# 7 CFR § 1980.414: Fees and charges by lender and others

> Federal · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.414

## Section

- **Citation:** 7 CFR § 1980.414
- **Heading:** Fees and charges by lender and others
- **Jurisdiction:** Federal
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** September 22, 2026
- **Source:** Publisher's official text
- **Location:** Title 7—Agriculture > Subtitle B—Regulations of the Department of Agriculture > CHAPTER XVIII—RURAL HOUSING SERVICE, RURAL BUSINESS-COOPERATIVE SERVICE, AND RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE > SUBCHAPTER H—PROGRAM REGULATIONS > PART 1980—GENERAL > Subpart E—Business and Industrial Loan Program

## Text

[See Subpart A, § 1980.22]
(a) All fees and charges must be specifically documented and justified on the Form RD 449-1 or on an addendum to the application at the time the loan request is submitted to Rural Development for processing. Allowable fees will be those reasonably and customarily charged borrowers in similar circumstances in the ordinary course of business and are subject to Rural Development review and approval.
(b) Packaging fees include services rendered by the lender or others in connection with preparation of the application and seeing the project through to final decision. These services may or may not be performed by an investment banker. If an investment banker provides needed assistance in addition to the packaging of the loan, additional charges may be added to the packaging fee. The maximum allowable packaging fees are 2 percent of the total principal amount of the loan up to $1 million and on all amounts over $1 million, an additional one-fourth percent up to total maximum fee of $50,000. Packaging fees, investment banker fees and other fees and charges not specifically provided for in this section are permitted subject to Rural Development review and approval. Loan proceeds may be used to pay fees as specifically authorized under §§ 1980.411(a)(12) and (13). Packaging fees, investment banker fees, and any other fees or charges shall not be paid from loan proceeds.
[52 FR 6501, Mar. 4, 1987, as amended at 53 FR 45258, Nov. 9, 1988]

## Nearby sections

- [7 CFR § 1980.401 § 1980.401 Introduction.](https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.401.md)
- [7 CFR § 1980.402 § 1980.402 Definitions.](https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.402.md)
- [7 CFR § 1980.403 § 1980.403 Citizenship of borrowers.](https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.403.md)
- [7 CFR § 1980.405 § 1980.405 Rural areas.](https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.405.md)
- [7 CFR § 1980.411 § 1980.411 Loan purposes.](https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.411.md)
- [7 CFR § 1980.412 § 1980.412 Ineligible loan purposes.](https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.412.md)
- [7 CFR § 1980.413 § 1980.413 Transactions which will not be guaranteed.](https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.413.md)
- [7 CFR § 1980.414 § 1980.414 Fees and charges by lender and others.](https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.414.md)
- [7 CFR § 1980.419 § 1980.419 Eligible lenders.](https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.419.md)
- [7 CFR § 1980.420 § 1980.420 Loan guarantee limits.](https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.420.md)
- [7 CFR § 1980.423 § 1980.423 Interest rates.](https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.423.md)
- [7 CFR § 1980.424 § 1980.424 Term of loan repayment.](https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.424.md)
- [7 CFR § 1980.425 § 1980.425 Availability of credit from other sources.](https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.425.md)
- [7 CFR § 1980.432 § 1980.432 Environmental review requirements.](https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.432.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/ecfr-7-1980.414. Check the current official text before relying on it. Not legal advice.