Resource Details

Agriculture, Business

Recourse Marketing Assistance Loans (MALs)

Recourse loans are Marketing Assistance Loans for which the commodity offered as collateral does not meet the quality eligibility requirements according to U.S. grading standards.

Recourse loans:
may not be delivered or forfeited to CCC in satisfaction of the loan indebtedness
must be repaid in full on or before the loan maturity date at principal plus interest only


The following are considered recourse loans:

high moisture corn and grain sorghum
acquired grain for high moisture corn or grain sorghum loans
distress loans on any commodity that is not stored in eligible storage
any commodity otherwise eligible for nonrecourse loan, but the commodity does not meet the quality eligibility requirements according to U. S. grading standards.

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