About | HeinOnline Law Journal Library | HeinOnline Law Journal Library | HeinOnline
LOG IN
LOG IN

RCED-83-157 1 (1983-08-12)

handle is hein.gao/gaobabeeb0001 and id is 1 raw text is: BY THE U,S. GENERAL ACCOUNTING OFFICE Report To The Secretary Of Agriculture Equitable Interest Rates Are Needed For Farmers Home Administration Loans In fiscal year 1982, the Farmers Home Administration loaned $4.9 billion to help borrowers buy and operate farms, purchase or improve homes, and construct or expand community facilities. But the interest rates charged on these loans have not been fair and equitable for the agency or its borrowers. Some borrowers were charged interest rates lower than the Government's cost of money rate, thereby increasing the agency's program cost, while others were charged rates higher than the cost of money rate. Because of the large amount of funds loaned, these under and over- charges will result in millions of dollars in interest sub- sidies or premiums for the agency's borrowers. For ex- ample, during the 10-month period ending March 1982, some 74,000 borrowers received $103 million in interest subsidies while about 20,000 borrowers were overcharged $9 million in interest. As subsidies far exceeded premiums, the agency's program cost on these loans will be increased by $94 million. Interest subsidies and/or premiums were also evident on Farmers Home loans made during the 10-month period ending January 1983. GAO makes a number of recommendations to the Secretary of Agriculture to prevent unwarranted interest subsidies or excessive interest charges in future loan transactions. 122129 GAO/RCED-83-157 COU'N\ AUGUST 12, 1983 0 O I )LJI /V , . 1,,,4..

What Is HeinOnline?

HeinOnline is a subscription-based resource containing thousands of academic and legal journals from inception; complete coverage of government documents such as U.S. Statutes at Large, U.S. Code, Federal Register, Code of Federal Regulations, U.S. Reports, and much more. Documents are image-based, fully searchable PDFs with the authority of print combined with the accessibility of a user-friendly and powerful database. For more information, request a quote or trial for your organization below.



Contact us for annual subscription options:

Contact Us

Already a HeinOnline Subscriber?

Log In

profiles profiles most