The Caldwell tribune. [volume] (Caldwell, Idaho Territory [Idaho]) 1883-1928, 1913-12-26
A DISCUSSION
Of RURAL CREDITS


nation, any light that can be thrown
on the subject should be of interest to
an. At the last convention OF the
national Grange, held at Manchester,
~ H., the following resolutions were
passed:
Resolved, that it is the opinion
O. the National Grange that any legis
iatlon Tor the purpose OF lettering
farm credit is part o. the great
| National Policy OF conservation OF
TODD supply, and as such, it cannot
/ properly be delegated to private cap
ltal tor general exploitation and
proht.
Resolved, that any farm credit as
sociatlon which shall receive any
privileges by or under federal or
state law should be composed OF ar
mers and not by capitalists of high
finance who have heretofore domi-
mated agricultural credit and created
conditions which now demand relief
Resolved, that any farm credit plan
which does not include direct re-
duction of the prevailing rates OF
interest, as well as a long term OF
small annual payments upon farm
mortgages, will not meet agricultu-
raj credit requirements.
Resolved that the Government Of
the United States should borrow mon
ey at rate of interest not to exceed
32&o and lend the money at a rate of
interest not to exceed 4H%o to the
farmers upon long time farm land
mortgages with such restrictions as
may be necessary to make the Gov
eminent perfectly secure and the prof
it to the Government to be expended
in road improvement or for some
other object that will benefit the
whole people"
Upon the subject OF rural credits,
tenants and tenantry and what the
government may do with safety, are
given below the remarks Of Hon. E..
r. Bathrick. member of Congress,
who has for many years given the
subject serious study. Mr.. Bath
rick says,
, 1t has been stated that Govern
) ment Loan Plan cannot take care OF
mortgage loans on farms up to 1874
OF the value tor tenants who wish to
buy.
Do we need to do it in order to &C
r complish great good? IL 50, some
other countries have found it safe.
The government can safely and
! rrohtably lend up to oO%o OF the value
) of security on first mortgage at 4HRo.
If it lends to all tenants who can pro
, duce 40R of the purchase price of a
arm, we will do much to decrease ten
ancy.
: Whether the tenant has this 40Ic Q
not, depends largely on price OF farm
Every farm tenant knows that small
: farm we'll titled is better to him than
big farm well rented for the owner
mortgage will encourage them in buy
e A low rate of interest and long term
: ing. Those who have less than this
| 1919 will be encouraged by the same
! reason to get into the 40&o class.
No rivate-capitai farm credit plar
Il can lend more than 500 on mortgages
+ and expect bonds issued against then
to sell at par | more liberal lend
g ing is necessary the government alone
k can do it on the theory OF public pol
lev. Private capital will not do ii
Then why complain Of government
loans on this ground? If we LEM
9 up to 500 now, we will likely neve
:, reach the necessity for lending UP t
1871.
. One writer is afraid that cheaper in
. | LGl CSl dts dld iolSSi NJ IL iiiCi
% cages will raise the price of land S
that the buyer OF a farm will not b
/ benefited. Will this rule work bot
ways? L so, why not RAISE the pres
If ent interest rate and make the farm
cheaper? Will that help decrease ten
antry?
Only the more thrifty OF the tarn
: tenants will buy tarms' lake tines
away from the tenants VINO are seek
ing to rent farms from LANDLORDS an
the landlords may want to sell thei
tenant farms ter trial OF the thri1'
less tenants. Anything Whlch en-
courages farm tenants 10 buy W
put tenant farms on the market 10
: sale and this condition VIII unaouo'
edly steady the price
But the number OF tenants we no'
have, IS not more important than tn "a
number we may nave II we 90 hoth
ing.
= lower interest," l'tG alo -.
terms will keep many OF the preset
morteaped farm owners from taeh'
selves becoming tenants
4fAr ~ /