FSA-2026 Promissory Note

OMB Approval No. 0560-0237
OMB Expiration Date:01/31/2026

FSA-2026

U.S. DEPARTMENT OF AGRICULTURE
Farm Service Agency

(proposal 3)

Position 2

PROMISSORY NOTE
1. Name

4. Case Number

5. Fund Code

8. TYPE OF ASSISTANCE

2. State

3. County

6. Loan Number

7. Date

9. ACTION REQUIRING PROMISSORY NOTE:
Initial loan

Rescheduling

Subsequent loan

Consolidation

Conservation easement
Amortized Shared Appreciation

Re-amortization
Deferred payments
Debt write-down

10. FOR VALUE RECEIVED, the undersigned Borrower (“Borrower”) and any cosigners jointly and severally promise to pay to
the order of the United States of America, acting through the Farm Service Agency, United States Department of Agriculture
(“Government”), or its assigns, at its office in (a)
the Government may later designate in writing, the principal sum of (b)
dollars (c) ($

or at such other place as
, plus, interest on the

unpaid principal balance at the RATE of (d)
percent (e)
%) per annum. If this note is for a Limited Resource loan (indicated in Item 8) the Government may
CHANGE THE RATE OF INTEREST in accordance with its regulations, by giving the Borrower thirty (30) days prior written
notice by mail to the Borrower's last known address. The new interest rate shall not exceed the highest rate established in the
Government’s regulations for the type of loan indicated in Item 8. The interest rate may be modified to non-program (NP) rates
under Item 22.
11. Principal and interest shall be paid in (a)
installments as indicated below, except as modified by a different rate of interest on or before the following dates:
(b) Installment amount

(c) Due Date

(b) Installment amount

$

$

$

$

$

$

$

$

in the amount (d) $

(c) Due Date

thereafter on the (e)

of each (f)
until the principal and interest are fully paid except that the final installment of the entire indebtedness evidenced hereby, if not
sooner paid, shall be due and payable (g)
years from the date of this note, and except that
prepayments may be made as provided below. The consideration for this note shall also support any agreement modifying the
foregoing schedule of payments. Loan terms may be modified to NP terms under Item 22.
12. If the total amount of the loan is not advanced at the time of loan closing, the loan funds shall be advanced to the Borrower as
requested by the Borrower and approved by the Government. Approval by the Government will be given, provided the advance is
requested for a purpose authorized by the Government. Interest shall accrue on the amount of each advance from the actual date
disbursed.
Initial __________ Date ____________

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FSA-2026 (proposal 3)

13. Any amount advanced or expended by the Government for the collection of this note or to preserve or protect any security for
the loan or otherwise expended under the terms of any security agreement or other instrument executed in connection with the
loan evidenced by this note shall, at the option of the Government, become a part of and bear interest at the same rate as the
principal of the debt evidenced by this note and be immediately due and payable by the Borrower to the Government without
demand.
14. Every payment made on any indebtedness evidenced by this note shall be applied according to priorities set in 7 CFR Part
765, or any successor regulation.
15. Prepayment of scheduled installments, or any portion of these installments, may be made at any time at the option of the
Borrower. Refunds and extra payments shall, after payment of interest, be applied to the last installments to become due under
this note and shall not affect the obligation of the Borrower to pay the remaining installments as scheduled in this note.
16. Property constructed, improved, purchased, or refinanced in whole or in part with the loan evidenced by this note shall not be
leased, assigned, sold, transferred, or encumbered, voluntarily or otherwise, without the written consent of the Government.
Unless the Government consents otherwise in writing, the Borrower will operate such property as a farm.
17. If "Debt Write-Down," "Consolidation," "Rescheduling," or "Re-amortization" is indicated in Item 9, this note is given to
consolidate, reschedule or re-amortize, but not in satisfaction of, the unpaid principal and interest on the following described notes
or assumption agreements under new terms:
(a)
FUND
CODE/
LOAN NO.

(b)
FACE AMOUNT

(c)
INTEREST
RATE

$

%

$

%

$

%

$

%

$

%

$

%

$

%

(d)
DATE
(MM-DDYYYY)

(e)
ORIGINAL BORROWER

(f)
LAST INSTALL.
DUE
(MM-DD-YYYY)

18. Security instruments taken in connection with the loans evidenced by these described notes and other related obligations are
not affected by this consolidation, write-down, rescheduling, or re-amortization. These security instruments shall continue to
remain in effect and the security given for the loans evidenced by the described notes shall continue to remain as security for the
loan evidenced by this note, and for any other related obligations.
19. If at any time it shall appear to the Government that the Borrower may be able to obtain financing from a responsible
cooperative or private credit source at reasonable rates and terms for loans for similar purposes and period of time, the Borrower
will, at the Government's request, apply for and accept a loan in sufficient amount to pay this note in full and, if the lender is a
cooperative, to pay for any necessary stock. The provisions of this paragraph do not apply if the loan represented by this
promissory note was converted to a NP loan or made to the Borrower as a Conservation Loan.
20. The Borrower recognizes that the loan described in this note will be in default should any loan proceeds be used for a
purpose that will contribute to excessive erosion of highly erodible land or to the conversion of wetlands to produce an agricultural
commodity as provided in 7 CFR Part 12 and to any successor regulation.
Initial __________ Date ____________

FSA-2026 (proposal 3)

Page 3 of 4

21. Failure to pay when due any debt evidenced by this note or perform any covenant of agreement under this note shall
constitute DEFAULT under this and any other instrument evidencing a debt of the Borrower owing to the Government or securing
or otherwise relating to such debt; and default under any such other instrument shall constitute default under this note. Upon such
default, the Government at its option may declare all or any part of any such indebtedness immediately due and payable or, if the
default is solely based on a failure to comply with the requirements of Item 19, convert all loans to NP rates and terms under
Item 22.
22. For Borrowers who fail to comply with the requirements of Item 19, the Government, at its option, may convert the loan rates
and terms described in this note to NP rates and terms. The interest rate will be the NP rate in effect at the time of default. The
NP terms will be the lesser of: (i) the term remaining for this note, (ii) the useful life of the security, or (iii) twenty-five (25) years for
farm ownership loans and emergency loans made for similar purposes or five (5) years for operating loans and emergency loans
made for similar purposes. The conversion to NP rates and terms will occur only after all appeal options in 7 CFR Part 11 have
been exhausted. Item 19 does not apply to loans once converted to NP. Borrowers with loans converted to NP rates and terms
for failure to comply with the requirements of item 19 have defaulted on their loan agreements as indicated in Item 21, which may
impact future loan making and servicing applications, including Primary Loan Servicing and Homestead Protection.
23. This note is given as evidence of a loan to the Borrower made by the Government pursuant to the Consolidated Farm and
Rural Development Act and for the type of loan as indicated in Item 8. This note shall be subject to the present regulations of the
Government and to its future regulations not inconsistent with the express provisions of this note.
24. Presentment, protest, and notice are waived.
Signature(s) As Described In State Supplement:

25. Addendum for Deferred Interest (See page 8 of instructions)

Initial __________ Date ____________

FSA-2026 (proposal 3)

Page 4 of 4

Privacy Act Statement: The following statement is made in accordance with the Privacy Act of 1974 (5 U.S.C. 552a – as amended). The
authority for requesting the information identified on this form is Direct Loan Making (7 C.F.R. Part 764), Direct Loan Servicing-Regular (7
C.F.R. Part 765), Direct Loan Serving-Special (7 C.F.R. Part 766), the Consolidated Farm and Rural Development Act (7 U.S.C. 1921 et seq.),
and the Agricultural Act of 2014 (Pub. L. 113-79). The information will be used to establish the Borrower’s agreement to the terms and
conditions for obtaining the requested FSA Farm Loan Programs benefits. The information collected on this form may be disclosed to other
Federal, State, Local government agencies, Tribal agencies, and nongovernmental entities that have been authorized access to the information
by statute or regulation and/or as described in applicable Routine Uses identified in the System of Records Notice for USDA/FSA-14,
Applicant/Borrower. Providing the requested information is voluntary. However, failure to furnish the requested information may result in a
denial of the requested FSA Farm Loan Programs benefits.
Public Burden Statement (Paperwork Reduction Act): According to the Paperwork Reduction Act requirement, an agency may not
conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a valid OMB control number. The
valid OMB control number for this information collection is 0560-0237 and is voluntary. The time required to complete this information
collection is estimated to average 20 minutes per response, including the time for reviewing instructions, searching existing data sources,
gathering and maintaining the data needed, and completing and reviewing the collection of information. Send comments regarding this
burden estimate or any other aspect of this collection of information, including suggestions for reducing this burden, to askusda@usda.gov
OMN NO. 0560-0237).
Non-Discrimination Statement: In accordance with Federal civil rights law and U.S. Department of Agriculture (USDA) civil rights regulations
and policies, the USDA, its Agencies, offices, and employees, and institutions participating in or administering USDA programs are prohibited
from discriminating based on race, color, national origin, religion, sex, gender identity (including gender expression), sexual orientation,
disability, age, marital status, family/parental status, income derived from a public assistance program, political beliefs, or reprisal or retaliation
for prior civil rights activity, in any program or activity conducted or funded by USDA (not all bases apply to all programs). Remedies and
complaint filing deadlines vary by program or incident.
Persons with disabilities who require alternative means of communication for program information (e.g., Braille, large print, audiotape, American
Sign Language, etc.) should contact the responsible Agency or USDA’s TARGET Center at (202) 720-2600 (voice and TTY) or contact USDA
through the Federal Relay Service at (800) 877-8339. Additionally, program information may be made available in languages other than
English.
To file a program discrimination complaint, complete the USDA Program Discrimination Complaint Form, AD-3027, found online at
How to File a Program Discrimination Complaint and at any USDA office or write a letter addressed to USDA and provide in the letter all of
the information requested in the form. To request a copy of the complaint form, call (866) 632-9992. Submit your completed form or letter to
USDA by: (1) mail: U.S. Department of Agriculture Office of the Assistant Secretary for Civil Rights 1400 Independence Avenue, SW
Washington, D.C. 20250-9410; (2) fax: (202) 690-7442; or (3) email: program.intake@usda.gov. USDA is an equal opportunity provider,
employer, and lender.

Initial __________ Date ____________