Madison County Bank Seed and Chemical Financing Program
You can get cash discounts from suppliers and low interest financing on your seed and chemical purchases.
In the past, you have had to choose whether to pay cash to obtain discounts on seed and chemicals or obtain below market financing from suppliers.
Now you can get the best of both with Madison County Bank's Seed and Chemical Financing Program.
Here's how it works.
Select your seed and crop protection products, borrow funds from Madison County Bank and pay cash to your suppliers for these inputs. If you pay off the new seed and chemical operating loan by March 1, 2010 , the rate is an attractive 1% under prime.
Get more choices and savings on your crop inputs and money!
Enjoy both cash discounts and attractive financing.
Generally, you have to choose between cash discounts or great financing programs. With this new program from Madison County Bank, now it's not one or the other – it's both. Take those attractive cash discounts on your seed and chemical purchases without tying up your cash.
Choose any seed or crop protection product – any brand – get their cash discount(s).
Real choice doesn't limit your options. With this program, you don't have to select a certain brand of seed or choose from and “approved” list of crop protection products.
Enjoy a great rate – prime minus 1% - and simple terms.
Pay off your loan balance by March 1, 2010 , and enjoy a rate that's 1% under prime.
To qualify, borrowers using this program must submit invoices outlining their purchases.
Offer ends June 1, 2009. Purchase early to take advantage of supplier cash discounts.
QUESTIONS AND ANSWERS
What can I buy with this special program at
the 1% below prime rate?
The program and rate is for seed and chemical purchases only and allows you to take advantage of your dealer/supplier cash discounts AND a great financing rate.
Why do I have to submit invoices?
This is a special program specific to seed and chemical purchases for the 2009 planting season only. To qualify for the program and special prime minus 1% rate producers need to present invoices outlining their purchases.
Can I buy any brand of seed or chemical?
Yes. This program allows you to choose the seed and chemical brand you prefer. There are no preferred products or brands. This gives you the advantage of utilizing both cash discounts and attractive financing.
Can I convert my other Madison County Bank loans to this rate?
No. This is a special, promotional rate and program only for new seed and chemical purchase financing for the 2009 crop year. We offer competitive interest rates for all of our financial products and services. This special program is being offered so producers can take advantage of early purchase cash discount programs at attractive financing rates.
Are there any limits to how much I can borrow or how much seed and chemicals I can purchase with this program?
There are no limits with this program. However, our standard underwriting practices apply and loan approvals will be based on each individual’s financial position and credit worthiness.
Can I combine an interest rate buydown program from a seed company (e.g. Syngenta/JC Robinson-Golden Harvest) with the MCB Seed and Chemical Financing Program?
Yes. If a seed company is offering to buydown your interest rate as part of their promotional seed program, you can take advantage of our Seed and Chemical Financing Program. However, combining a rate buydown program with MCB Seed and Chemical Financing program may result in an earlier maturity date than March 1, 2010. The interest rate buydown offered by the various seed companies typically end prior to the end of the production year.
Example:
Prime interest rate + 5.00%
National prime -1% - 1.00%
Starting rate 4.00%
Less company rate buydown - 2.00%
Your interest rate 2.00%
I just paid my seed (or chemical) retailer, with an advance on my existing MCB operating loan. Can I still use the program?
Yes. Simply provide us with a copy of your invoice and we’ll take care of the rest.
I’m a new customer and already paid my dealer for my seed and chemicals. Can I still use the program?
Yes. Simply provide us with a copy of your invoice and we’ll reimburse you for your purchase.
Are these revolving loans?
No. These loans are non-revolving with the potential for multiple disbursements.
I’m not a MCB customer. Am I eligible for this program?
Yes. However, our standard underwriting practices apply and loan approvals will be based on each individual’s financial position and credit worthiness.
How should I submit my seed or chemical invoice?
You can fax a copy from your home, office or directly from the dealer, mail us the invoice or drop it by one of our offices – whatever is most convenient for you.
