AgriFinancial offers Farm Service Agency (FSA) Guarantee Loans throughout the nation. These include loans with higher loan to values, beginning farmers, or higher credit risk customers. Contact us for more information on these programs.
- Fixed Rate Products have a fixed interest rate for the entire loan term. If the amortization exceeds the term, the loan will have a balloon payment at maturity. (i.e. On a 15-year fixed term loan with 25-year amortization, the loan balloons in 15 years and the balloon payment is due at that time.) AgriFinancial offers 7, 10, 15, 20, 25, and 30-year fixed rate products.
- Adjustable Rate Mortgage (ARM) Loan Products have a fixed interest rate for the initial period selected, then reprice and fix again for the same period. This continues throughout the loan term. (i.e. On a 3-year ARM, the loan will reprice every 3 years.) AgriFinancial offers 1, 3, 5, 7, 10, and 15-year ARM products, as well as a 1-month LIBOR product.
- Variable Rate Mortgage (VRM) Loan Products are fixed for an initial period, reprice, and are then fixed for the shorter of the same period or the remaining term of the loan. This continues throughout the entire loan term. (i.e. On a 10-year VRM with a 25-year term, the loan will reprice twice – at year 10 and year 20, then remain fixed for the final 5 years.) AgriFinancial offers 10 and 15-year VRM products.
Many of our products are offered with an open prepayment option; however, you do have the option to choose products with prepayment penalties.
- Open Prepayment – There is no fee for non-scheduled loan payment, but payments in excess of the scheduled payment must be made on any regularly scheduled payment date. Any prepayment made other than on a regularly scheduled payment date must be accompanied by interest to the next scheduled payment date. This also applies to payment-in-full of the loan prior to loan maturity.
- Partial Open Prepayment – Calculation of partial open prepayment penalties vary by product. Prepayment penalty is calculated as a percentage of the additional payment being made and is a sliding scale prepayment penalty. Most products' prepayment penalty is applicable in the first 5 years of the loan.
- Make Whole Prepayment – Any payment of the loan made before the maturity date requires a penalty on the difference between loan rate and investment rate of the loan.