The USDA’s Farm Service Agency (FSA) is now offering annual installment deferral options for farm storage facility loan borrowers who have experienced hardship from the pandemic or other production challenges. It’s a one-time annual installment payment deferral option with no fees or prepayment penalties for borrowers who choose this FSFL loan flexibility option.
Why it Matters: Farmers have experienced a devastating blow due to the pandemic, and the FSA is looking for ways to alleviate financial stress.
What We Know: The FSFL installment payments will remain the same (except for the last year), and the original loan interest rate and annual payment due date will remain the same. Because the installment payment deferral is a one-year loan term extension, the final payment will be higher due to additional accrued interest.
Borrowers who are interested in exercising the one-time annual installment deferral option should contact FSA to make the request and complete the required forms.
Learn More: USDA Offers Annual Installment Deferral Option for Farm Storage Facility Loan Borrowers