Public Law 119-73 (01/23/2026)

7 U.S.C. § 1925

Limitations on amount of farm ownership loans

(a)

In general

The Secretary shall make or insure no loan under sections 1922, 1923, 1924, 1934, and 1935 of this title that would cause the unpaid indebtedness under such sections of any one borrower to exceed the smaller of (1) the value of the farm or other security, or (2) in the case of a loan other than a loan guaranteed by the Secretary, $600,000, or, in the case of a loan guaranteed by the Secretary, $1,750,000 (increased, beginning with fiscal year 2019, by the inflation percentage applicable to the fiscal year in which the loan is guaranteed and reduced by the amount of any unpaid indebtedness of the borrower on loans under subchapter II that are guaranteed by the Secretary).

(b)

Determination of value

In determining the value of the farm, the Secretary shall consider appraisals made by competent appraisers under rules established by the Secretary.

(c)

Inflation percentage

For purposes of this section, the inflation percentage applicable to a fiscal year is the percentage (if any) by which—
(1)
the average of the Prices Paid By Farmers Index (as compiled by the National Agricultural Statistics Service of the Department of Agriculture) for the 12-month period ending on July 31 of the immediately preceding fiscal year; exceeds
(2)
the average of such index (as so defined) for the 12-month period that immediately precedes the 12-month period described in paragraph (1).

Pub. L. 87–128, title III, § 30575 Stat. 308Pub. L. 91–620, § 184 Stat. 1862Pub. L. 92–419, title I, § 10386 Stat. 658Pub. L. 91–524, title VIII, § 807Pub. L. 93–86, § 1(27)(B)87 Stat. 237Pub. L. 95–334, title I, § 10392 Stat. 421Pub. L. 102–554, § 3106 Stat. 4142Pub. L. 105–277, div. A, § 101(a) [title VIII, § 806(a)]112 Stat. 2681Pub. L. 110–234, title V, § 5003122 Stat. 1144Pub. L. 110–246, § 4(a)122 Stat. 1664Pub. L. 115–334, title V, § 5103132 Stat. 4669(, , ; , , ; , , ; , as added , , ; , , ; , , ; , , , 2681–39; , , ; , title V, § 5003, , , 1905; , , .)

Editorial Notes

Codification

Pub. L. 110–234Pub. L. 110–246Pub. L. 110–234section 4(a) of Pub. L. 110–246 and made identical amendments to this section. The amendments by were repealed by .

Amendments

Pub. L. 115–334, § 5103(1)2018—Subsec. (a)(2). , substituted “$600,000” for “$300,000”, “$1,750,000” for “$700,000”, and “2019” for “2000”.

Pub. L. 115–334, § 5103(2)(A)Subsec. (c)(1). , substituted “July” for “August”.

Pub. L. 115–334, § 5103(2)(B)Subsec. (c)(2). , substituted “that immediately precedes the 12-month period described in paragraph (1)” for “ending on ”.

Pub. L. 110–246, § 50032008—Subsec. (a)(2). , substituted “$300,000” for “$200,000”.

Pub. L. 105–2771998— inserted section catchline, designated first sentence as subsec. (a), inserted heading, and substituted “$700,000 (increased, beginning with fiscal year 2000, by the inflation percentage applicable to the fiscal year in which the loan is guaranteed and reduced by the amount of any unpaid indebtedness of the borrower on loans under subchapter II that are guaranteed by the Secretary)” for “$300,000”, designated second sentence as subsec. (b) and inserted heading, and added subsec. (c).

Pub. L. 102–554section 1935 of this title1992— inserted reference to .

Pub. L. 95–3341978— substituted provisions setting forth requirements for loans under sections 1922, 1923, 1924, and 1934 of this title for provisions setting forth requirements for loans under sections 1922, 1923, and 1924 of this title.

Pub. L. 91–524, § 807Pub. L. 93–861973—, as added by , substituted “$225,000” for “$100,000” in cl. (a), added cl. (b), and redesignated former cl. (b) as (c).

Pub. L. 92–4191972— struck out “normal” before “value” in first and second sentences and before “market value” in last sentence.

Pub. L. 91–6201970— substituted “$100,000” for “$60,000”.

Statutory Notes and Related Subsidiaries

Effective Date of 2008 Amendment

Pub. L. 110–234Pub. L. 110–246Pub. L. 110–234section 4 of Pub. L. 110–246section 8701 of this titleAmendment of this section and repeal of by effective , the date of enactment of , see , set out as an Effective Date note under .