TeachMeFinance.com - explain Loan rate
Loan rate The term 'Loan rate ' as it applies to the area of agriculture can be defined as ' The price per unit (bushel, bale, pound, or hundredweight, depending on the commodity) at which the government will provide nonrecourse or recourse loans to farmers (or associations acting on their behalf). This short term financing at below market interest rates enables farmers to hold their commodities for later sale'.
About the author
Copyright © 2005-2011 by Mark McCracken, All Rights Reserved. TeachMeFinance.com is an informational website, and should not be used as a substitute for professional medical, legal or financial advice. Information presented at TeachMeFinance.com is provided on an "AS-IS" basis. Please read the disclaimer for details.