USDA temporarily suspends debt collections, foreclosures, and other penalties on farm loans - Entrepreneur Generations

The U.S. Department of Agriculture announced this week that it will temporarily suspend non-judicial foreclosures, debt-offsets, wage garnishments, and collections on past-due farm loans, citing the financial stresses of the coronavirus pandemic, according to a USDA press release. The action applies to borrowers under the Farm Storage Facility Loan and the Direct Farm Loan programs, which are administered by the Farm Service Agency.

"Additionally, USDA has extended deadlines for producers to respond to loan servicing actions, including loan deferral consideration for financially distressed and delinquent borrowers. In addition, for the Guaranteed Loan program, flexibilities have been made available to lenders to assist in servicing their customers," according to the press release.

More than 12,000 farmers, ranchers and producers—about 10 percent of the more than 129,000 FSA borrowers nationwide—should be eligible for the new relief, according to USDA data. The suspension will remain in place until further notice, and is expected to continue as long as the nationwide coronavirus disaster declaration is in place, says the press release.

from The Rural Blog https://ift.tt/2YBlRml USDA temporarily suspends debt collections, foreclosures, and other penalties on farm loans - Entrepreneur Generations

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