The size and strength of the Farm Credit System, coupled with its federal charter, make it possible for System institutions to obtain funds at competitive rates.
Farm Credit System securities are sold to investors in the form of system wide bonds and discount notes and are the joint obligations of all System banks. Investors include commercial banks, thrifts, governments, investment funds and individuals.
The Farm Credit System is one of six “Government-sponsored enterprises created by Congress. GSE’s are privately owned corporations that help finance important sectors of the nation’s economy. Farm Credit’s charter is to serve agriculture and rural America.
The majority of funds to finance Ag Credit loans come from the sale of System securities in the nation’s money markets.
Several key service entities provide national support for the Farm Credit System.
Safety & Soundness
The FCA requires all Farm Credit System banks and associations to meet financial standards.