The sun. [volume] (New York [N.Y.]) 1833-1916, 1890-05-05
THREE BILLIONS AND 4 HALF.
what n Distinguished PhIIosoPhsr Says
About Western Farm Mortgages.

Prom Gen. Buffers Speech at the muller cub Dinner.
How does the farmer lose his lands Lot
us now turn to tho second proposition which
The rst as ' to the rewards OF farm labor which
present, as well as an illustration oil the con-
dtion q forming interests az S r T@pninS to
the laborinR men and women deposited Tor
their future In the savings banks In other
States In New England, excepting Massachu-
Taking simply the agricultural lands the
farms OF the Western States, exclusive OF city,
county, and town property, there will be found
to be invested In farm mortgaGes the , stnpen,
averaging from to Q per cent, TO say nothing
OF costs and the commissions OF agents which
have been taken from the farmers ior proc;uIr ..
said to be not less, on the average, than per
cent The human mind at once does not take
In the results OF these vast sums.
-. To give you an illustration. the whole ma
tlonal debt OF THE SSuntry IN 1870; aS the close
Su art wa less Than his Mortgage dS6 But
there is another fact or two TO be taken into
confederation. This country has been twenty
i've years, with all its immense resourceR en-
gagged In pRyinR-some time anticlpating Its
payment-the national debt, and has reduced
the national debt has had a much lower ratio
OF interest, and may be refunded any day at 8
There is no way OF refundlng. or reducing
this fabulous m ortRage debt, with its oppres-
sive and destructive rates OF interest 10 re-
deem It, IL done within the Same time that the
national debt has been cancelled SO far as 1t
has been cancelled. would require tho payment
Of the national debt at the end OF our war. So
that the payment OF these mortgages is simply
them n1G Is also im MI bocause as we have
seen. they call for from TO 8 per cent, aud all
statistics show that the average profits on
cent only-hardlv over 4.
These mortgages never will be paid, II for no
other reason. because they never can be paid.
II the. debtors wore ever SO much disposed to
pay then., BUT they will not be disposed to
the commissions and costs at the rate Of per
cent. there was leit ad burden upon the mort
they never have received any value. which
therefore dminishes so much their ability to
nay. and which they look upon as having been
How does this affect investors2 No honest
man can invest for another person money in
ceased to invest in them but there has been ii'a
class OF thouRhtless brokers who have been
engaged in gathering from persons ignorant
rates OF interest, their little moneys which
they have laid aside for a rainy day, and have
apparently invested portion OF such money
Let me give an incident Of how that
case: gentleman had business in United
States land off1ce In q Western State. While |
there attendi,ng to his business man came In |
and said: Have you got my patent ready for |
1t is not ready yet. and this is the hfth time
haste 2" replied the Recorder.
Only this: AS soon as get the patent there
is fellow here who Is ready to take q mort
gage on the land at 50 an acre."
You only paid the Government &1.25 an
acre, and you have no improvements upon
Well" said the applicant, The will take a |
mortgage all the same. and want the patent
hurried up"
Said the recorder: what are you going to
do with 30 much money when you get It Z"
" am going West and take up other lands"
he evidently had no idea OF paying the inter
est on or redeeming that mortgage.