Funds Held accounts are interest-bearing deposit accounts used to hold member funds until needed for application to an Association loan or other agricultural purpose.


A Funds Held Account can be opened when you borrow from the Association. With one check, you can make a loan payment and add money to your Funds Held Account. Funds held levels are limited to your outstanding loan balance plus any available commitment.  Please contact your local lending office for more information.


Funds in the Funds Held Account accrue interest that is compounded monthly. The interest rate (Funds Held Rate) is variable and may change monthly. Interest earned on your Funds Held Account is reported periodically to you and annually on Form 1099-I to the IRS.


Only Association borrowers are eligible to place funds in a Funds Held Account.


Funds in the Funds Held Account are available for application to Farm Credit loans or for other agricultural purposes. You can withdraw the funds at any time by making the request to your loan officer. Withdrawals for non-agricultural purposes are permitted under extenuating circumstances subject to approval by the Association. Such circumstances include, but are not limited to, medical emergencies, disaster losses and dissolution of the borrowing entity.
If an installment or other loan obligation is not paid when due, the Association reserves the right to apply funds from the Funds Held Account to pay the installment or loan obligation. For this purpose the borrower grants the Association a security interest in all Funds Held Accounts of the borrower. The funds so applied will not be available for withdrawal.


Funds Held Accounts are at risk and not insured. The borrowers is dependent solely on the commitment and financial condition of the Association with respect to honoring the terms of this program, including the repayment of all funds in the account and the payment of any interest on those funds. The full terms and conditions of the Funds Held Accounts will be provided in a Funds Held Agreement. These terms and conditions may be amended from time to time. You will receive notice of any changes. The Association reserves the right to limit the number of Funds Held Accounts or restrict the maximum dollar amount in the Funds Held Account. Disbursement requests can be initiated by a loan officer at loan closing/funding, or by the borrower wishing to draw on his line of credit. Disbursements may be made via check, ACH transaction, or wire transfer.

800-800-4865 – Pacific Time
800-799-6545 – Mountain Time
800-466-1146 – Central Time