---
kind: "section"
citation: "24 C.F.R. § 1005.723"
title: "24"
number: "1005.723"
heading: "Partial Payments."
url: "https://uscodex.org/cfr/24/1005.723"
---

# §1005.723. Partial Payments.

- (a) A Servicer must have a written policy on how it handles Partial Payments, in compliance with this section and that policy shall be readily available to the public.
- (b) Upon receipt of a Partial Payment, a Servicer must provide the Borrower a copy of the Servicer's written Partial Payment policy and a letter explaining how it will handle the received Partial Payment. The Servicer may:
  - (1) Accept a Partial Payment and either apply it to the Borrower's account;
  - (2) Identify it with the Borrower's account number and hold it in a trust account pending disposition; or
  - (3) **Return the Partial Payment(s) to the Borrower.**

## Notes

### Authority

Authority: 12 U.S.C. 1715z-13a; 15 U.S.C. 1639c; 42 U.S.C. 3535(d).

### Source

Source: 89 FR 20056, Mar. 20, 2024; 89 FR 22084, Mar. 29, 2024, unless otherwise noted.