Notice of changes to our Privacy Policy
An updated Privacy Policy was posted on the website of La Financière agricole and is effective April 25, 2025.
See the Notice of changes to the Privacy Policy for more information (in French only).
Protection against Interest Rate Hikes
The program aims to enable La Financière agricole to minimize the impact of an interest rate hike on agricultural businesses and thus support them by granting them financial assistance in the form of an interest payment contribution.
It provides two advantageous protections against interest rate hikes in the event that the market interest rate exceeds an established threshold for a fixed period of time: the Preferred Rate and the Secure Rate for Aspiring Farmers.
| Characteristics | Preferred Rate (PR) | Secure Rate for Aspiring Farmers (SRAF) |
|---|---|---|
| ProtectionThe Secure Rate for Aspiring Farmers and the Preferred Rate are calculated daily on the basis of the interest rate applicable to 1-year ordinary mortgage loans established weekly by the Bank of Canada from which the rate reduction of 0.30% is subtracted. Fermer l'infobulle | 60% of the portion of interest exceeding 8% | 100% of the portion of interest exceeding 4% until March 31, 2026As part of the measures to enhance the Interest Rate Protection Program, the STR at 4% will be guaranteed until March 31st, 2026, for eligible young farmers as of April 1st , 2024, even if this extends their protection beyond the usual 5-year period. After March 31, 2026, the level of protection will be reassessed. Fermer l'infobulle |
| Protected outstanding amount | Up to $500,000 | Up to $500,000 |
| Duration | Corresponds to the loan term |
|
The following clients are ineligible for Protection against interest rate hikes:
