FSA Interest Assistance Program

FSA Interest Assistance Program — Interest assistance is provided on guaranteed loans if cash flow projections indicate the necessity for a feasible repayment schedule. The program is a valuable tool. However, program funding is often inadequate. NASDA recommends that following the year end analysis of the farm/ranch operation, only the actual amount of assistance required for repayment be provided. Any interest assistance obligated but not distributed should be retained by the program and added to the next fiscal year's appropriation. NASDA also recommends a higher level of interest assistance be provided to beginning farmers demonstrating the need for additional assistance.Interest assistance is provided on guaranteed loans if cash flow projections indicate the necessity for a feasible repayment schedule.  For producers needing interest assistance, the program is a valuable tool.  However, funding for interest assistance is often limited.  NASDA urges that guaranteed loan interest assistance be reeâ€evaluated following the year end analysis of the farm/ranch operation and that only the actual amount of needed assistance be provided.

Any interest assistance obligated but not distributed should be added to the next fiscal year's appropriation. It is also urged that a higher level of interest assistance be provided to beginning farmers demonstrating the need for assistance.