---
kind: "section"
citation: "13 C.F.R. § 120.645"
title: "13"
number: "120.645"
heading: "Redemption of Certificates."
url: "https://uscodex.org/cfr/13/120.645"
---

# §120.645. Redemption of Certificates.

- (a) **Redemption of Individual Certificate.** The prepayment of the underlying loan or a default on such loan will trigger the redemption of the Certificate by FTA/SBA in accordance with the procedures prescribed in the SPGA.
- (b) **Redemption of Pool Certificate.** The FTA and SBA may redeem a Pool Certificate because of prepayment or default of all loans in a Pool.

## Notes

### Authority

Authority: 15 U.S.C. 634(b) (6), (b) (7), (b) (14), (h), and note, 636(a), (h) and (m), 650, 687(f), 696(3) and (7), and 697(a) and (e); sec. 521, Pub. L. 114-113, 129 Stat. 2242; sec. 328(a), Pub. L. 116-260, 134 Stat. 1182.

### Source

Source: 61 FR 3235, Jan. 31, 1996, unless otherwise noted.