24 CFR § 886.314 - Financial default.

---
identifier: "/us/cfr/t24/s886.314"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "24 CFR § 886.314 - Financial default."
title_number: 24
title_name: "Housing and Urban Development"
section_number: "886.314"
section_name: "Financial default."
chapter_name: "OFFICE OF THE ASSISTANT SECRETARY FOR HOUSING-FEDERAL HOUSING COMMISSIONER, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (SECTION 8 HOUSING ASSISTANCE PROGRAMS, SECTION 202 DIRECT LOAN PROGRAM, SECTION 202 SUPPORTIVE HOUSING FOR THE ELDERLY PROGRAM AND SECTION 811 SUPPORTIVE HOUSING FOR PERSONS WITH DISABILITIES PROGRAM)"
part_number: "886"
part_name: "SECTION 8 HOUSING ASSISTANCE PAYMENTS PROGRAM—SPECIAL ALLOCATIONS"
positive_law: false
currency: "2026-04-05"
last_updated: "2026-04-05"
format_version: "1.1.0"
generator: "[email protected]"
authority: "42 U.S.C. 1437a, 1437c, 1437f, 3535(d), and 13611-13619."
cfr_part: "886"
---


# 886.314 Financial default.

In the event of a financial default under the project mortgage, HUD shall have the right to make subsequent housing assistance payments to the mortgagee until such time as the default is cured, or until some other time agreeable to the mortgagee and approved by HUD.