Emergency Farm Loans Benefits
Program DescriptionUSDA's Farm Service Agency (FSA) provides emergency loans to help farmers and ranchers who own or operate a farm/ranch located in a county declared by the President or designated by the Secretary of Agriculture as a primary disaster area or quarantine area.
Emergency loan funds may be used to:
- Restore or replace essential property
- Pay all or part of production costs associated with the disaster year
- Pay essential family living expenses
- Reorganize the farming operation
- Refinance certain debts, excluding real estate
Loan applicants may borrow up to 100 percent of their total actual production and/or physical losses. The maximum loan amount is $500,000.
General Program RequirementsEmergency loans may be made to farmers and ranchers who:
- Own or operate land located in a county declared by the President or designated by the Secretary of Agriculture as a primary disaster area or quarantine area. All counties contiguous to the declared, designated, or quarantined primary counties also are eligible for emergency loans. A disaster designation by the FSA administrator authorizes emergency loan assistance for physical losses only in the designated and contiguous counties;
- Are established family farm operators and have sufficient farming or ranching experience;
- Are citizens or permanent residents of the United States;
- Have suffered at least a 30 percent loss in crop production or a physical loss to livestock, livestock products, real estate or chattel property;
- Have an acceptable credit history;
- Are unable to receive credit from commercial sources;
- Can provide collateral to secure the loan and;
- Have repayment ability.