---
kind: "section"
citation: "7 C.F.R. § 1951.203"
title: "7"
number: "1951.203"
heading: "Definitions."
url: "https://uscodex.org/cfr/7/1951.203"
---

# §1951.203. Definitions.

- (a) **Approval official.** An official who has been delegated loan and/or grant approval authorities within applicable programs.
- (b) **Assumption of debt.** The agreement by one party to legally bind itself to pay the debt incurred by another.
- (c) **CONACT.** The Consolidated Farm and Rural Development Act, as amended.
- (d) **Eligible applicant.** An entity that would be legally qualified for financial assistance under the loan or grant program involved in the servicing action.
- (e) **Ineligible applicant.** An entity or individual that would not be considered eligible for financial assistance under the loan or grant program involved in the servicing action.
- (f) **Nonprogram (NP) loan.** An NP loan exists when credit is extended to an ineligible applicant and/or transferee in connection with loan assumptions or sale of inventory property; any recipient in cases of unauthorized assistance; or a recipient whose legal organization has changed as set forth in [§ 1951.220(e)](/cfr/7/1951.220.md?p=e) of this subpart resulting in the borrower being ineligible for program benefits.
- (g) **Servicing office.** The State, District, or County Office responsible for immediate servicing functions for the borrower or grantee.
- (h) **Transfer fee.** A one-time nonrefundable application fee, charged to ineligible applicants for Rural Development services rendered in the processing of a transfer and assumption.

## Notes

### Amendments

[55 FR 4399, Feb. 8, 1990, as amended at 69 FR 70884, Dec. 8, 2004]

### Source

Source: 55 FR 4399, Feb. 8, 1990, unless otherwise noted.

### Authority

Authority: 5 U.S.C. 301; 7 U.S.C 1932 note; 7 U.S.C. 1989; 31 U.S.C. 3716; 42 U.S.C. 1480.

### Amendments

[55 FR 4399, Feb. 8, 1990, as amended at 69 FR 70884, Dec. 8, 2004]