Repayment of MALs.

CFR · 2024-01-01 · US · Title 7

(a) Warehouse receipts pledged as collateral for a CCC loan will not be released except as provided in this section. (b) A producer, an authorized agent or anyone subsequently designated by the producer in the manner prescribed by CCC may redeem one or more bales of cotton pledged as collateral for a loan by payment to CCC of an amount applicable to the bales of cotton being redeemed determined under this section. CCC, upon proper payment for the amount due, will release the warehouse receipts applicable to such cotton. (c) A producer or agent or subsequent agent authorized in writing in a manner prescribed by CCC may repay the loan amount for one or more bales of cotton pledged as collateral for a MAL: (1) For upland cotton, at a level that is the lesser of: (i) The loan level and charges, plus interest determined for such bales; or (ii) The adjusted world price, as determined by CCC under § 1427.25, in effect on the day the repayment is received by the FSA county office, loan servicing agent, or cotton commercial bank that disbursed the loan. (2) For ELS cotton, by repaying the loan amount and charges, plus interest determined for such bales. (d) CCC will determine and publicly announce the adjusted world price for each crop of upland cotton on a weekly basis. (e) The difference between the loan level, excluding charges and interest, and the loan repayment level is the market loan gain. The total amount of any market loan gain realized by a person is subject to part 1400 of

official document · source cfr-2024 · id 7:§ 1427.19