Galway farmers warned over low cost farm loans

Galway Bay fm newsroom – Galway farmers are being urged to be cautious when considering low cost farm loans.

The Irish Cattle and Sheep Farmers Association has issued an advisory for those considering availing of the new 2.95% loan scheme.

The scheme utilises a combination of funding from the Strategic Banking Corporation of Ireland and an interest subsidy funded jointly by the EU and the exchequer.

Farmers are being urged to carefully assess their borrowing capacity and repayment capacity and to have a plan to reduce other forms of expensive credit.

Seamus Sherlock is Rural Development Chairperson for the ICSA – he says while the group welcomes the initiative to provide low-interest rates, farmers need to make sure the unsecured loan option is suitable for them.