Low Rate Environment Allows Farmers to Mitigate Future Risks
Arvest Now Offers Long-Term, Fixed-Rate Financing Through Farmer Mac
FAYETTEVILLE, Ark. (July 30, 2014)— Arvest Bank, ranked #26 in the American Bankers Association Top 100 Farm Lenders in the U.S. for 1Q 2014, announced today the bank is expanding its agriculture loan products through the Federal Agriculture Mortgage Corporation, commonly known as Farmer Mac. These products are some of the best tools a farmer/rancher has in order to mitigate risks that have plagued the industry for the past few decades.
The interest savings available through the Farmer Mac program allows farmers/ranchers to have more control over their financial futures. Locking in low, long-term rates can free up funds that can be used to counteract other business risks such as decrease in crop prices, drought expenses, decrease in demand and other unpredictable situations those in the agricultural industry face on a year-to-year basis.
While today the average U.S. farmer or rancher is in good financial shape, many in the industry see potential pitfalls that could cause problems similar to what the industry experienced in the 1980s. Land prices are increasing while grain and cattle prices are becoming volatile; all are affected by global factors including the Chinese economy, trade agreements between Japan and Australia and exchange rates along with weather, inflation and domestic demand.
Arvest Bank believes the best way a farmer/rancher can reduce financial risk is to take advantage of the current low interest rates and lock them in for a longer period of time. The Farmer Mac program allows them to do so, and Arvest is pleased to make this program available in the regions in which it operates, especially because so many of its customers make their living in the agriculture industry.
Arvest Bank has consistently ranked in the ABA’s Top Farm Lenders by Dollar Volume. In the first quarter of 2014, Arvest showed $503,679,000 in total balance of outstanding farm loans.
While Farm Credit and the United States Department of Agriculture’s Farm Service Agency can only offer loans, Arvest provides complete banking services to its agri-lending clients. From equipment financing to real estate loans and checking accounts with loan sweeps to pay down debt, Arvest can provide customers with total banking services, all with convenient locations and hours and a deep level of agricultural lending expertise.
About Arvest Bank
Arvest Bank operates more than 260 bank branches in Arkansas, Oklahoma, Missouri and Kansas through a network of 16 locally managed banks, each with its own board and management team. These banks serve customers in more than 120 communities with 12-hour weekday banking at most locations. Arvest also provides a wide range of banking services including loans, deposits, treasury management, credit cards, mortgage loans and mortgage servicing. Arvest is an equal housing lender and member FDIC.
Arvest Asset Management offers wealth management, trust services, and insurance products. Investment products and services are provided by Arvest Investments, Inc., doing business as Arvest Asset Management, member FINRA/SIPC, an SEC registered investment adviser and a subsidiary of Arvest Bank. Trust services provided by Arvest Bank. Insurance products are made available through Arvest Insurance, Inc., which is registered as an insurance agency. Insurance products are marketed through Arvest Insurance, Inc., but are underwritten by insurance companies. Securities and Insurance Products are: Not FDIC Insured, May Lose Value, No Bank Guarantee
- American Bankers Association. Top 100 Ag Banks by Dollar Volume 1Q 2014.