For the prompt payment guarantee plan, the seller must use a third party escrow agent approved by the Agency. The escrow agent will:

Provide the Agency a copy of the recorded Land Contract;

Handle transactions relating to the Land Contract between the buyer and seller;

Receive Land Contract installment payments from the buyer and send them to the seller;

Provide evidence to the Agency that property taxes are paid and insurance is kept current on the security property;

Send a notice of payment due to the buyer at least 30 days prior to the installment due date;

Notify the Agency and the seller if the buyer defaults;

Service delinquent accounts as specified in § 763.20(a);

Make demand on the Agency to pay missed payments;

Send the seller any missed payment amount paid by the Agency under the guarantee;

Notify the Agency on March 31 and September 30 of each year of the outstanding balance on the Land Contract and the status of payment; and

Perform other duties as required by State law and as agreed to by the buyer and the seller;

For the standard guarantee plan, the seller must use a third party servicing agent approved by the Agency. The servicing agent will:

Provide the Agency a copy of the recorded Land Contract;

Handle transactions relating to the Land Contract between the buyer and seller;

Receive Land Contract installment payments from the buyer and send them to the seller;

Provide evidence to the Agency that property taxes are paid and insurance is kept current on the security property;

Perform a physical inspection of the farm each year during the term of the guarantee, and provide an annual inspection report to the Agency;

Obtain from the buyer a current balance sheet, income statement, cash flow budget, and any additional information needed, perform, and provide the Agency an analysis of the buyer's financial condition on an annual basis;

Notify the Agency on March 31 and September 30 of each year of the outstanding balance on the Land Contract and the status of payment;

Send a notice of payment due to the buyer at least 30 days prior to the installment due date;

Notify the Agency and the seller if the buyer defaults;

Service delinquent accounts as specified in § 763.20(b); and

Perform other duties as required by State law and as agreed to by the buyer and the seller.