Farm loans are those loans that are dedicated to cover the expenses of the farmers. These kinds of loans aren’t that popular among American lenders. There is fewer offers and options when it comes to farm loans comparing to personal or retail loans, for instance. Still, there are variants to finance your deal.
USDA or the United States Department of Agriculture helps American farmers to get loans on affordable conditions.
The Farm Service Agency (FSA) is a so-called concentration of the agencies that offer farm loans either for the beginners or for the experienced farmers. There are different programs for farmers depending on the size of the farm, its revenue, financial background, etc. The official website of the USDA contains detailed information about the possible loan options.
EDC (Economic Development Council) offers loans for technical equipment, machinery, and other technical supplies. So, it’s a kind of farm equipment loans.
Farm loans belong to the government loan programs as more than 70% of the farm loans are funded by the country. It’s possible to apply up for $500,000. Private financial agencies and banks will lend a smaller sum but the conditions might be more affordable.
Farm loans with bad credit are possible. Still, you should negotiate about it directly with your potential lender.