Application Approval or Rejection
Upon approval of an application by the director, deputy director or their designees or members of the commission, a loan insurance authorization will be issued setting forth the terms and conditions upon which the loan will be insured.
No loan insurance authorization shall become effective until the financial institution has paid the initial loan insurance premium required by OAR 123-021-0110. Such payment, along with an executed loan insurance authorization, shall indicate the financial institutions acceptance of the terms of the loan insurance authorization.
No loan insurance authorization shall be effective unless a loan insurance agreement has been executed by the financial institution and the Department and remains in effect.
In the event the director or deputy director or their designees reject an application, upon written request, the Department will promptly send the financial institution a notice, including reasons for the rejection. The notice shall include a statement of the borrowers right to appeal the directors or deputy directors or their designees decision to the commission.