Rising interest rates top the list at the National Agricultural Machinery Show
The National Farm Machinery Show in Louisville continues today. Many people attend the show to see all the gear, but they end up doing more than that. Many resources for farmers are available at the show, including from financial institutions.
“Interest rates. That’s always the first question we get,” says Josh Dickson, National Sales Manager for AgriFinancial, of what’s being talked about at their booth during SNSF.
“You know, we saw a lot of low interest rates for a period of 6 months and then all of a sudden they started going up a bit. Still, of course, rates at which people want to borrow money, but, at the end of the day, they’re not as good as they were a year ago. This is the question that comes to mind. »
Interest rates are rising due to action by the Federal Reserve to help fight inflation. What the Fed will do next is the big unknown.
“That’s going to be the multi-million dollar question… The big issue is what’s happening with the bond market and what the Fed is doing with rates. Of course, that affects everything. It’s not one for one. If it goes up by a quarter, does that mean our rates go up by a quarter? Not necessarily, but it’s something where they hedge their bets a bit more because no one knows what the future holds and it’s a bit more volatile than in the past. So we’re seeing higher interest rates because of these current issues. »
As Dickson mentioned, the interest rates available today are still good, and AgriFinancial can help you find the type of loan you’re looking for.
“A lot of people can do term financing on real estate, just like us. It depends on what you feel comfortable doing in the market. If you want a short term fixed rate or a long term fixed rate, we have anywhere from a 30 day fixed term to a 30 year fixed term. So many options we have. But our key product will be our farm line of credit. What it allows you to do is that it is a liquid product where you can secure with real estate. If you don’t have a purchase in mind right now, that will give you at least a 5 year window until you can have it in cash where you can withdraw it, pay it back as much as you’ I would like, and if any opportunity arises for input prices, you want to lock them in faster, or you want to make a real estate purchase, then this would give you the opportunity to do so.
Stop by booth 7655 in the South Wing of the National Farm Machinery Show or visit AgriFinancial online at cgb-agfi.com.