Farmer Loan Program Runs Out Of Money

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The Operating Loan Program geared to help farmers has run out of money and the USDA is looking for other funding sources.

The $2.65 billion allocated for the program is gone as requests for federal financial assistance grows in what USDA calls the worst agriculture downturn in more than a decade.

Loans in the program are considered as a last resort for farmers, but rural sector struggles with low commodity prices and high trade competition has more people relying on loan assistance.

The Farm Service Agency deals out the support and last month it told Congress it was tapping into half a billion dollars in emergency funding for a similar program. But there is no emergency funding option for the Operating Loan Program.

Right now, FSA loans are helping more than a 113,000 borrowers, totaling nearly $23 billion.