Interest Assistance Program

To provide a 4 percent subsidy to farmers and ranchers, who do not qualify for standard commercial credit.

Guaranteed loans are serviced by a lender who has entered into a Lenders Agreement with the agency.

Agency - Department of Agriculture

Established in 1862, the Department of Agriculture serves all Americans through anti-hunger efforts, stewardship of nearly 200 million acres of national forest and rangelands, and through product safety and conservation efforts. The USDA opens markets for American farmers and ranchers and provides food for needy people around the world.

Office - Farm Service Agency State Offices can inform applicants of county office locations where applicants may apply for assistance.

FSA State Office locations are listed in Appendix IV of the Catalog.

Or visit the website at:

FSA has more than 2,500 county offices serving every rural county in the United States.

Program Accomplishments

Not available.

Uses and Use Restrictions

The Interest Assistance Program can be provided for Operating Loans (OL).

Under the interest assistance program, FSA will subsidize 4 percent of the interest rate on loans to qualifying borrowers.

Operating Loans (OL) may be used: (1) to finance livestock or farm equipment; (2) to pay annual operating expenses or family living expenses; or (3) to refinance debts under certain conditions.

Lines of Credit (LOC) are operating loans for annual operating loan purposes.

Funds may be advanced and repaid (revolve) throughout the year.

The total loan limit for a guaranteed loan cannot exceed $731,000.