### Question
Can you define what direct loan obligation means?


### Answer
**Direct loan obligation** is defined as the following in *49 U.S.C. § 22401*:

> a binding agreement by the Secretary to make a direct loan when specified conditions are fulfilled by the borrower

#### Citation:
  - *49 U.S.C. § 22401*
  - Heading: **SUBTITLE V-RAIL PROGRAMS > PART B-ASSISTANCE > CHAPTER 224-RAILROAD REHABILITATION AND IMPROVEMENT FINANCING**

