Operating loans are not a "one-size-fits-all" proposition, which is why we give you a choice of operating loans to purchase inputs and pay expenses. Our operating loans are designed to fit the way you produce and market.
Operating loans are short-term loans used to finance daily business operations. You can access your loan funds with drafts 7 days a week, 24 hours a day. Funds may also be withdrawn online, by phone, and by visiting one of our offices.
Variable, fixed, and adjustable interest rates are available to allow you the flexibility to manage interest rate risk. Flexible payment plans include monthly, quarterly, semi-annually, and annually. We'll develop a payment plan and maturity that fits your cash flow and production cycle.
Revolving Line of Credit
You are given a maximum credit line that can be disbursed at any one time. Plus, you can borrow and repay as often as necessary as long as the balance outstanding doesn't exceed the credit limit. Funds are available on-call and do not accrue interest until drawn. Principal payment amounts go back on-call for future disbursements without signing new notes.
Revolving lines of credit (RLOC) can be established for up to three years. Disbursements can be made throughout the loan's term and payment terms vary depending on your operations' needs. Interest is due at least annually. On multiple-year RLOCs, the loan should be paid to a minimal balance annually. The outstanding balance plus accrued interest are due at maturity.
