Higher limits are now available on U.S. Department of Agriculture farm loans.
The 2018 Farm Bill increased the amount that producers can borrow to purchase farms or cover operating expenses. The increase is through direct and guaranteed loans through the Farm Service Agency. Changes include the Direct Operating Loan limit increasing to $400,000, which helps producers pay for operating expenses, machinery, equipment, seed, feed, and more. The Direct Farm Ownership Loan limit doubled to $600,000. Also, producers can receive both a $50,000 Farm Ownership Microloan and a $50,000 Operating Microloan. In the past it was $50,000 combined. Those who had debt forgiveness as part of an approved restructuring plan with the FSA are now eligible to apply for emergency loans.