Abstract: This study assesses credit reserve of crop farmers in Cross River state and the determinants of its use in obtaining loans from the microfinance institutions. The study reveals that the crop farmers use only about 9.0% of their reserves on the average in obtaining loans. However, farm size and education are the most important determinants of the extent that the crop farmers allocate more credit to loans. For the microfinance institutions to improve outreach and performance, farm size and education enhancing programs must be introduced to compel the farmers to allocate more credit in reserve to loan.