How Cultivate’s quick loan approval process is making life easier for farmers

With a growing herd and on-farm enterprise, dairy farmers Andrew and Aodhagon Smith recognised the need to invest in their farm, so they turned to their local credit union and applied for a Cultivate loan.

Cultivate is the Collaborative Finance credit union lending platform for farmers, an initiative that provides short to medium-term loan finance built specifically around the growing needs of Irish farmers. Cultivate is a farmer-friendly finance option for farmers seeking unsecured funding up to €75,000 for up to ten years and is now available in over 170 locations across Ireland. Secured lending of up to €300,000 for up to 30 years is also available from participating credit unions.

Developing the farm enterprise

Andrew and Aodhagon Smith milk 210 dairy cows with their father Philip in County Cavan. The herd, which is a mix of British Friesians and crossbreeds, has been built up over the last 7 to 8 years.

Alongside growing the herd size, the brothers have been working to improve genetics, taking on extra land and setting up Farnadolly Milk Barn, a milk vending machine, on the farm to sell their milk directly to customers.

Improving the genetics of the herd has been a key priority for the Smiths over the past few years. To help them do this, Andrew and Aodhagon contacted their local credit union and availed of a Cultivate loan:

“We were trying to better the genetics of the herd. It was hard to do it just out of cash flow. We needed an injection to be able to go out and buy better stock, better heifers, to improve the genetics of the herd”.

Participating credit unions make decisions locally and offer quick loan approval for farmers. Local loan officers have the discretion to take a farmer’s circumstances into account. The Smith’s local credit union understood the reality facing farmers in Ireland and were familiar with their financial circumstances, personal background, and track record as part of the loan review process:

“Without the Cultivate loan, we wouldn’t have been able to do what we wanted to do in changing the genetics of the herd”.

Unsecured loans

Having gone through the full process of applying for and securing a Cultivate loan, Andrew reflects on a very positive experience: “The credit union were so easy to work with. Always at the end of the phone when needed and any problems are sorted there and then.”

As a farmer-friendly finance option, repayment schedules are available up to a period of ten years, with flexibility to repay at times that make sense for the individual farmer. Cultivate loans are unsecured, and there is no need to be an existing credit union member to avail of a loan. Farmers can sign up in their local participating credit union office and be eligible to apply for a Cultivate loan immediately.

Cultivate loans are used by farmers like the Smiths for a wide range of investments including:

• Stocking or working capital.
• Upgrading farm buildings and handling facilities.
• Purchasing new or second-hand machinery.
• Supporting on-farm TAMS investments.
• Undertaking farm improvement works.

Cultivate loans are available at over 170 locations in Ireland. A full list of participating credit unions is available at www.Cultivate-CU.ie/#map

If you need quick loan approval and a flexible, farmer-friendly loan, FREEPHONE 1800 839 999, call into your participating local credit union or visit Cultivate-CU.ie to learn more.

Loans are subject to approval. Terms and conditions apply. If you do not meet the repayments on your loan, your account will go into arrears.

This may affect your credit rating which may limit your ability to access credit in the future. The cost of your repayments may increase. Credit unions in Ireland are regulated by the Central Bank of Ireland.