---
kind: "section"
citation: "7 U.S.C. § 925"
title: "7"
title_heading: "Agriculture"
number: "925"
heading: "Loan feasibility"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/7/925"
units:
  - "Chapter 31 — Rural Electrification and Telephone Service"
  - "Subchapter II — Rural Telephone Service"
---

# §925. Loan feasibility


The [Secretary](/usc/7/913.md?p=5) may not, as a condition of making a telephone loan to an applicant therefor, require the applicant to—

- (1) increase the rates charged to the applicant’s [customers](/usc/7/24.md?p=b) or subscribers; or
- (2) increase the applicant’s ratio of—
  - (A) net income or margins before interest; to
  - (B) the interest requirements on all of the applicant’s outstanding and proposed loans.

## Source credit

(May 20, 1936, ch. 432, title II, § 204, as added Pub. L. 101–624, title XXIII, § 2355, Nov. 28, 1990, 104 Stat. 4039; amended Pub. L. 103–354, title II, § 235(a)(13), Oct. 13, 1994, 108 Stat. 3221; Pub. L. 115–334, title VI, § 6602(b)(2), Dec. 20, 2018, 132 Stat. 4776.)

## Notes

### Editorial Notes

### Amendments

2018—Pub. L. 115–334 struck out “and the Governor of the telephone bank” after “The Secretary” in introductory provisions.

1994—Pub. L. 103–354 substituted “Secretary” for “Administrator”.