Introduction to Agricultural Lending

Introduction to Agricultural Lending

8-WEEK INSTRUCTOR-LED ONLINE COURSE
Course Description:  Designed for individuals who are new to Ag Lending or who have limited experience,Introduction to Agricultural Lending will provide participants with the basic skills needed to undertake credit analysis, loan structuring, monitoring, and provide guidance on dealing with problem loans.  This course was developed in conjunction with the Schools of Banking, Inc., a jointly-owned subsidiary of the Kansas and Nebraska Bankers Associations.
Price
$425 NBA or ABA Members/$525 Non-Members
Length
8 Weeks
Required Software
Audience:  This course is designed for individuals who are either new to Agricultural Lending or have limited experience or little formal training.
Learning Objectives:  After successfully completing this program, you will be able to:
  • Describe the size and scope of U.S. agriculture and the characteristics of the four main classifications of farm size
  • Describe the purpose of the Farm Financial Standards Council (FFSC) and the impact of the FFSC recommendations on agricultural lending
  • Recognize and identify the key financial statements as recommended by the FFSC
  • Define the classification of assets and liabilities for two category and category balance sheets
  • Calculate deferred taxes and the impact of such taxes on agricultural financial analysis and lender decisions
  • Understand the differences between cash and accrual income statements
  • Have a working knowledge of accrual income statements and their impact on proper financial analysis and lender decision making
  • Understand the statement of owner equity
  • Understand the role of cash flow analysis in an agriculture operation and in making lending decisions
  • Have a working knowledge of the “Sweet Sixteen” ratios, specifically:  Repayment, Liquidity and Solvency Analysis
  • Describe the importance and purpose of a loan policy in your bank
Readings: All reading materials are delivered online.
Topics Covered:
  • Overview of Agriculture  
  • Information Collection and Decision Making-Application and Balance Sheet 
  • Information Collection and Decision Making-Income Statement
  • Information Collection and Decision Making-Owners Equity and Cash Flow  
  • Credit Analysis  
  • Loan Structuring and Problem Loans
Proctored Examination Required
This course requires proctored exams. You will need to identify a person from your institution who will proctor your exams during business hours, Monday – Friday between 9 a.m. and 5 p.m., Eastern USA Time. This person should be your Human Resources Training Manager, supervisor, or someone from the management team of your organization. Make sure to arrange your proctor well in advance of your exam date.
If you do not work with an institution, you will need to contact a university/college, library, or a testing center to request they proctor your exam. You will be asked to provide the telephone number of your proctor in case we need to reach that person for verification. A relative or friend cannot proctor an exam. All parties must abide by the ABA exam policy. There are no exceptions.​​​​​​​​​​

The Nebraska Bankers Association is a Local ABA Training Provider.
For More Information Contact:

Joanne Smith
Education and Member Information Coordinator

Nebraska Bankers Association / 233 South 13th Street, Suite 700 / PO Box 80008 / Lincoln, NE 68501-0008