USDA Farm Service Agency (FSA (USDA))
Farm loans, CRP contracts, and program payments when a farmer dies
FSA National Call Center
Local FSA County Office
Local USDA Service Center
CRP contract successor must sign within 60 days; estate retains ARC/PLC eligibility for 2 program years after death; loan continuation is ongoing
The USDA Farm Service Agency administers farm loans, conservation programs (CRP), and commodity programs (ARC/PLC). When a farm program participant or loan borrower dies, FSA has specific procedures for loan continuation, CRP contract succession, and payment eligibility for heirs and estates. Surviving spouses and heirs may continue farm loans and assume program contracts.
Notifying the FSA (USDA) when someone dies
When a farm program participant or FSA loan borrower dies, the executor, surviving spouse, or heir should contact the local FSA county office or USDA Service Center as soon as possible. FSA will flag the participant's records and review all active contracts, loans, and program enrollments. For CRP contracts, a successor must sign a revised contract within 60 days to avoid termination.
Timeline: As soon as possible; CRP contract successor must sign within 60 days
- •Find your local office at farmers.gov/working-with-us/service-center-locator
- •Provide a certified copy of the death certificate
- •FSA will review all active contracts, loans, and program enrollments for the deceased
- •If the surviving spouse or co-borrower is on the note, the loan continues automatically with scheduled payments
- •If an heir inherits the property but is not on the note, FSA may continue the loan if payments are maintained
- •Heirs may formally assume the loan under 7 CFR Part 765, Subpart I
- •For guaranteed farm loans, contact both the commercial lender and the FSA county office
- •The successor (heir or new owner) must sign a revised CRP-1 contract within 60 days
- •If the successor signs timely, no refund of prior CRP payments is required
- •Annual rental payments are prorated: the estate receives payment from October 1 to the date of death
- •If no successor signs within 60 days, the CRP contract is terminated
- •File Form FSA-325 to claim any outstanding payments owed to the deceased
- •The estate retains automatic eligibility for 2 program years after the year of death
- •After the 2-year period, petition the County Committee for continued eligibility
- •A surviving spouse who takes over operations should update FSA records as the new operator
Required Documents
- Certified copy of the death certificate
- Form FSA-325 (Application for Payment of Amounts Due Persons Who Have Died)
- Letters testamentary or letters of administration
- Last will and testament or affidavit of heirship
- Deed or county tax records (for establishing land association)
- Revised CRP-1 contract (for CRP succession, signed within 60 days)
- Loan assumption agreement (for formal farm loan assumption)
Timeline
CRP contract successor must sign within 60 days; estate retains ARC/PLC eligibility for 2 program years after death; loan continuation is ongoing
Survivor benefits
Farm Loan Continuation
Under 7 CFR 765.451, FSA will continue farm loans (Operating, Farm Ownership, Emergency) with a surviving spouse or co-borrower who is already liable for the debt. FSA may also continue loans with heirs who inherit the property but are not on the note, provided they make scheduled payments and fulfill all borrower responsibilities. Loans may also be formally assumed under 7 CFR Part 765, Subpart I.
Eligibility: Co-borrower, surviving spouse, or heir who inherits the farm property
How to apply: Contact the local FSA county office to discuss loan continuation or assumption; provide death certificate and proof of inheritance
Learn more →CRP Contract Succession
When a Conservation Reserve Program (CRP) participant dies or transfers the enrolled land, the new owner or operator (including an heir) must become a successor to the CRP contract within 60 days, or such other time period as the Commodity Credit Corporation determines (7 CFR 1410.51). The original CRP-1 contract must be revised to reflect the new participant. If the successor signs within 60 days, the estate is not required to refund previous CRP payments. Annual rental payments are prorated between the predecessor (or estate) and successor.
Eligibility: Heir or new owner who acquires CRP-enrolled land through inheritance
How to apply: Contact the local FSA county office within 60 days; sign the revised CRP-1 contract
Learn more →Farm Program Payments (ARC/PLC and Other Programs)
Outstanding farm program payments owed to a deceased participant can be claimed by heirs using Form FSA-325. Payments are distributed in a strict order of precedence: executor first, then surviving spouse, children, parents, siblings, and finally heirs-at-law. The estate retains automatic ARC/PLC eligibility for 2 program years after the year of death; after that, the County Committee determines continued eligibility.
Eligibility: Executor, surviving spouse, children, or other heirs per 7 CFR Part 707 order of precedence
How to apply: File Form FSA-325 (Application for Payment of Amounts Due Persons Who Have Died) at the local FSA county office
Learn more →Frequently asked questions
Under 7 CFR 765.451, FSA will continue the loan with a co-borrower or surviving spouse who is already liable for the debt. FSA may also continue the loan with an heir who inherits the property and makes scheduled payments. Alternatively, the heir may formally assume the loan. Contact the local FSA county office immediately to discuss options.
Yes. Under 7 CFR 1410.51, the heir or new owner who inherits the enrolled land may become a successor to the CRP contract by signing a revised CRP-1 contract within 60 days (or such other time period as the Commodity Credit Corporation determines). If the successor signs timely, no refund of prior CRP payments is required. If no successor signs within 60 days, the contract is terminated.
File Form FSA-325 (Application for Payment of Amounts Due Persons Who Have Died) at the local FSA county office. Payments are distributed in a strict order: executor, surviving spouse, children, parents, siblings, then heirs-at-law. Provide a death certificate and proof of your relationship to the deceased.
The estate retains automatic ARC/PLC eligibility for 2 program years after the program year in which the participant died. After that, the County Committee determines whether the estate is still actively engaged in farming on a case-by-case basis.
Heirs' property (undivided ownership by multiple heirs without probate resolution) can make it difficult to obtain a farm number and participate in FSA programs. FSA provides alternative pathways for heirs' property operators, including accepting affidavits of heirship and county deed or tax records. The Heirs' Property Relending Program provides loans to help resolve ownership issues.
A surviving spouse who takes over farm operations should update FSA records to register as the new operator. If the spouse was a co-borrower on a farm loan, the loan continues automatically. For ARC/PLC and other programs, the spouse should file Form FSA-325 for any outstanding payments and execute new program elections as needed.
For FSA-guaranteed farm loans, the primary relationship is between the commercial lender and FSA. When the borrower dies, contact both the lender and the local FSA county office. The lender manages loan servicing, and FSA coordinates on any modification, assumption, or liquidation of the guaranteed loan.
If the deceased held an ownership interest in a legal entity such as a corporation, trust, LLC, or was a member of a joint operation or general partnership that participates in FSA programs, a representative of the organization should contact the local FSA county office as soon as practicable. Updated information on the legal entity or joint operation will be required to establish continued eligibility for program benefits.
Find your local USDA Service Center (which houses the FSA county office) at farmers.gov/working-with-us/service-center-locator. Enter your state and county to find the nearest office with address and contact information. You can also call the FSA National Call Center at 1-877-508-8364.
Sources
Data sourced from USDA Farm Service Agency primary sources (10 pages reviewed). How we research.
FSA National Call Center
Local FSA County Office
Local USDA Service Center
CRP contract successor must sign within 60 days; estate retains ARC/PLC eligibility for 2 program years after death; loan continuation is ongoing