Farmers Home Administration:

Farm Loans to Delinquent Borrowers

RCED-94-94FS: Published: Feb 8, 1994. Publicly Released: Feb 8, 1994.

Additional Materials:

Contact:

Office of Public Affairs
(202) 512-4800
youngc1@gao.gov

Pursuant to a congressional request, GAO provided information on the Farmers Home Administration's (FmHA) direct and guaranteed farm loan programs, focusing on the: (1) levels of outstanding debt, delinquencies, and losses on farms loans, and (2) extent that FmHA has approved direct or guaranteed loans to current and previously delinquent borrowers.

GAO found that: (1) of the $18.8 billion in outstanding FmHA direct and guaranteed loans to U.S. farmers in 1993, $5.4 billion was held by delinquent borrowers; (2) between 1991 and 1993, FmHA lost a total of $5 billion due to reductions in the delinquent debt of direct loan borrowers and paid a total of $160 million in losses on guaranteed loans; (3) between 1991 and 1993, FmHA made new loans totalling $55 million to 936 borrowers that had their delinquent loans reduced or forgiven and $60 million in new guaranteed loans to 408 borrowers after it incurred losses on their previous guaranteed and direct loans; (4) as of September 1993, nearly 21 percent of the previously delinquent borrowers were delinquent on their new direct loans and about 4 percent of the borrowers that received new guaranteed loans were delinquent on their loans; and (5) FmHA made additional loans totalling $90 million during fiscal years 1991 to 1993 under a policy that allows delinquent borrowers to obtain new direct loans for operating expenses.

Jun 9, 2016

May 26, 2016

May 19, 2016

Apr 14, 2016

Jan 14, 2016

Jan 8, 2016

Jul 9, 2015

Jun 18, 2015

May 26, 2015

May 20, 2015

Looking for more? Browse all our products here