Wednesday, February 2, 2022

Update: No Accelerating or Foreclosing on Any Direct Loans

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Update: No Accelerating or Foreclosing on Any Direct Loans

In January 2021, Secretary Vilsack announced a temporary suspension of past-due debt collection and foreclosures for distressed direct loan borrowers due to the economic hardship imposed by the COVID-19 pandemic. We are sending letters to direct loan borrowers that clarifies what that suspension means, but I'd also would like to take a few minutes to visit with you "in person". 

Throughout 2021, some direct loan borrowers may have received a "Notice of Intent to Accelerate" in the mail. We understand this notice has caused some confusion and frustration. We want to assure you that the suspension on adverse actions, including foreclosures on direct loans is still in effect. We have not, and are not, accelerating your direct loans with the Farm Service Agency or foreclosing on your property securing those loans during this suspension.  

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