The Beginning Farmer Chattel Loan Program assists farmers and ranchers purchasing equipment and livestock. The limit is set at not less than 50% nor greater than 80% of the total loan amount with a lifetime cap of $500,000 per borrower. The interest rate is fixed at 1% below BND's current base rate with a maximum of 6% per year for the first five years of the loan. Interest is variable at 1% below BND's then current base rate for the next two years, adjusted annually on the anniversary date. The applicant may not have previously farmed for more than 15 years.