La. Admin. Code tit. 7 § V-123

Current through Register Vol. 50, No. 11, November 20, 2024

Section V-123 - Delinquency and Foreclosure

A. Any unpaid principal and/or interest shall be considered delinquent on the tenth day following the due date.

B. After the tenth day following the due date, a $15 delinquency fee shall be levied. Interest at the same rate as applied to the loan shall be charged on any unpaid delinquency fee from the date of the assessment until paid. No loan shall be closed out if there are any outstanding unpaid delinquency fees. All moneys collected as delinquency fees shall be deposited into the market commission revolving fund.

C. Routine written notification of delinquency shall be sent to the borrower on the thirtieth day following the due date.

D. In the absence of response to the 30-day notification, the market commission staff shall send a specific written notification concerning the delinquency on the sixtieth day following the due date, which notification shall be sent by certified mail, return receipt requested.

E. In the absence of response to the 60-day notification, the delinquency shall be reported to the market commission at the next regularly scheduled commission meeting, and the market commission shall officially place the borrower on the list of delinquent loans.

F. Subsequent to notification to the market commission, the staff, unless otherwise directed by the commission, shall forward a demand letter, again by certified mail with return receipt requested, informing the borrower that the remaining balance is advanced, together with all interest accrued, and the full sum of the obligation is due and payable to the market commission.

G. In the absence of satisfactory arrangements for repayment of the delinquency thereafter, the market commission shall initiate foreclosure proceedings on the ninetieth day following the due date of the unpaid principal and interest.

H. The market commission shall secure a judgement and foreclosure on the collateral securing the loan and, if deemed in the best interest of the market commission, the assets of all personal endorsers.

I. The market commission staff shall select an appraiser from the State Market Commission Listing of Approved Appraisers to do any appraisal necessary for foreclosure.

La. Admin. Code tit. 7, § V-123

Promulgated by the Department of Agriculture, Market Commission, LR 6:256 (June 1980).

AUTHORITY NOTE: Promulgated in accordance with R.S. 3:413 and R.S. 3:404.