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Glossary term

Intermediate-Term Loan

Definition

An intermediate-term loan sits in the middle — longer than a one-season operating loan but shorter than a multi-decade land loan.

Technical definition

An intermediate-term loan is agricultural credit with a repayment period typically spanning a few years, used to finance assets like machinery or breeding livestock.

Why it matters

Matching the loan length to the asset's useful life keeps payments sensible and avoids paying for something long after it's gone.

Example

Financing breeding cattle over several years would commonly be an intermediate-term loan.

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