---
kind: "section"
citation: "7 U.S.C. § 1934"
title: "7"
title_heading: "Agriculture"
number: "1934"
heading: "Low-income farm ownership loan program; eligibility; repayment requirements"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/7/1934"
units:
  - "Chapter 50 — Agricultural Credit"
  - "Subchapter I — Real Estate Loans"
---

# §1934. Low-income farm ownership loan program; eligibility; repayment requirements

- (a) The [Secretary](/usc/7/499a.md?p=b-2) is authorized to make and insure loans for any of the purposes referred to in [section 1923(a) of this title](/usc/7/1923.md?p=a), or paragraphs (1) through (5) of [section 1924(a) of this title](/usc/7/1924.md?p=a), to [farmers](/usc/7/1991.md?p=a-1) and ranchers in the [United States](/usc/7/1991.md?p=a-6) who (1) are citizens of the [United States](/usc/7/1991.md?p=a-6), (2) meet the requirements of paragraphs (2) through (4) of [section 1922 of this title](/usc/7/1922.md), (3) are unable to obtain sufficient credit under [section 1922 of this title](/usc/7/1922.md) to finance their actual needs, (4) are owners or operators of small or family farms (including new owners or operators), (5) are [farmers](/usc/7/1991.md?p=a-1) or ranchers with a low income, and (6) demonstrate a need to maximize their income from [farming](/usc/7/1991.md?p=a-2) or ranching operations. The [Secretary](/usc/7/499a.md?p=b-2) is also authorized to make such loans to any farm cooperative or private domestic corporation or partnership, or such other legal entities as the [Secretary](/usc/7/499a.md?p=b-2) considers appropriate, that is controlled by [farmers](/usc/7/1991.md?p=a-1) and ranchers and engaged primarily and directly in [farming](/usc/7/1991.md?p=a-2) or ranching in the [United States](/usc/7/1991.md?p=a-6) if all of its members, stockholders, partners, or owners, as applicable, are citizens of the [United States](/usc/7/1991.md?p=a-6) and the entity and all such members, stockholders, partners, or owners meet the requirements of paragraphs (2) through (6) of the preceding sentence.
- (b) Each loan made or insured under this section shall be repayable in such installments as the [Secretary](/usc/7/499a.md?p=b-2) determines will provide for reduced payments during the initial repayment period of the loan and larger payments during the remainder of the repayment period of the loan.

## Source credit

(Pub. L. 87–128, title III, § 310D, as added Pub. L. 95–334, title I, § 113, Aug. 4, 1978, 92 Stat. 424; amended Pub. L. 101–624, title XVIII, § 1802(b), Nov. 28, 1990, 104 Stat. 3818; Pub. L. 102–552, title V, § 516(e)(1), Oct. 28, 1992, 106 Stat. 4137; Pub. L. 104–127, title VI, § 661(e), Apr. 4, 1996, 110 Stat. 1107; Pub. L. 113–79, title V, § 5001(c)(2), Feb. 7, 2014, 128 Stat. 833.)

## Notes

### Editorial Notes

### Amendments

2014—Subsec. (a). Pub. L. 113–79 inserted “, or such other legal entities as the Secretary considers appropriate,” after “partnership” and substituted “partners, or owners” for “or partners” in two places.

1996—Subsec. (a). Pub. L. 104–127 substituted “section 1923(a) of this title, or paragraphs (1) through (5) of section 1924(a) of this title” for “paragraphs (1) through (5) of section 1923(a) of this title, or subparagraphs (A) through (E) of section 1924(a)(1) of this title”.

1992—Subsec. (a). Pub. L. 102–552 substituted “1924(a)(1)” for “1924(d)(1)”.

1990—Subsec. (a). Pub. L. 101–624 substituted “paragraphs (1) through (5) of section 1923(a) of this title, or subparagraphs (A) through (E) of section 1924(d)(1) of this title,” for “clauses (1) through (5) of section 1923(a) of this title”, substituted “paragraphs” for “clauses” before “(2) through (4) of section”, made technical amendment to reference to section 1922 of this title which required no change in text, and substituted “paragraphs” for “clauses” before “(2) through (6) of the”.

### Statutory Notes and Related Subsidiaries

### Effective Date of 1992 Amendment

Pub. L. 102–552, title V, § 516(e)(2), Oct. 28, 1992, 106 Stat. 4137, provided that: “The amendment made by paragraph (1) of this subsection [amending this section] shall take effect at the same time as the amendments made by section 501(a) of the Food, Agriculture, Conservation, and Trade Act Amendments of 1991 (Public Law 102–237; 105 Stat. 1865) [amending section 1924 of this title] took effect.”