NASHVILLE, Tenn. (RFD News) — Relationships with agricultural lenders can directly shape how farms operate and make financial decisions. Research from Auburn University agricultural economists shows that lender interactions influence risk management, borrowing behavior, and long-term planning.
The study identified three main relationship types: collaborative, strained, and transactional. Collaborative relationships are built on trust and communication, with lenders acting as partners who understand agriculture and provide guidance beyond financing. These relationships can help reduce uncertainty and support better decision-making.
Farm-Level Takeaway: Trust with lenders strengthens farm financial decision-making.
Tony St. James, RFD News Markets Specialist
Strained relationships often stem from financial pressure or lack of flexibility, adding stress and limiting options during difficult years. Transactional relationships focus primarily on interest rates, which may lower costs but can lead to frequent lender turnover and less familiarity with the operation.
The findings suggest that the way lenders work with producers can be just as important as access to capital itself, especially as financial pressures increase in agriculture.
Tight beef cow supplies and steady demand point to continued record-level cull cow prices in 2026.
January 15, 2026 11:23 AM
·
A disciplined, breakeven-based marketing plan helps protect margins and reduce risk, even when markets remain unpredictable.
January 15, 2026 10:58 AM
·
Alissa White with American Farmland Trust joined us to provide insight into climate resilience efforts and strategies to help farmers manage weather-related risks.
January 14, 2026 02:20 PM
·
A high-stakes legal case in a South Dakota federal court concerning misleading country-of-origin labeling (MCOOL), such as “Product of the USA,” on food products, will significantly impact U.S. agricultural policy for years to come.
January 14, 2026 09:00 AM
·
Agronomy experts explain why standing crop residue protects soil and reduces costs for crop growers, while shredding often yields little benefit at higher costs.
January 14, 2026 08:00 AM
·
China’s beef policy risk stems from domestic volatility, making export demand inherently unstable. Jake Charleston with Specialty Risk Insurance offers his perspective on cattle markets, risk management, and producer sentiment.
January 13, 2026 02:13 PM
·
