Manitoba Agricultural Services Corporation

Program Features

MASC Direct Loans have features that can fit most common agricultural purposes, as listed below:

Bridging Generations Initiative

MASC gives special consideration to Manitoba's young farmers. Under the Bridging Generations Initiative, young farmers (18 – 39 years of age) can choose the following options on most loan purposes:

• receive up to ${yfr::max_lifetime} with the {yfr::name}, a {yfr::max_rebate}% rebate on the first ${yfr::max_principal} of principal of a loan, for each of the first five years of the loan. The maximum rebate available to each borrowing unit is $3,000 annually.
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• receive up to ${mtc::max_lifetime} with the {mtc::name}, a {mtc::max_percent}% credit on the first ${mtc::max_loan} of principal of a loan, for each of the first five years of the loan. The annual maximum credit available to each borrowing unit is ${mtc::max_annual}. Annual training requirements are in the area of farm management such as business and financial planning, tax implications, marketing, employee management and computer usage.
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• choose either a 90% Flexible Financing option, which reduces the necessary down payment; or five years of interest-only payments to assist with cash flow pressures as developing enterprises are being established.
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• take advantage of the {bgmg::name}, which provides a young farmer taking over the farm with low-cost mortgage financing, and guarantees the retiring farmer an income stream. Payments from the young farmer are coordinated according to their operation's cash flow and payments are made to the retiree according to their retirement needs.

 

Comprehensive Refinancing Loans can be used to assist existing MASC clients who are in financial difficulty.

New as of April 1, 2011, MASC has made available a multi-draw general purpose mortgage that can expedite the loan approval for existing customers. With a general purpose mortgage, you can borrow up to 80% (90% for farmers aged 18 to 39 years old) of the market value for your collateral. In addition, you're allowed to subsequently borrow without new security registrations or associated legal costs.

 

Eligibility

 

Eligible Applicants

Qualifying applicants for a Direct Loan can be individuals, joint farm units, partnerships, corporations, or cooperatives.

To qualify, you must be 18 years of age or older, a Manitoba resident, and a Canadian citizen (or lawfully admitted to Canada for permanent residence). Your combined annual off-farm gross income (including spouse, partners or shareholders) cannot exceed ${max_offfarm_income}. The farm must be potentially viable and meet security requirements, and you must personally operate the farm to which the loan applies.

As a new borrower, your net worth cannot exceed ${max_net_worth} (or in the case of joint farm units, partnerships, corporations or cooperatives, the average net worth of all partners and shareholders). The net worth restriction does not apply to existing MASC Lending clients.

Borrowing Capacity

As an MASC client, you're able to borrow in more than one capacity (e.g. you can borrow initially as an individual producer, and then subsequently as a member of a partnership or a corporation).

 

Details

 

Loan Maximum

Loans of up to ${max_individual} are available for individuals and joint farm units, and up to ${max_corporation} for partnerships, corporations, and cooperatives.

Interest Rate

Interest rates for Direct Loans can be fixed for the full life (amortization) of the loan, or renewed every 1, 2, 3, 4 or 5 years.

See MASC Lending Rates for the latest rates, or estimate your loan payments with the MASC Loan Calculator.

Repayment

Direct Loans can have terms of up to {max_term} years, and you may select monthly, quarterly, or semi-annual payments. There are no prepayment penalties.

Security

Direct Loans may be secured with real, personal, and/or other securities as required.

Contact

To apply for an MASC Direct Loan, contact your local MASC Lending Representative.