---
kind: "section"
citation: "7 C.F.R. § 1744.207"
title: "7"
number: "1744.207"
heading: "Investment not to jeopardize loan security."
url: "https://uscodex.org/cfr/7/1744.207"
---

# §1744.207. Investment not to jeopardize loan security.


A borrower shall not make a qualified investment or a rural development investment which jeopardizes:

- (a) The security of loans made or guaranteed by RUS; or
- (b) **The borrower's ability to repay such loans under the terms and conditions as agreed.**

## Notes

### Source

Source: 58 FR 52642, Oct. 12, 1993, unless otherwise noted.

### Authority

Authority: 7 U.S.C. 901 et seq., 1921 et seq., and 6941 et seq.

### Source

Source: 55 FR 39396, Sept. 27, 1990, unless otherwise noted.