The Fair Credit for Farmers Act of 2025 would change federal farm loan and appeal rules. For eligible farmers and ranchers who are delinquent or financially distressed, it would defer payments on most direct farm loans for two years, extend repayment periods, and set the interest rate on remaining principal at 0.125% during that period. It would also waive certain fees on guaranteed loans for beginning, veteran, limited-resource, and socially disadvantaged producers.
The bill would change loan eligibility, refinancing, and collateral rules. It would require clearer explanations when certain Farm Service Agency decisions deny an application. It would also expand access to equitable relief in some cases and change the burden of proof in appeals for appellants with adjusted gross income of $300,000 or less under specified tests.
If you are a farmer or rancher with a qualifying direct farm loan and are delinquent or financially distressed, payments may be deferred for two years under the bill. Some covered producers could have guaranteed-loan fees waived. The bill would also change loan application and appeal procedures, including rules for collateral, prior debt write-downs, and certain denials or reversed decisions.
The bill does not provide a total cost estimate. It sets loan terms, including a temporary 0.125% interest rate on remaining principal for qualifying direct loans, and requires waivers of certain guaranteed-loan fees for covered producers.
No publicly available information.
No publicly available information.