Under what condition can a direct farm loan account be accelerated?

In the context of farm loans, accelerating a loan means that the lender can demand immediate full repayment of the outstanding balance due to the borrower's failure to meet specific obligations. This can happen under particular conditions, with the stipulation that proper reviews have taken place.

When a direct farm loan account becomes 90 days past due, the lender has a clear basis to assess the situation. A critical factor in this scenario is that all civil rights reviews have been completed, ensuring that all legal considerations are followed before taking any drastic action like acceleration. This means that the lender has verified that no discrimination has occurred in their practices, and the borrower has been afforded all rights and protections as per civil rights regulations.

This structured approach protects both the borrower and the lender, statutorily ensuring that decisions regarding acceleration are made fairly and justifiably, especially after the borrower has been given adequate time to address the delinquency. In cases where civil rights reviews are incomplete, pursuing acceleration may lead to legal complications, which is why this condition necessitates that such reviews must be completed.