Emergency Farm Loans

Managing AgencyU.S. Department of Agriculturehttp://www.usda.gov/ 
Program Description
USDA'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 Requirements
Emergency 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.
Loan Terms
Loans for crop, livestock, and non-real estate losses are normally repaid within one to seven years, depending on the loan purpose, repayment ability and collateral available as loan security. In special circumstances, terms of up to 20 years may be authorized. Loans for physical losses to real estate are normally repaid within 30 years. In certain circumstances, repayment may be made over a maximum of 40 years.
Your Next Steps
The following information will lead you to the next steps to apply for this benefit.
Application Process
To apply for an emergency loan, applicants must submit an application form (FSA-2001, "Request for Direct Loan Assistance") and all other required documentation to their local USDA Service Center or FSA County Office.
Program Contact Information
You may also obtain information through your local FSA County Office or USDA Service Center. To locate the office nearest you, use the FSA Office Locator tool. More information about this program and how to apply can be found on FSA's Emergency Farm Loans page.