The U.S. Department of Agriculture's Guaranteed Loan Program has increased its loan limit to $1,112,000, effective Oct. 1, 2009. Each year, the National Agricultural Statistics Service adjusts the limits based on the Prices Paid to Farmers Index. The loan program allows farm credit lenders to extend credit to qualified applicants who might not otherwise meet lending criteria.
The Farm Service Agency (FSA) offers a Direct Loan Program as an alternative for those unable to obtain financing from a commercial lending source. Direct farm loans are government-funded and made by FSA. Farmers interested in applying for a direct loan should contact their local FSA office.