Ruralco an agent for NAB credit

Ian Rogers
National Australia Bank will promote seasonal finance to farmers through select outlets of rural services firm Ruralco. The latter announced the plan yesterday.

Farmers who take up the seasonal finance will be issued a co-branded Ruralco Visa payment card that farmers can use to purchase supplies at the Ruralco outlet.

Ruralco will also refer farmers to NAB for term loans.

The rural services firm offers its own seasonal finance to farmers. It is unclear from the financial statements of Ruralco (published this week) and its subsidiary Roberts Limited what the level of seasonal finance provided by Ruralco was at the September 2009 balance date.

Under the most recent prospectus for the unsecured notes of Roberts Limited the firm held $48 million in deposits.

Ruralco earns around $3 million a year in EBIT from its own financial services business.