|
FSA guaranteed loans provide lenders (e.g., banks, Farm Credit System institutions, credit unions) with a guarantee of up to 95 percent of the loss of principal and interest on a loan. Farmers and ranchers apply to an agricultural lender, which then arranges for the guarantee. The FSA guarantee permits lenders to make agricultural credit available to farmers who do not meet the lender's normal underwriting criteria.
FSA guaranteed loans are for both Farm Ownership and Operating purposes. Like the Direct Loan Program, a percentage of Guaranteed Loan funds are targeted to beginning farmers and ranchers and minority applicants.
FSA issues additional guidance on the analysis and evaluation of new direct loan applications and/or requests for guarantee for contract poultry growers.
- Notice FLP-540, Guidance for Making and Servicing Direct and Guaranteed Loans to Poultry Producers. (PDF 30.7 KB)
USDA upgrades to the LINC System for electronic lender reporting take effect on August 18, 2008.
- Enhancements to existing capabilities include new functions for entering status reports and viewing the loan portfolio. In addition, a search tool is now available which allows cross-referencing of borrower IDs to Tax IDs/SSNs.
USDA adds electronic reporting capabilities for lenders:
- Revised Lender's Agreement: FSA-2201 (PDF 174 KB)
2-FLP Handbook Revisions Effective December 31, 2007
Handbook 2-FLP, Guaranteed Loan Making and Servicing, was revised on December 31, 2007. Throughout Revision 1, Amendment 1, FSA guaranteed forms have been renumbered. 2-FLP, Exhibit 1, contains the new form numbers and form titles. Additional minor changes include:
- The joint appeal requirement was removed. Applicants and borrowers may appeal adverse decision without the lender joining in the appeal. (See Paragraph 33 of 2-FLP)
- Several of the definitions in Exhibit 2 were revised for clarity and uniformity.
To download a current version of Handbook 2-FLP, you may click on the "Access the 2-FLP Handbook" link to the right.
Training modules for the Interest Assistance Program
Available Training Modules:
Further information and applications for FSA loan programs are available at the Agency's local county offices. These are usually listed in telephone directories in the section set aside for governmental/public organizations under the U.S. Department of Agriculture, Farm Service Agency. To locate your local FSA Office, click here.
|
