Federal Agricultural Mortgage Corporation (A351)

Overview

The Federal Agricultural Mortgage Corporation, often referred to as Farmer Mac, is instrumental in providing a secondary market for a variety of loans in the United States. With its inception in 1987, the entity has steadfastly served the agricultural sector by enhancing credit availability to borrowers. Its headquarters is strategically located in Washington, D.C., embodying its pivotal role in the nation's agricultural finance landscape. Through its multifaceted operations that span across Corporate AgFinance, Farm & Ranch, Rural Utilities, and Renewable Energy segments, Farmer Mac is dedicated to fostering the growth and sustainability of rural America. The corporation underscores the significance of agricultural and rural financing, employing innovative solutions to meet the evolving needs of its clientele.

Products and Services

Farmer Mac's products and services are meticulously designed to cater to the diverse needs of the agricultural and rural sectors. These include:

• Agricultural Finance: This segment focuses on the purchase and retention of eligible loans and securities. It guarantees the payment of principal and interest on securities that symbolize interests in, or obligations secured by, pools of eligible loans. The servicing of eligible loans and the issuance of Long-Term Standby Purchase Commitments (LTSPCs) for these loans are also integral components of this service, ensuring financial stability and support for the agricultural sector.
• Rural Infrastructure Finance: Addressing the critical needs for infrastructure in rural areas, this business line is dedicated to the purchase of rural utilities and renewable energy loans. It also guarantees securities backed by these loans, providing LTSPCs for pools of eligible rural utilities loans. These efforts are pivotal in financing loans for electric or telecommunications facilities provided by lenders organized as cooperatives or other financial institutions, thereby bolstering the development of vital infrastructure in rural communities.