FSA farm loans offer access to funding for a wide range of producer needs, from securing land to financing equipment purchases. Guaranteed loans are financed and serviced by commercial lenders. FSA provides up to a 95 percent guarantee against the possible financial loss of principal and interest. Guaranteed loans can be used for both farm ownership and operating purposes.
FSA saw a continuing strong demand for guaranteed loans during the fiscal year 2021. FSA issued more than $3.4 billion in guaranteed farm ownership and operating loans. This includes almost $1.2 billion for beginning farmers. The number of guaranteed borrowers has grown by 10 percent during the past decade, and FSA expects the increasing demand for farm loans to continue into the next fiscal year.