Serving Minnesota and Northern Iowa.

FSA Farm Operating and Ownership Loans

By Adam Gritz

Date Modified: 10/16/2012 2:00 PM

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The Farm Service Agency offers loans for farmers and ranchers to purchase farmland and finance agricultural operations.

FSA loan programs are designed to help producers who are temporarily unable to obtain private or commercial credit. In many cases, applicants are beginning farmers who have insufficient net worth to qualify for financing through a commercial lender. In other instances, borrowers might have suffered setbacks from natural disasters or might be persons with limited resources.

Farm ownership loans or farm operating loans may be obtained as direct loans for a maximum of up to $300,000 each. Effective Oct. 1, guaranteed loans can total a maximum indebtedness of $1,302,000. Emergency loans are direct loans for farmers who may have suffered physical or production losses in disaster areas designated by a Presidential or Secretarial disaster declaration.

Rural Youth Loans, Loans to Beginning Farmers and loans for socially disadvantaged applicants are also available through FSA. For details contact your local county office staff for an appointment with a farm loan officer.