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Show Production credit Association in lllchfield, of which Max Ilartlr is manager, made farm loans to 311 individuals or entities amounting to $18,4X7,923 Three hundred-forty one individuals or entities have received farm loans amounting to $48,487,923 from Production Credit Association in Richfield for the 1981, year said Max Hartle, Richfield manager. Hartle said his office has maintained this loan level for three years. The Richfield loan area takes in Sanpete, Wayne, Sevier, Piute, Garfield and to a limited amount, ' Kane, Millard and Beaver counties. The Richfield office is one ; of eight in Utah which "advanced a total loan amount of $206,754,625 into agriculture in 1981. The Richfield office made up 22 percent of that amount. Although the credit association shares offices with the Federal Land Bank and both serve the farmer by providing loans, the Federal Land Bank is limited to offering long term loans, while the credit association offers short-term and intermediate loans. It depends on the loan purpose since the credit association can offer loans which do not have to be paid off for 10 years, says Hartle. Most of the association's loans are annual loans for helping farmers with current crop needs. The office also offers help to farmers buying feeder calves who can then pay off the loan after selling the calves. "We tailor the payment to the program," Hartle said. The association however, provides loans only if the person is a bonafide farmer. That is, if it's a legal corporation, 50 percent of its assets have to be involved in a lifestock operation and 50 percent of its income has to come from agriculture. Currently, the interest rate on their loans is 16.77 percent, but it is also a floating interest rate for the 11)81 year. Ilartle's office is one of eight of fices operating in the Intermountain region. Association Reaches Record Year adjusted at the beginning of each month. "Many people think that it's government money (we loan) but that 1 is absolutely false. Every i dollar comes from private funds," says Hartle. "There has never been a delinquency on the bonds that have been paid. Because of that track record, people are willing to put their money into the farm credit system," he says. The money comes from selling bonds on the New York Stock Exchange and the association has 50 bonds outstanding at any one time, each with its own individual interest rate. That is why a small amount of change does not influence the interest rate. Nationwide, the farm credit system administers the loan program through 12 districts with the Federal Intermediate Credit Bank of Sacramento over the Richfield office. The Richfield office has nine employees. |