure?

The right of first refusal applies only to borrowers who did not have the financial resources to avoid foreclosure or voluntary conveyance. A System institution must clearly document in its files whether the borrower had the resources to avoid foreclosure or voluntary conveyance.