Description

Federal Agricultural Mortgage Corporation (Farmer Mac) operates a secondary market for diverse loans extended to borrowers throughout the United States. Its operations are organized into four distinct segments: Farm & Ranch, USDA Guarantees, Rural Utilities, and Institutional Credit. The Farm & Ranch division acquires and retains eligible mortgage loans secured by first liens on agricultural real estate. It also securitizes these eligible mortgages, guaranteeing the prompt payment of principal and interest on the resulting pooled loan securities, and provides long-term standby purchase commitments (LTSPCs) for specific qualifying mortgage loans. Through its USDA Guarantees segment, Farmer Mac purchases portions of certain agricultural and rural development loans that are guaranteed by the United States Department of Agriculture. The Rural Utilities segment is involved in acquiring and guaranteeing securities backed by loans for electric or telecommunications facilities, particularly those originated by cooperative lenders. This segment also purchases eligible rural utility loans, guarantees securities tied to them, and offers LTSPCs for portfolios of these loans. The Institutional Credit segment guarantees and purchases general obligations from various lenders and financial institutions. These obligations must be collateralized by loan pools that meet the eligibility criteria of Farmer Mac's Farm & Ranch, USDA Guarantees, or Rural Utilities lines of business. Established in 1987, the Federal Agricultural Mortgage Corporation maintains its principal office in Washington, District of Columbia.