The Chickasha daily express. (Chickasha, Indian Territory [Okla.]) 1899-current, 1912-12-05
Ambassador Herrick Advocates
European Farm Credit Sya-
tenn Before Insurance
Company Presidents
TO PROVIDE MONEY
AT LOW INTEREST
Declares System Practical and
Can Easily Be Worked Out
Present Method Costly
to Farmers
Telegram by United Press.

Telegram by United Press.
New York, Dec. Company presi-
dents and other trustees Of policy
holders representing more than IS per
cent Of the eighteen billion dollars Of
old line life insurance now in force IN
this country are here attending the
sixth annual convention Of the Assoc
citation Of Life Insurance Presidents,
which began this morning Betterment
ot life insurance service, which ls the
dominating note 81 the convention, is
being discussed under three heads.
Problems OF Conserving Life lnsur.
ance Funds sProlonging Lives of
Policyholders,' and Fitting the Policy
u the Policyholder" George r. Coch.
ran Of Los Angeles, CAL, is presiding
.at the convention and practically every
state is represented among the two
hundred and fifty delegates and offlc-
ials present
In advocating the adoption Of a sys-
TEN for financing farm credits in this
country along the general line Of those
abroad, Ambassador Herrick suggest
ed the embodiment OF life insurance
plan to cover the loan in case OF the
death of the borrower
Villages, municipalities. cities in
America" stated the ambassador, sara
really a fungus growth on the couhtry.
They are the natural outgrowth of the
fertility OF the soil. They abe depend.
ent upon it for life-for existence. The
village, in order TO maintain schools.
make streets, build waterworks and
lighting plants and other municipal
utilities, pledges the united credit Of
the municipality, the security extend
ing over long periods This is done
BY the aid OF legislation, which also
provides restrictions as to the amount
OF the loan, etc IN other words, 1t Is
a financial set-up' created by legisla-
tive authority, and the result is magl-
cal in its effect AS soon as this se-
curity is created by uniting the credit
OF tAe municipality, it becomes cosmo-
politan in it's nature Instead OF de-
pending on the home market, it has
become current security in any money
center Of the United states at a lew
rate Of interest Were it not for this
legal authorization Of the arrangement
it would depend on the local market
and necessarily little or no improve
ment could take place, OF ai least it
would be slow, cumbersome and ex-
pensive.
Every year the farmer is spending
something like two hundred and fifty
{ million dollars more for interest than
would be the case if he were able to
! enjoy the benefits Of this system. This
sum which he expends in interest
should be applied to the development
| Of the country. 1t has been estimated
I BY good authority that he needs i'm
. mediately for legitimate development
o. the soil more than two billion dol
/ lars,
a THE whole question which IS nov
t being agitated is the creation OF
S 'setup financial plan adapted from
b European systems which win fInanc
d our land at low rates Of interest 70
It a long time, and accompanying that
Il system whereby the personal credit G
Il the farmer BY an arrangement sim
IS lai to the Raiffeisen system in Gel
many, may also be modified and pa
on sound basis.
1t only needs the application {
the alert minds Of the Americans /
work out and adapt these systems. &
the psychological moment has arrive
3 when it is necessary for it to be don
There are large accumulations /
: capital which are now restricted
local communities for Investment, b
ing permitted TO be applied only
municipal bonds and securities 81 ~
h class. aside from local loans Whs
NJ this security is created and put in
VI, the same category, this vast carit
W viii then be unlocked for this inQes
p- ment
ed I'm the creation Of rural seeugltti
sr Continued 0n Page Thfet.