In brief
Money
USDA increases loan limit to $1,214,000
Steven Maurer, State Executive Director for Ohio’s Farm Service Agency, announced that the loan limit for the Guaranteed Loan Program will increase to $1,214,000. The limit is adjusted annually based on the “Prices Paid to Farmers Index,” compiled by the National Agricultural Statistics Service.
FSA guaranteed loans allow lenders to provide agricultural credit to farmers who do not meet the lender’s normal underwriting criteria. Farmers apply for a guaranteed loan through a commercial lender, and the lender arranges for the guarantee. Guaranteed loans can be used for both farm ownership and operating purposes.
Producers who are unable to obtain financing through a commercial lender, including a guaranteed loan, could be eligible for an FSA direct loan. These loans are made by FSA with government funds and the limit is $300,000 (except for Emergency Loans which have a limit of $500,000). The maximum combined guaranteed and direct farm loan indebtedness is now $1,514,000.
Contact the local FSA office for information. STAFF REPORT