Special to The Hays Daily News

Randal Thiel, farm loan manager of the U.S. Department of Agriculture Farm Service Agency for Graham, Ellis, Rooks, Sheridan and Trego counties, announced the availability of farm operating and farm ownership loans for women and members of minority groups who want to purchase or operate a family-size farm.

Each year, the Farm Service Agency earmarks a portion of its farm loan funding for socially disadvantaged applicants, people who have been subjected to racial, ethnic or gender inequality without regard to their individual qualities. Socially disadvantaged applicants can be women, black, American Indians, Hispanics, Asian and Pacific Islanders and Alaskan Natives.

While funding is earmarked for loans to socially disadvantaged applicants, loan approval is neither automatic nor guaranteed.

Socially disadvantaged applicants must meet the same eligibility criteria as other applicants. Applicants must be U.S. citizens; have a satisfactory history of meeting credit obligations; have sufficient education, training or experience managing or operating a farm; possess legal capacity to incur debt; and be unable to obtain credit elsewhere.

The agency can make direct loans to applicants who are unable to get commercial credit or provide loan guarantees to commercial lenders.

Guaranteed loans may be made by any lending institution subject to Federal or state supervision (banks, savings and loans, and units of the Farm Credit System. FSA typically guarantees 90 or 95 percent of the loan against any loss that might be incurred if the loan fails.

Applicants can use operating loans to purchase livestock, equipment, feed, seed or pay other business related expenses. Operating loans are usually repaid in one to seven years.

For more information, contact the Farm Service Agency at the county USDA Service Center.