Farm Credit Canada (FCC) has extended its loan program designed to help young farmers purchase or improve farmland and buildings.
“Young people are seeing a bright future in agriculture and we share that vision,” said FCC President and CEO Greg Stewart. “We listen to our customers and are committed to developing products and services tailored to young farmers and the unique needs of the agriculture industry.”
Launched in March 2012, the Young Farmer Loan Program offers qualified producers who are under 40 years of age loans of up to $500,000 to purchase or improve farmland and buildings. The loan includes features and options that address this demographic and support their long-term success, including variable rates at prime plus 0.5 per cent, a special fixed rate and no loan processing fees.
FCC has approved more than $500 million in loans since the program was announced, and is now doubling its commitment to $1 billion for lending to young farmers.
“A strong agriculture industry is vital to the long-term prosperity of the country, so it’s great to see the continuation of this financing option,” Agriculture Minister Gerry Ritz said. “The very presence of FCC provides confidence and security for both FCC customers and non-customers to expand their operations and move the agriculture industry forward.”
The Young Farmer Loan enhances FCC’s suite of existing products and services that support young producers, such as the FCC Transition Loan, FCC Ag Knowledge Exchange events, FCC Publications, FCC on Campus, and FCC Management Software for both accounting and field management. In 2012-13, FCC approved $2.3 billion in financing to farmers under age 40, contributing to record disbursements of $7.7 billion to help customers expand or start their operations.
For more information on the FCC Young Farmer Loan, visit www.fcc.ca/youngfarmerloan or producers can call the local FCC office at 1-800-387-3232.