---
kind: "section"
citation: "31 C.F.R. § 5.7"
title: "31"
number: "5.7"
heading: "When will Treasury entities compromise a Treasury debt?"
url: "https://uscodex.org/cfr/31/5.7"
---

# §5.7. When will Treasury entities compromise a Treasury debt?


If a Treasury entity cannot collect the full amount of a Treasury debt, the Treasury entity may compromise the debt in accordance with the provisions of [31 CFR part 902](/cfr/31/part902.md) and the Treasury entity's policies and procedures. Legal counsel approval to compromise a Treasury debt is required as described in Treasury Directive 34-02 (Credit Management and Debt Collection), which may be found at http://www.treas.gov/regs.


## Notes

### Authority

Authority: 5 U.S.C. 5514; 26 U.S.C. 6402; 31 U.S.C. 321, 3701, 3711, 3716, 3717, 3718, 3720A, 3720B, 3720D.

### Source

Source: 67 FR 65845, Oct. 28, 2002, unless otherwise noted.