Shit is getting real !

[samhill]

My experience may not apply, here's what I think.If large well heeled operations are drooling over your ground, be very careful. Trust no lending institution, if they seem will work with you, may just be a set up. The contracts give them ability to stop you at any time. FCC loans officers receive bonuses for signing new accounts, and large ones are the best for them.
Others maybe also. A credit union was the worst for me but others also. BOM was best, but maybe just person I dealt with. Get agreements early, read all conditions closely.
Don't trust them. Rent out and work off farm is safest.

[fjlip]

Been farming long eeyore? Expanding quickly?
Not easy if either apply, high risk occupation, lots of young casualties.

[grassfarmer]

Banks chase me for my deposits ! Yous all backwards begging the banks for loans and using financial advisors !

Starting to sound awfully like BTOFarmall.

[Guest]

I've been farming my whole life fjlip, I was to young to drive when I got my first permit book.
I still have 3 kids in school and the oldest is in the city now. Nothing ever came easy. Had built a pretty good cow herd and needed a bigger house before BSE crippled us, managed to keep going and found out in 04 that crop insurance coverage was all about when I froze out, was badly bent after that but never went broke.
No big rent paid here, never bought any land recently so not caught up in that.
Didn't get all the crop off last year and went into default because I didn't have enough stored grain to cover the spring advance so no new advance this spring.
I'm in the wet area , with the poorest rail service which don't seem to help.

[farmaholic]

I am counting my blessings

[RTK]

Eeyore - sounds like no working capital is the likely the main issue. You need a banker willing to fix this for you with a debt restructure package. Here is what I would start with - is there some off-farm income to help cover some family living - does wife have income. Do you have some equity in land? Some equity in equity in some larger pieces of equipment that will be around for 5 years. You need to term out some current debt and look to structure the operation with maybe two loans secured with specific equipment (5yr term) and maybe one or two loans secured by land (15 yr term). Perhaps a line of credit secured by a general security agreement. If you structure loans as above can you get your payments (P&I) to approximately - $200/cow; plus $25 to $45/crop acre. Not asking you to answer these questions online - if you are something in that range it should be pretty easy to restructure.

[RTK]

I should also add if you are not able to get payments within that range a restructure is still possible but you may have to invest more time to find a solution.

[Guest]

Thanks for the advice everyone , we have thought of many of these things but it is nice to have the opinion from someone who doesn't stand to benefit from us , sometimes free advice is the best.
It seems I'm more skeptical of everything as I get older, I'm not sure who the programs were designed to help if we're falling through the cracks,we are the ones that keep the community going and will ensure the next generation of farmers .
Thanks again.

[RTK]

Eeyore - based on your posts I am sure you will figure things out. Farmers who go through these things often end up very successful in life so make choices you believe is right for your operation and always consider your family. Good luck it is stressful but you will manage.

[makar]

Farm credit works well for me, i only need to pay interest yearly if i wish, principal when i can.

[sumdumguy]

There were days in early 80's when we were so indebted and interest rates that were 7% in 1972 climbed to 18% and 22%. Banks jacked around and made "errors" on operating loans. That combined with persistent droughts made survival challenging but for the lowly lentil, who saved us. You too will learn to be resourceful and appreciative of these low interest rates. Remember, there's a bank on every corner and they are all clammering for business.

[freewheat]

I've been farming my whole life fjlip, I was to young to drive when I got my first permit book.
I still have 3 kids in school and the oldest is in the city now. Nothing ever came easy. Had built a pretty good cow herd and needed a bigger house before BSE crippled us, managed to keep going and found out in 04 that crop insurance coverage was all about when I froze out, was badly bent after that but never went broke.
No big rent paid here, never bought any land recently so not caught up in that.
Didn't get all the crop off last year and went into default because I didn't have enough stored grain to cover the spring advance so no new advance this spring.
I'm in the wet area , with the poorest rail service which don't seem to help.

Eeyore: I am not sure if I can help much, but I hear you, big time. I have had a very similar go of it, and am also in quite a pinch for the exact same reasons you are struggling. If you want to chat, and hash out ideas on how to make this thing work, I would be happy to. Are you on the combine forum? I wish agriville had a pm system in place, it would sure come in handy in times like these.