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At Alabama Ag Credit, we recognize that
the future of American agriculture depends on a new generation of
producers. That is why we have developed a loan program specifically
for the young and beginning farmers of South Alabama.
Who
is a Young or Beginning Farmer?
Our
New Generation Loan Program is designed to assist people who fit
into one or more of these categories:
- Young
farmer – a farmer, rancher, or producer or harvester of
aquatic products who is age 35 or younger as of the loan transaction
date
- Beginning
farmer – a farmer, rancher, or producer or harvester of
aquatic products who has 10 years or less farming, ranching
or aquatic experience as of the loan transaction date
What
is the New Generation Loan Program?
Through
our New Generation Loan Program, we provide competitive financing
for young and beginning farmers to the full extent of their creditworthiness.
This loan program offers reduced loan closing costs and underwriting
standards for the purchase or refinancing of land.
Eligibility
Eligible
borrowers must fit the definitions of a young or beginning farmer;
must be the sole owner or operator of the security; some prior
agricultural production experience is required. It is our intent
to benefit individuals whose primary vocation is farming and agribusiness.
Borrowers requiring a co-signer as a credit enhancement are also
eligible.
Loan
Size
Without
a government guarantee, a borrower may finance up to $250,000.
With a guarantee, the maximum loan amount is $500,000. To help
borrowers obtain additional down payment toward a purchase, we
give consideration to joint financing. Sponsorships
and Donations
Alabama Ag Credit is committed to
supporting the state’s new generation of producers. Whether it’s
a 4-H member buying a show heifer for a foundation herd, a young
person taking over the family farm, or an older couple investing
in a new ag venture, we applaud their efforts. We
sponsor or donate to numerous organizations that help educate
young and beginning farmers. These organizations include:
- Alabama
Young and Adult Farmers
- Alabama
Extension Service Records and Analysis Group
- 4-H
- FFA
- Alabama
Council of Cooperatives’ Young Couples Conference
- Alabama
Council of Cooperatives’ Youth Conference
- Farm
Credit System Foundation
- Farm-City
Week programs
- Agriculture
trade shows and commodity tours
- Alabama
Agriculture and Forestry LEADERS Program
- Alabama
Agribusiness Council
| To
learn more about our New Generation Loan Program, including funding
requirements and limitations, contact your local Alabama Ag Credit office. |
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