Oregon land for sale including farms, ranches, timberland, mountain, lake & country homes.
Rural Land Financing Center
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Frequently Asked Questions About Farm Credit What is Farm Credit? The Farm Credit System is a nationwide network of cooperatively owned banks and lending cooperatives established by Congress in 1916 to provide agricultural producers and rural America with a reliable source of credit at reasonable cost. Is Farm Credit a government entity? No, it is a network of privately owned cooperatives. Who owns Farm Credit lending cooperatives? Farm Credit co-ops are owned by their borrowers, who also are co-op stockholders. The stockholders elect the board of directors who set policy and oversee management of the association. This ownership structure assures that a Farm Credit institution is accountable to its customer-stockholders, and decisions are made in the best interest of the customers. Is Farm Credit regulated? Yes, Farm Credit is regulated by the Farm Credit Administration, an independent federal agency, whose board members are appointed by the President of the United States. For more information, visit www.fca.gov. What makes Farm Credit different from other lenders? When Farm Credit cooperatives do well, they typically share their earnings with their borrower-stockholders in the form of patronage payments or dividends. These payments can have the effect of significantly reducing a customer’s overall cost of borrowing. Are Farm Credit interest rates competitive? Farm Credit is extremely competitive with other lenders. That is because, as a government-sponsored enterprise, they have a competitive source of capital: their AAA-rated Farm Credit securities, which are sold in the nation’s money markets. In fact, they have the second-lowest cost of funds next to the U.S. Treasury. Do Farm Credit loan officers have any special qualifications? Farm Credit loan officers typically have extensive education and experience in agricultural financing, banking, business and/or mortgage lending. In most cases, they live in the community, often grew up in an agricultural or rural area, and have a good understanding of local land values. Some loan officers are also certified rural real estate appraisers. |
