Ag Credit is distributing a record $14.5 million in profit sharing to stockholding borrowers.
The refunds amount to about 27 cents on every dollar of loan interest accrued last year. At an average rate of 5.29 percent, that would reduce a borrower’s interest for 2010 to 3.86 percent.
Ag Credit, part of the national Farm Credit System, is a financial co-op that provides loans to farmers, agricultural businesses and rural communities. As a cooperative, Ag Credit’s borrowers are its stockholders. When the cooperative earns a profit, it puts a portion back into the pockets of its stockholders. Each receives a check twice a year containing their share of annual profits.
“Profit sharing is a key part of the value proposition of our cooperative,” said Ag Credit President Neil Jordan. “By focusing on sound lending and strong capital we continue to be a reliable financial partner to farmers and agricultural community in 18 Ohio counties.”… Continue readingRead More »