Vermont Agricultural Credit Corporation

Eligibility

  • Vermont residents who are or will be engaged in agriculture within the state; and
  • A current or prospective owner/operator of agricultural land or equipment and/or livestock in the state.

Loan Purposes:

Farm Loan: Ownership:

  • To acquire or enlarge a farm or agricultural facility;
  • To make capital improvements, including construction, purchase and improvement of farm and agricultural facility buildings;
  • To promote soil and water conservation and protection;
  • To refinance indebtedness incurred for farm ownership; and
  • VACC’s interest rate is variable, and is based on VACC Prime (currently 4%), minus .5%.

Farm Loan: Operations:

  • To purchase livestock, farm equipment, or fixtures;
  • To pay annual operating expenses of a farm operation or agricultural facility; and
  • To pay farm loan closing costs and refinance indebtedness.

Farm Loan Rates and Terms

  • Maximum aggregate loans outstanding to any borrower at any time may not exceed $1,355,000. This limit is subject to adjustment each year;
  • Attractive variable or fixed interest rates based on VACC’s cost of funding; ( see Current VACC Rates; )
  • Most VACC loans will be guaranteed by the USDA Farm Service Agency; and
  • Terms will be matched to the life of the asset being financed; maximum term is 20 years.

Fees

  • .5% commitment fee for VACC (this does not include the FSA guarantee fee);
  • $250 minimum;
  • $2,500 maximum;
  • $25 credit report fee;
  • $18 flood insurance certification (if required);
  • Appraisal reimbursement unless loan is denied;
  • Document recording/discharge fees; and
  • No application fee.

Application Process

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