Amos, Akpokos JamesDr. Hauwa'u, E. Yusuf2023-12-142023-12-142015-01-23Ehirim, N.C. and Oguoma, N.N.O.(2013), Estimating Farmers Patronage Level of Informal Credit in lino State: Implication for Efficient Formal and Informal Financial Linkage and Rural Development” African Journal of Agricultural Research Vol. 8(49) pp 6439-6445 Otu, M.C. and Anyanwu, C.M. (2003), Informal Credit Market and Monetary Management in Nigeria in Central Bank of Nigeria. Research Department. An Occasional. P29https://keffi.nsuk.edu.ng/handle/20.500.14448/7235The lack of access to credit facilities has been implicated as one of the major obstacles to the development and growth of the agricultural sector in Nigeria. Thus, the need arises for the provision of credit to small farmers. However, due to the in-built bias in the formal ere sector which denies small farmers access to credit, most of them resorted to the informal credit sources for their loan requirement view of the popularity and patronage of the informal credit source, study undertook to investigate its modes of operation in Ikara LGA Data for the study was obtained from 104 beneficiaries of informal loans. Additional information was also collected from 52 credit providers, using the in-depth interview method. Findings from the study indicate that all the respondents received their agricultural loans from informal credit providers. The interest charge on the loans was found be between 40 -90 percent and repayment was mostly done with the crops produced. Generally, the study found that most farmers did not benefit from the loans received because almost all the farm produce harvested were used for loan repayment. The study recommends that government should introduce micro finance banks in the rural areas which would lend to farmers at lower interest rates.enNon-institutional, Credit, Operations, peasants, Famers, Ikar a LG AArticle