FSA Targets Funds for Socially Disadvantaged Farmers
The Georgia State Farm Service Agency (FSA) has announced the availability of $3.7 million in direct loan funds for Socially Disadvantaged (SDA) individuals who want to purchase or operate a family-size farm in fiscal year 2008.
In Fiscal Year 2007, which ended September 30, 2007, Georgia Farm Loan Programs made 119 direct SDA loans totaling more than $4.4 million. "This special financing is for people who have been subjected to racial, ethnic or gender inequality without regard to their individual qualities,” said Susan Holmes, State Executive Director of the Georgia Farm Service Agency. “SDA members include women, African Americans, American Indians, Hispanics, Asian and Pacific Islanders and Alaskan Natives," Holmes added.
The SDA program provides direct and guaranteed assistance in the form of farm operating and farm ownership loans. Direct loans are made to applicants from FSA. Guaranteed loans are issued by lending institutions, but typically 90 or 95 percent of the loan is guaranteed by FSA.
Operating loans may be used to purchase livestock, equipment, feed, seed, and other business related expenses. Repayment terms run from one to seven years. Ownership loans provide capital to purchase or enlarge a farm, construct or improve buildings; promote soil and water conservation and pay closing costs. Direct ownership loan terms are up to 40 years. Guaranteed loan terms are established by the lender.
Qualified candidates are provided information and assistance to develop sound management practices, analyze problems and utilize available resources essential for successful farming operations to cope with the changing agricultural environment. SDA loan applicants do not receive automatic approval. Individuals must be U.S citizens with a satisfactory history of meeting credit obligations; have sufficient education, training or experience managing or operating a farm; possess legal capacity to incur debt; and be unable to obtain credit elsewhere.
Contact your local FSA County Office or
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