PROHIBITION ON PREPAYMENT OF NEW RURAL HOUSING LOANS.

SEC. 206. PROHIBITION ON PREPAYMENT OF NEW RURAL HOUSING LOANS. (a) In General.—Section 502(c)(1) of the Housing Act of 1949 is amended— (1) by inserting “(A)” after “(c)(1)”; (2) by redesignating subparagraphs (A) and (B) as clauses (i) and (ii), respectively; and (3) by adding at the end the following new subparagraph: “(B) The Secretary may not accept an offer to prepay, or request refinancing in accordance with subsection (b)(3) of, any loan made or insured under section 515 pursuant to a contract entered into on or after the date of the enactment of the Department of Housing and Urban Development Reform Act of 1989.”. (b) Conforming Amendment.— Section 502(c)(1) of the Housing Act of 1949 is amended— (1) by striking “after the date of enactment of this subsection,” and inserting the following: “after December 21, 1979, but before the date of the enactment of the Department of Housing and Urban Development Reform Act of 1989,”; and (2) by striking “after the date of enactment of this subsection and” and inserting the following: “after December 21, 1979, but before the date of the enactment of the Department of Housing and Urban Development Reform Act of 1989, and”.