Seven Cooperative Principles
Farm Credit’s cooperative model keeps customers at the center — locally elected farmer‑directors guide each association, customer‑owners share in the cooperative’s success, and 17,000+ employees bring deep agricultural expertise to every relationship. Rooted in rural communities, Farm Credit remains committed to keeping rural America strong for generations to come.
Farm Credit’s Cooperative Difference
Farm Credit is a nationwide network of independent, privately owned lending institutions serving all 50 states and Puerto Rico. As a cooperative, we’re owned by our customers — farmers, ranchers, farmer‑owned cooperatives, agribusinesses, rural utilities, and others across rural America.
Our cooperative structure ensures customer needs always come first, and it allows them to share in their institution’s success. The net income we generate can be used in only two ways: retained as capital to strengthen our financial foundation and ensure reliable service or returned to our customer‑owners through patronage dividends, which effectively lower the cost of borrowing for producers nationwide.
Cooperative Principles
Cooperatives are voluntary organizations; open to all people able to use their services and willing to accept the responsibilities of membership, without gender, social, racial, political, or religious discrimination.
Cooperatives are democratic organizations controlled by their members – one member-one vote. Members actively participate in setting policies and making decisions.
Members contribute equally to, and democratically control, the capital of the cooperative. Members benefit in proportion to their transactions with the cooperative rather than on capital invested.
Cooperatives are autonomous, self-help organizations controlled by their members. If the coop enters into agreements with other organizations or raises capital from external sources, it is done so based on terms that ensure democratic control by the members and maintains the cooperative autonomy.
Cooperatives provide education and training for members, elected representatives, managers, and employees so they can contribute effectively to the development of their cooperatives. Members also inform the general public about the nature and benefits of cooperatives.
Cooperatives serve their members most effectively and strengthen the cooperative movement by working together through local, national, regional, and international structures.
While focusing on member needs, cooperatives work for the sustainable development of communities through policies accepted by the members.
Hodges Livestock
For the Hodges, the cooperative model has also been key to their sense of community and shared purpose.
“Being a member of this cooperative is so much more than receiving a patronage check during the year,” Morgan said. “It’s about standing alongside other farmers, ranchers, and agriculturists. We’re all in this together. And together, we’re better.”
Satilla Rural Electric Membership Corporation
The cooperative model matters because it keeps member needs first.
“Providing a reliable system and offering modern services to our members is important to our core mission. Whether it’s rebuilding our devastated distribution system or extending fiber-optic broadband services to our members, CoBank has proven to be a great partner, and we are grateful they have been there to help us fulfill our mission when it matters most,” Reyes said.
