Fridays on the Farm: Making the Best Better with Youth Loans

This Friday meet siblings Madyson and Jarred Richey, a young farmer duo from Scottsburg, Indiana. With a long family history in agriculture, the Richey siblings have been actively involved in their local 4-H and FFA groups. Youth loans from USDA’s Farm Service Agency (FSA) helped Madyson and Jarred purchase their animals and to grow their own cattle herd.

Madyson finished her 10-year 4-H career in 2023 and remains heavily involved in the program. She was also a five-year FFA member and served as an officer each year. She is currently in college, studying to become a veterinarian. Jarred is in his seventh year of 4-H and his second year of FFA.

Return on Investment

FSA youth loans provide opportunities for young entrepreneurs to acquire experience and education in agriculture-related skills. These loans provide up to $10,000 for people 10 to 20 years old. Youth loans can be used to start and operate income-producing projects of modest size and are available to members of  4-H clubs, FFA, Tribal youth groups, or similar agricultural youth organizations.

Madyson and Jarred used the youth loans to purchase quality animals without dipping into their college savings or placing the financial burden on their parents. 

“I have learned how important record keeping is and gained marketing knowledge which helps me make better decisions when selling cattle,” said Madyson.

 “When you sell your cattle each year, take that money and pay down or pay off your loan,” Jarred added. “It makes it much easier to get another loan if you need it.”

The siblings are already seeing a return on their investment. They secured their first loans in 2020 when they each purchased a market steer and breeding heifer. Over the last four years, they have grown their herd to 11 cows and a couple heifers. They plan to expand their herd by purchasing additional quality cattle in the coming years.

Looking to the Future

Both Madyson and Jarred have been responsible for daily feeding and overseeing of their cattle, as well as any preventative care. Jarred has taken on Madyson’s usual responsibilities now that she is away at college, knowing that when she is home on break, he will get a break. Looking to the future, they're interested in utilizing other FSA loan programs to purchase equipment and farmland.

“I love working with the youth loan program,” said FSA Farm Loan Officer Megan Downing. “It is rewarding to see our youth excited about the future of agriculture and I love that I get to play a small part in fueling that passion. The youth loan program is a great way for FSA to introduce our programs to the next generation of beginning farmers.”

The awards they won at the 2023 and 2024 Scott County Fairs are proof of their hard work and dedication. The awards included Grand Champion Born and Raised Steer, Reserve Champion Heifer, and Reserve Champion Cow Calf Pair, just to name a few. The cow from the Cow Calf pair was one of the first purchases Madyson made with her USDA loan. 

Both siblings have also won showmanship awards over the years, with Madyson winning the Master All Around Showmanship award in 2023, her final year of eligibility to compete in 4-H. She now spends her time helping Jarred reach his goals. 

The Richey siblings recommend the youth loan program for aspiring youth. “You always hear that you must be 18 to take out a loan, so it was very surprising to me that I could have a loan at my age,” said Jarred.

“Working with USDA was very easy, and everyone has been extremely helpful every time we’ve had questions,” said Madyson. ‘This is a great program for youth to begin building their credit while having someone along to guide them on the importance of good credit and the steps it takes to maintain it.”

More Information

Visit local farms, ranches, forests, and resource areas through our Fridays on the Farm stories. Meet farmers, producers and landowners who are working to improve their operations with USDA programs.

New to farming? USDA offers dedicated help to beginning farmers and ranchers and can help you get started or grow your operation. 

USDA offers a variety of risk management, disaster assistance, loan, and conservation programs to help producers weather ups and downs in the market and recover from natural disasters as well as invest in improvements to their operations. Learn about additional programs.

For more information about USDA programs and services, contact your local USDA service center.

Angie Stuehrenberg is the communications coordinator for FSA in Indiana.