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

1. (1) Provide the Agency a copy of the recorded Land Contract;
2. (2) Handle transactions relating to the Land Contract between the buyer and seller;
3. (3) Receive Land Contract installment payments from the buyer and send them to the seller;
4. (4) Provide evidence to the Agency that property taxes are paid and insurance is kept current on the security property;
5. (5) Send a notice of payment due to the buyer at least 30 days prior to the installment due date;
6. (6) Notify the Agency and the seller if the buyer defaults;
7. (7) Service delinquent accounts as specified in § 763.20(a);
8. (8) Make demand on the Agency to pay missed payments;
9. (9) Send the seller any missed payment amount paid by the Agency under the guarantee;
10. (10) 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
11. (11) Perform other duties as required by State law and as agreed to by the buyer and the seller;

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

1. (1) Provide the Agency a copy of the recorded Land Contract;
2. (2) Handle transactions relating to the Land Contract between the buyer and seller;
3. (3) Receive Land Contract installment payments from the buyer and send them to the seller;
4. (4) Provide evidence to the Agency that property taxes are paid and insurance is kept current on the security property;
5. (5) Perform a physical inspection of the farm each year during the term of the guarantee, and provide an annual inspection report to the Agency;
6. (6) 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;
7. (7) 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;
8. (8) Send a notice of payment due to the buyer at least 30 days prior to the installment due date;
9. (9) Notify the Agency and the seller if the buyer defaults;
10. (10) Service delinquent accounts as specified in § 763.20(b); and
11. (11) Perform other duties as required by State law and as agreed to by the buyer and the seller.