Synergy::Agricultural - Canadian Agriculture Loans Act (CALA)

Product in a Nutshell: (What is it?)

A federal government guaranteed loans program designed to encourage lenders to provide farmers with credit for improvements to their farm activities, as well as for farming cooperatives to develop efficient processing, distribution or marketing processes.

Benefits

Features

Affordable: “You can grow your farm with a smaller down payment.”

- 10% downpayment - beginning farmers
- 20% downpayment - existing farmers

Cost Savings/Earnings: “You have an opportunity to have more money in your pocket.”

- Free mortgage renewals
- 20% prepayment option annually on fixed rate mortgage
- No penalty on non mortgage

Flexible: “You can adjust your payments to fit your needs.”

Multiple Repayment Options, including:

Payment frequency
Flexible terms and borrowing limits
Mortgage loans (land and buildings) up to 15 years and up to $500,000
Non mortgage loans up to 10 years and up to $350,000
Automatic transfers or self payments
Fixed or variable rate options

Peace of Mind: “You can protect your assets and your family in light of unforeseen events.”

Loan Insurance available:

Life

Disability

Critical Illness

Loss of Employment

Additional Information:

- CALA premium can be added to your loan.
- For more information on this program, please visit the following government website.

Who might benefit from this product/ service?

Beginning farmers, existing farmers and agriculture cooperatives requiring agricultural credit for other than operating expenses.