USDA to Set Thresholds on Interest Rates for Guaranteed Farm Loans

The U.S. Department of Agriculture is seeking comments on an interim rule that sets thresholds on interest rates charged by lenders on FSA guaranteed farm ownership and operating loans. The change would clearly set the maximum interest rate lenders may charge to borrowers. Lenders have expressed a desire to see greater clarity in FSA’s interest rate policy. At the same time, FSA seeks greater consistency with industry standards and other government agencies that administer similar programs. “By providing clear thresholds, USDA is ensuring greater certainty to producers, making compliance easier for our lenders and ensuring greater benefits for all farmers and ranchers,” said Agriculture Secretary Tom Vilsack. Learn more or submit a comment.