Plus, 99% of the recipients throw the letter in the garbage anyway!

I believe the courts will allow local and state governments to make recipients of federal benefits to be a protected class.Even without such a protection, you have to consider a disparate impact claim. 

I am in a position to potentially become a hard money/private lender and am looking for a company with whom to join and utilize their services as a lender ~ not a loan recipient. 

The 1099C is "forgiveness of (bad) debt"; the recipient of the 1099C will have to declare the amount that was forgiven as ordinary income for the corresponding tax year.

@Shea SpinelliThis is common with owner financing.Usually, you just report the interest and you're required to report the information of the recipient: name, identifying number, and address.  

Just offer to rent them to section 8 recipients.

First download your state landlord tenant laws.Social Security is deposited into recipients accounts on the 3rd of each month.. so you could agree not late fee if paid in full by the 4th..

@Kreighton Reed I am now a USDA recipient.  

I have rentals, flipped and am a full time mortgage lender with Regent Financial, a best of Omaha recipient 6 years now.

Depending on the wording, of course, they often mislead the recipient, giving them the idea that you are just some average Joe who fell in love with their house.