---
kind: "section"
citation: "7 C.F.R. § 761.401"
title: "7"
number: "761.401"
heading: "Purpose."
url: "https://uscodex.org/cfr/7/761.401"
---

# §761.401. Purpose.

- (a) This subpart describes the Agency's policies for debt settlement as authorized by the Consolidated Farm and Rural Development Act (CONACT) (7 U.S.C. [1921](/usc/7/1921.md), [7](/usc/7/7.md) U.S.C. 1981, 1981a, 1981d, and 2008h).
- (b) FLP debts that cannot be debt settled using CONACT debt settlement authority such as when a borrower has received previous debt forgiveness on another direct loan made under the CONACT, will be processed as specified in 31 U.S.C. chapter [37](/cfr/7/ch37.md) and [31](/cfr/7/ch31.md) CFR parts [900](/cfr/7/part900.md) through [904](/cfr/7/part904.md).

## Notes

### Source

Source: 85 FR 36691, June 17, 2020, unless otherwise noted.

### Authority

Authority: 5 U.S.C. 301 and 7 U.S.C. 1989.

### Source

Source: 72 FR 63285, Nov. 8, 2007, unless otherwise noted.