Options for flexible repayment
Some government loans have repayment programs that make payments more manageable. Some student loans, for example, can be repaid using an income-driven repayment plan.
These repayment options calculate your monthly payment based on your salary and family size to arrive at an affordable amount.
Longer repayment terms on government loans may also be available to make loan payments more affordable.
A USDA house loan, for example, can have a payback length of up to 33 years or 38 years for low-income applicants who cannot afford a 33-year term.
However, keep in mind that while a longer loan term may result in lower monthly payments, it is also possible that you will pay more in interest throughout the life of the loan.
A government loan is not available to everyone. Each sort of government loan has specific eligibility requirements that borrowers must complete to qualify.
These qualifications may include, among other things, income, business use (for business loans), and location.
Different types of government loans
There are various types of government loans available for multiple objectives.
Loans for agriculture
Various government loans may be available to help you start or expand an agricultural business.
To help family farms and ranches and to create a robust agricultural economy, the USDA’s Farm Service Agency, or FSA, offers direct and guaranteed agriculture loans.