Examining and general servicing of insurance.

CFR · 2024-01-01 · US · Title 7

(a) (1) (ii) If the borrower does not furnish acceptable insurance by the date the previous policy expired or was canceled, the County Supervisor will proceed as provided in § 1806.6. (2) (ii) FP and Section 502 RH borrowers will be informed during the tenth month after the date of loan closing of their responsibility to carry insurance. Form RD 426-4 will be sent to these borrowers, regardless of whether there is evidence that the insurance has been renewed. Thereafter, the County Supervisor will not be required to further determine whether the borrower has adequately maintained insurance; however, if a further notice of expiration is received in the County Office, the County Supervisor will again notify the borrower by using RD 426-4 of his responsibility. (3) (4) (5) (b) (2) (ii) In a transfer with assumption, insurance will be required in the same amount and according to the same provisions as for an initial loan of the same type. (3)

official document · source cfr-2024 · id 7:§ 1806.4