EZ Guarantee Loans
This icon indicates that there may be additional incentives or benefits for those who are underserved. Learn more about our terminology here.
What is this program?
The Farm Service Agency (FSA) offers loans to help farmers and ranchers get the financing they need to start, expand, or maintain a family farm, but a guaranteed loan allows a USDA-approved commercial lender to issue and service a loan. These loans use a simplified application process to help beginning, small, underserved family farmers and ranchers who often face limited financing options.
|
Managing USDA Agency |
Type of Assistance |
Who Should Apply |
Learn More |
|---|---|---|---|
| FSA | Loan: Up to $100,000 from traditional lenders or $50,000 from microlenders | New, niche, family, underserved, or small farm operations who do not meet normal underwriting criteria from lenders | Visit |
How can I use this program?
These loans can be used to:
- Pay for the purchase of a farm;
- Enlarge an existing farm;
- Construct new farm buildings and/or improve structures;
- Pay closing costs;
- Promote soil and water conservation and protection;
- Refinance debt from another creditor;
- Purchase equipment;
- Purchase livestock;
- Pay for other operating needs.
Who or what is eligible and what are the eligibility requirements?
To qualify for assistance, the applicant must:
- Not be larger than a family-sized farmer;
- Have a satisfactory history of meeting credit obligations;
- Be unable to obtain credit without the guarantee at reasonable rates and terms;
- Meet all other loan eligibility requirements.
Are there any deadlines?
No. You should begin the application process a few months in advance of needing the funds to allow time for the request to be processed.
Is there anything else I should know?
- Repayment terms: EZ loans can go up to seven years for operating loans and 40 years for farm ownership loans.
- Loan interest rates are determined by the lender but must be below maximum levels established by FSA. See current FSA Loan Interest Rates here.
- Collateral required: Lenders will determine collateral based on loan purpose. Possible collateral could include, but is not limited to, crops, livestock, equipment, other chattels, and/or real estate.
How do I apply?
- Use the Loan Assistance Tool to check your eligibility for FSA Loans, discover FSA loan types, learn about FSA Loan requirements, and walk through the easy-to-understand instructions when completing the forms.
- Apply at your local USDA Service Center.
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Page last updated: May 2, 2023