---
kind: "section"
citation: "7 C.F.R. § 3560.660"
title: "7"
number: "3560.660"
heading: "Acceptance of prepayments."
url: "https://uscodex.org/cfr/7/3560.660"
---

# §3560.660. Acceptance of prepayments.

- (a) When the Agency agrees to accept prepayment, the Agency will notify borrowers, in writing, of the conditions under which the Agency will accept prepayment including the specific restrictive-use provisions to which the borrower has agreed and the date by which the borrower must make the prepayment.
  - (1) Prepayment must be made 180 days from the date of the Agency's prepayment acceptance notice to the borrower.
  - (2) If the borrower's prepayment is not received within 180 days of the prepayment acceptance notice and the Agency has not agreed to an alternative date based on a written request from the borrower, the Agency may cancel the prepayment acceptance agreement.
- (b) Tenants will be notified of the prepayment acceptance agreement in accordance with [§ 3560.654(c)](/cfr/7/3560.654.md?p=c). If a prepayment is anticipated to result in increased net tenant contributions, displacements or involuntary relocations, the tenants, who are affected by such a circumstance, may request a Letter Of Priority Entitlement (LOPE) in accordance with [§ 3560.159(c)](/cfr/7/3560.159.md?p=c). Tenants must request a LOPE within one year of the prepayment acceptance notice date.
- (c) Owners will provide certification stating that they will meet state and local laws prior to prepayment acceptance.

## Notes

### Authority

Authority: 42 U.S.C. 1480.

### Source

Source: 69 FR 69106, Nov. 26, 2004, unless otherwise noted.