Kansas agitator. [volume] (Garnett, Kan.) 1890-1905, 1891-01-26
Mr.. Foss SUGGESTS.
His Plan to Relieve tlse Financial Dis
tress Of Nebraska Farmers.

tress of Nebraska Farmers
The great drain that has come to our
people by reason of the large amount of
money, amounting to millions, that we
have to pay east as interest upon the
debts which the farmers owe and are
obliged to pay keeps us poor. The ex-
tortionate rate of interest eats the very
ifeo of our farmers.
The time has come when the farmers
of Nebraska should act as a class, when
something substantial should be done, if
possible, to relieve the producers Of
wealth OF. the great burden that rests
upon them.
The plan advocate is as follows: Sup
pose, by way of illustration, the farm
ers of Saline county are heavily in debt
and are paying high interest and COM
missions. Surprising they join together,
say 1000 of them, and organize under
the laws of the state as the Saline Coun-
ty Cooperative Farm and Loan associa-
ton. The object of this association is the
providing of security on which money can
be borrowed at a low rate of interest.
All the members own in fee simple and
live upon the land upon which they wish
to borrow money. All wish to borrow
money: some to take up existing mort
cages, and others to take up new loans.
They have perfected their organization
and chosen their officers. The titles to
the farm lands are passed upon and ap-
praisements of value made. This is
done by commission or board, of which
three are the officers of the state ap-
pointed by the governor. Two more are
county officers Of the county wherein
the land is located. The others are ap-
pointed by the farmers themselves who
desire to borrow money. The county
officers might be the recorder of deeds
and county judge, or the county clerk
and treasurer. as might be thought best.
So far as the titles are concerned the
same rule applies to this association as
to any other real estate loans.
The next step is the appraisement of
the property. This is done publicly.
All of the members are present if they
desire to be- and they can give evidence
under oath or argument as to the value
of their property. The appraisement
should be conservative one, based on
sales made. soil and other advantages.
1t should not be on what it would bring
at sheriff's sale for cash, but upon the
basis of the usual standard of part down
and the balance in payments. The valu-
alton complete. the proprietor executes
deed conveying the land he proposes
70 int tho mol on1 r11v,nivn RI tho
secretary of farm loans. who, would
suggest, should be the secretary of the
state of Nebraska. The land thus con-
veyed is for the purpose of securing the
state of Nebraska against loss in guar
anteeing bonds that are to be executed
by the association.
Deeds being recorded, the association
takes bonds furnished by the state of
Nebraska. said bonds drawing 3 per
cent The amount of bonds to be issued
would depend upon the valuation of the
land. Not over 60 per cent. of the val
uation would ie bonded. Of the 1000
members, for illustration. say that ten
wanted 81 900 each. five needed $4,000
and five s.. 800. making total of $50, 800
The persons borrowing 81 600 would take
ten shares of stock of the associations:
others, taking $1,000 or $4,000, would
take twenty or twenty-five shares re-
spectively, making a total issue Of stock
of S32.500. This stock would call for
interest at per cent. per annum, paya-
BILE quarterly or semi-annually, rs may
be thought best, and would bepaid to the
al e Nx1~x e..
the benefit of the Saline County associa-