A time of "agricultural land" farmers in Turkey, was no longer able to become debt-free and base production. It turned out that the farmers convicted in the bank were able to pay "unlawful and exorbitant interest" in order to be able to plant the field and to cover their expenses. The farmer, who thinks he is using the loan with a rate of 8 percent, also receives 14.5 percent of "hidden interest".
According to the decision of the Council of Ministers, the agricultural loans, which should be extended from 8 per cent of the farmers, are used from 22.5 per cent in the year 2012 agreement between Ziraat Bank and Agricultural Credit Cooperatives. The borrower of the farmer who does not know about them is folding. No sector 22.5 percent profitability rate in Turkey is absent, farmers use the direct loans from 8 per cent, 14.5 per cent interest being charged hidden. This painfully explains why the country's agriculture is still in place. The backbone of the farm is the farmer, so he does not get his belly straightened.
Ziraat Bank gives agricultural loans to Agricultural Credit Cooperatives as "commercial loans". In other words, the market is using interest rates. Since the interest rate on agricultural loans is 8 percent, Agricultural Credit allocates the difference as "resource use fee" from the farmer. Every time the interest rate rises, the resource usage fee of Agricultural Credit is increasing. Therefore, the credit cost of the farmer who thinks that he uses a loan with 8 percent discount goes up without being aware of it.
President Erdogan, even against market interest rates, farmers have been illegal interest for years has appeared. According to the decision of the Council of Ministers, even though the interest rate on agricultural loans is 8 percent, the farmers are using loans with market interest rates contrary to the laws. Withdrew from farmers due to the unlawful production rates, Turkey has become dependent on imports for many products. President Erdogan opposed market interest rates due to its high level, and Ziraat Bank has turned to Agricultural Loans according to market interest rates. While the interest rate on agricultural loans is 8 percent, Agricultural Credit collects the difference as 'resource usage fee' ie 'hidden interest'.
As it is known in Turkey discount agricultural loans to farmers only it is given by the Agricultural Bank of Agricultural Credit Cooperatives. Agricultural Credit Cooperatives also use agriculture loans granted by farmers from Ziraat Bank. While Ziraat Bank has been using discount credits to Agricultural Credit Cooperatives until 2012, with a 'special agreement' made on this date, Ziraat Bank has started to give its source from the commercial interest rate that it now uses to Agricultural Credit Cooperatives.
The content of this agreement made against the farmer was not realized as the interest rates on commercial loans and discounted agricultural loans were close to one in 2012. However, with the increase in the market interest rates, the Agricultural Credit Cooperatives began collecting the difference under the name of 'resource usage fee'. As the market interest rates increased, the 'resource usage fee' that the Agricultural Credit Cooperatives received from the farmers, that is the hidden interest, also increased.
Market interest rates rose to 22.5 percent at the point reached, while the 'resource usage fee' of Agricultural Credit Cooperatives peaked at 12.5 percent. In other words, the farmer who uses agricultural credit with 8 percent discount from Agricultural Credit and 12.5 percent pays a separate interest under the name of 'source usage fee'. The farmer, who can not read the full documentation while using credit, is informed of 'secret interest' only when he pays for his credit.
Turkey organized the Agricultural Credit Cooperatives located in the general partner are 1 million 200 thousand farmers. The credit cost of farmers using agricultural credit at 8 percent discount from Agricultural Credit is 22.5 percent with 12.5 percent resource utilization fee, ie hidden interest, 1 percent building donation fund and 1 percent support fund. In other words, a farmer who uses a loan of 100 pounds, can close this debt as 122.5 pounds.