D3O-Lancaster Farming Saturday, March 8,1986 FCA acts to comply with emergency Farm Credit law McLEAN, VA - The Farm Credit Administation (FCA) has taken a series of actions to ensure rapid implementation of the Farm Credit Amendments Act of 1985, whicl? became effective January 23. “The law is straightforward in describing the information to which borrowers are entitled, and those provisions can be im plemented before regulations are issued,” said Donald E. Wilkinson, acting chairman of FCA. “The provisions dealing with actions on loan applications do not require regulations and are also effective immediately,” he said. The agency also directed system institutions to conserve their financial resources so they will be able to marshall those resources to help manage the current financial difficulty. Wilkinson reminded system officials that full use must be made of internal financial resources before outside assistance is tial? Do drying agents, preser vatives and additives have a place in your program? As you ponder these questions, that we are in terested not only in the reduction of nutrient and dry matter losses; we’re also interested in the STORAGE SHEDS • Economy and Mini Barns r\ - • Quaker Sheds & A-Frame 1 • Built On 4x4 Pressure Treated Lumber ’ * 5/8 Plywood On Floors • 5/8 T-111 Fir Exterior Siding, Long • on Center • Our Dealer • Built To Last With All-Wood Construction LYKENS VALLEY SALES answering service AND SERVICE £cT!m.?. 2 J?S??c Box 59 RD 2 Millersburg, PA 17061 NO SUNDAY CALLS Along Weaver Road Off Of Rt. 25 Member F D 1C requested. Rights of Applicants “When a borrower obtains a loan, the law requires the disclosure of the interest rate, including examples of how the rate is affected by the purchase of stock or participation certificates. If it’s a variable rate loan, the borrower must be told how much and how often the interest rate can go up during the term of the loan. And if there are no limitations, the fac tors that go into determining rate adjustments, including the cost of funds, operating expenses, and provisions for loan losses must be disclosed,” Wilkinson said. In addition, he explained, an applicant whose request for credit has been denied or reduced is entitled to a review by a credit committee that includes farmer board representation. The review must take place within 30 days after the applicant requests it. And the review committee’s decision and the reasons for it must be Pipeline Daily (Continued from Page D 29) multiplying effect any loss m quality might have on DM intake and resultant production of the herd. The Cooperative Extension Service is an affirmative action, equal opportunity educational institution. There's something richly rewarding about getting up long before the sun does and working hard to get the most from your land and your livestock We at Bank of Lancaster County salute you who have made farming your chosen field. We’ve been here in Lancaster County for more than 120 years helping farms like yours grow strong Bob Badger and the Bank of Lancaster County’s Agricultural Loan Division understand farming from the ground up For years now, Bob has been helping area farmers grow with loans for machinery, livestock, construction, mortgages, and other operating ex penses For whatever your needs, visit Bob at our Slrasburg office, or give him a call and he’ll visit vou He gets up pretty early too Bank of Lancaster Agricultural Loan Division, Center Square, Strasburg (717)687-8691 promptly provided to the applicant in writing. Wilkinson noted that the law further requires that borrowers be provided with copies of all documents they have signed as part of their loan transactions, as well as with copies of the articles of incorporation and by-laws of the institution. “these provisions are designed not only to give borrowers essential information when ob taining loans, but to offer them a measure of protectin once the loans have been made,” Wilkinson said. The Farm Credit Administration ha« totnn steps to make Bank of Lancaster County , t The betterjtank because we live here too Conserving Resources sure that healthier system in stitutions do not take actions that would reduce the resources available to the system as a whole. System institutions may not take the following actions, without approval of the FCA: * extraordinary operating and capital expenditures that are within the control of management or boards of directors and in ex cess of $250,000; * major changes that increase the cost of employee benefit and pension plans or major changes in depreciation procedures; * repurchase of unmatured debt instruments; * payment of an interest rate on member funds held by a district easy