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Show Loans Available For Farm Emergencies A new economic emergency loan service for farmers or. farmers and ranchers i who have financial problems caused by credit shortage or cost-price squeeze is now in effect through the U.S. Farmers Home Administration iFmllA) Franklin Keith Dalton, the agency's acting supervisor for Garfield County, reports FmllA is prepared to take ap plications at the FmHA County Office in Panguitch Economic emergency loans are authorized under the Agricultural Credit Act of 1978 signed by President Carter Aug. 4 They offer special help to farmers who are hard-pressed by recent shortage of credit from their regular lenders or by debts accumulated during the recent period of low farm prices. Dalton said the loan program was enacted by congress, with administration support, in recognition of the fact that "economic conditions, as well as weather, are often beyond farmers' control " Any established farm operator individual, partnership, corporation or cooperative experiencing scarce credit or an overload of debt coming due, may apply for up to $400,000 of credit through FmHA Loans won't be made to expand a farm operation Loans made directly by FmHA will be at an interest rate equivalent to the cost of money secured by the government through sale of its securities to the public, plus an administrative add-on of up to 1 percent. The rate initially will lie percent Guaranteed loans will he made at rates negotiated between borrower and lender, with FmllA providing the lender up to a 90 percent guarantee against loss Loans for operating purposes will be made for terms of up to 7 years, with loan consolidations and rescheduling for another 7 years per mitted. and 20 year payment authorized under special conditions Real estate loans may be made for up to 40 years Loans for annually-recurring ex-peases will be repayable annually |
