The Farm Service Agency offers loans to help farmers and ranchers get the financing they need to start, expand or maintain a family farm. Explore our programs below or visit our Farm Loan Discovery Tool to find the loan that’s right for you.
Current FSA Loan Interest Rates
|Farm Operating- Direct||3.875%|
|Farm Operating – Microloan||3.875%|
|Farm Ownership – Direct||4.125%|
|Farm Ownership – Microloan||4.125%|
|Farm Ownership – Direct, Joint Financing||2.500%|
|Farm Ownership – Down Payment||1.500%|
|Emergency Loan – Amount of Actual Loss||3.750%|
|Effective as of October 1, 2022|
Guaranteed Loan Maximum Interest Rates
Interest rates charged by guaranteed lenders at the time of closing or restructuring may not exceed the following:
For loans with rates variable or fixed for less than 5 years: The prior business day’s SOFR plus 6.75%.
For loans with rates fixed for 5 years or more: The prior business day’s 5 Year Treasury note rate plus 5.5%.
*Note: If SOFR is less than 1.75%, lenders may add an additional 1% to each of the respective maximums above.
Lenders are not required to directly price their loans on the SOFR or 5 year Treasury. These rules simply establish the maximum interest rates that may not be exceeded by guaranteed lenders at closing.
** SOFR is the Standard Overnight Financing Rate
You can look up the current SOFR and Treasury Rates by using these links:
Treasury Yields https://home.treasury.gov/resource-center/data-chart-center/interest-rates/TextView?type=daily_treasury_yield_curve&field_tdr_date_value=2022
For a full description of the maximum interest rate rules view 2-FLP_Interest_Rate_Rules.
Website link: https://www.fsa.usda.gov/programs-and-services/farm-loan-programs/index