source:
  type: regulation
  id: usda-hb-3555-ch04
  authority: USDA HB-1-3555 ch04 bootstrap
  description: Bootstrap for USDA HB-1-3555 ch04 register.
obligations:
- id: usda-hb-3555-ch04-collect-payments-pay-tax-insurance
  canonical_id: usda-hb-3555-ch04-collect-payments-pay-tax-insurance
  section: "USDA HB-1-3555 Ch. 4.4 — Collect Loan Payments and Ensure Payment of Taxes and Insurance"
  description: 'The servicing [LENDER], or their representative, must collect

    the borrower''s monthly payment and apply the funds to the

    borrower''s account in accordance with the terms of the

    promissory note and mortgage. The servicing [LENDER] must

    maintain first lien position and ensure that real estate taxes

    and hazard insurance premiums are paid when they are due.

    '
  type: do
  audit_question: For every USDA SFHGLP-guaranteed loan it services, can [LENDER] evidence (i) collection of the borrower's monthly payment and application of the funds in accordance with the promissory note and mortgage, (ii) maintenance of first lien position, and (iii) that real estate taxes and hazard insurance premiums were paid when due?
  workflow_phase: servicing
  owner_role: compliance_officer
  secondary_owner_role: default_servicing_analyst
  cadence: continuous
  consequence: ''
  tags:
  - round-b
  - regulator-direct
  - usda
  - hb-1-3555
  - ch04
  - lender-responsibilities
  - servicing
  - promoted
  primary_source:
    tier: 1
    authority: "USDA HB-1-3555 Chapter 4.4 — Collect Loan Payments and Ensure Payment of Taxes and Insurance"
    source_class: usda-handbook-hb-1-3555
    source_url: https://www.rd.usda.gov/sites/default/files/3555-1chapter04.pdf
    snapshot_id: 5e55d0368d5b464d
    fetched_at: '2026-05-23T01:50:00Z'
    content_hash: sha256:7108b0809aa3c97bf50649692ef10e6b986e6ba30c1d95d7e477f9e90b938e00
    paragraph_quote: The servicing lender, or their representative, must collect the borrower
    drafter_attestation: Copied verbatim from USDA HB-1-3555 snapshot 5e55d0368d5b464d (Ch 04) at 2026-05-23. Source PDF retrieved via Wayback Machine.
  promoted_at: '2026-05-23T13:24:33+00:00'
  promoted_from: usda-hb-3555-ch04-roundb-v1.yaml
  program_review: Does the servicing program collect and apply payments per the note and mortgage, maintain first-lien position, and ensure real estate taxes and hazard insurance are paid when due?
  file_review: Pull a serviced-loan sample; confirm payment application, first-lien maintenance, and timely tax/insurance disbursement.
  judgment: false
- id: usda-hb-3555-ch04-sell-only-to-approved-lenders
  canonical_id: usda-hb-3555-ch04-sell-only-to-approved-lenders
  section: "USDA HB-1-3555 Ch. 4.6 — Sell Loans Only to Approved Lenders [7 CFR 3555.54]"
  description: 'A SFHGLP loan may be sold only to an Agency-approved [LENDER],

    Fannie Mae, or Freddie Mac. The selling lender must report any

    guaranteed loan sale to the Agency by using Form RD 3555-11,

    Lender Record Change. If the loan is sold to a party not

    approved to participate in the SFHGLP, the Loan Note Guarantee

    will be considered invalid.

    '
  type: dont
  audit_question: For every USDA SFHGLP-guaranteed loan it sells, can [LENDER] evidence (i) that the purchaser was an Agency-approved lender, Fannie Mae, or Freddie Mac, and (ii) that the sale was reported to the Agency on Form RD 3555-11, Lender Record Change?
  workflow_phase: post_closing
  owner_role: compliance_officer
  secondary_owner_role: default_servicing_analyst
  cadence: per_event
  consequence: Sale to a non-approved party invalidates the Loan Note Guarantee.
  tags:
  - round-b
  - regulator-direct
  - usda
  - hb-1-3555
  - ch04
  - loan-sales
  - guarantee-validity
  - promoted
  primary_source:
    tier: 1
    authority: "USDA HB-1-3555 Chapter 4.6 — Sell Loans Only to Approved Lenders"
    source_class: usda-handbook-hb-1-3555
    source_url: https://www.rd.usda.gov/sites/default/files/3555-1chapter04.pdf
    snapshot_id: 5e55d0368d5b464d
    fetched_at: '2026-05-23T01:50:00Z'
    content_hash: sha256:7108b0809aa3c97bf50649692ef10e6b986e6ba30c1d95d7e477f9e90b938e00
    paragraph_quote: A SFHGLP loan may be sold only to an Agency-approved lender, Fannie Mae, or
    drafter_attestation: Copied verbatim from USDA HB-1-3555 snapshot 5e55d0368d5b464d (Ch 04) at 2026-05-23. Source PDF retrieved via Wayback Machine.
  promoted_at: '2026-05-23T13:24:33+00:00'
  promoted_from: usda-hb-3555-ch04-roundb-v1.yaml
  program_review: Does the program prevent any SFHGLP loan sale to a party other than an Agency-approved lender, Fannie Mae, or Freddie Mac, and ensure each sale is reported to the Agency on Form RD 3555-11 (sale to a non-approved party voids the guarantee)?
  file_review: Pull sold loans; confirm the purchaser was approved/FNMA/FHLMC and that Form RD 3555-11 was filed.
  judgment: false
- id: usda-hb-3555-ch04-report-significant-changes
  canonical_id: usda-hb-3555-ch04-report-significant-changes
  section: "USDA HB-1-3555 Ch. 4.7 — Report Significant Changes"
  description: '[LENDER] must immediately inform the Agency, in writing, of

    significant changes in its structure or status. Failure to

    keep the Agency informed of changes in accordance with Form

    RD 3555-16 could lead to withdrawal of approval. Significant

    changes include name/location/tax-ID/corporate-structure

    changes, fidelity-bond/E&O changes, insolvency, bankruptcy,

    cessation of operations, Federal-debt delinquency, debarment

    /suspension/sanction, and voluntary withdrawal.

    '
  type: notify
  audit_question: When any significant change in [LENDER]'s structure or status occurred (name/location/address/tax-ID/corporate structure, fidelity bond / E&O coverage, insolvency, bankruptcy, cessation of operations / discontinuance of servicing the SFHGLP portfolio, Federal-debt delinquency, debarment / suspension / sanction, or voluntary withdrawal), can [LENDER] evidence that the Agency was immediately informed in writing?
  workflow_phase: post_closing
  owner_role: compliance_officer
  secondary_owner_role: loan_officer
  cadence: per_event
  consequence: Failure to inform the Agency could lead to withdrawal of approval.
  tags:
  - round-b
  - regulator-direct
  - usda
  - hb-1-3555
  - ch04
  - reporting
  - significant-changes
  - promoted
  primary_source:
    tier: 1
    authority: "USDA HB-1-3555 Chapter 4.7 — Report Significant Changes"
    source_class: usda-handbook-hb-1-3555
    source_url: https://www.rd.usda.gov/sites/default/files/3555-1chapter04.pdf
    snapshot_id: 5e55d0368d5b464d
    fetched_at: '2026-05-23T01:50:00Z'
    content_hash: sha256:7108b0809aa3c97bf50649692ef10e6b986e6ba30c1d95d7e477f9e90b938e00
    paragraph_quote: The lender must immediately inform the Agency, in writing, of significant changes in
    drafter_attestation: Copied verbatim from USDA HB-1-3555 snapshot 5e55d0368d5b464d (Ch 04) at 2026-05-23. Source PDF retrieved via Wayback Machine.
  promoted_at: '2026-05-23T13:24:33+00:00'
  promoted_from: usda-hb-3555-ch04-roundb-v1.yaml
  program_review: Does the program account for the §4.7 significant-change list (name/location/tax-ID/corporate structure, fidelity-bond/E&O, insolvency, bankruptcy, cessation of operations, federal-debt delinquency, debarment/suspension/sanction, voluntary withdrawal) and immediately inform the Agency in writing (Form RD 3555-16) when one occurs?
  file_review: "Entity-level check: where a significant change occurred, confirm immediate written Agency notification. The officer judges whether a borderline corporate event qualified as a reportable 'significant change.'"
  judgment: true
_promotion_history:
- promoted_at: '2026-05-23T13:24:33+00:00'
  candidate_path: obligations\_remediation\_round_b_drafts\usda-hb-3555-ch04-roundb-v1.yaml
  candidates_promoted: 3
  candidates_skipped_existing: 0
