The Grenada sentinel. [volume] (Grenada, Miss.) 1868-1955, 1915-07-16

Rural Credlts-LOans on long time at
low interest rates are invariably
brought into all discussions of the sub
ject OF Farm Life. Rural lmproy
Diversifcation or any other subject ap-
pertaining to the pursuit OF agriculture
Oftentimes. cheap money on easy terms
of payment i, offered a. panacea for
many OF the attendant ills of rural life.
Indeed it seems that many OF our poll
ticans would have us believe II II were
possible for the poor down-trodden
farmer to obtain money on easy term,
and a. low interest rate. that hi, bur
den, would roll away, a, easily a did
the sins OF the transgressor~ ia graphic
ally depicted in the pilgrim Progress,
by the bag full.
Certainly money i essential to the
success. OF every business. Banks
cure needful funds in the way OF de-
posits. upon which to operate. from the
people ot the vicinity in which they are
| located, or else some OF them must bor-
row i'll the money centcr> to supply their
requirements Ninety per cent Of mer-
| chants, manufacturers and traders bor-
row and almost every business. at times,
| finds it necessary to ISSUE note, Ot hand,
| or promises to pay, To satisfy or sup
| ply some pressing need or demand. The
pursuit of farming being one OF busl-
ness, nothing more nor less. certainly
the farmer, when compelled to borrow
| should be entitled to most favorable
terms of payment with every advan
tage in interest notes. Indeed since the
farm in the broadest sense. i the great
est source of wealth of our country, and
a. the farmer i the Bed Rock. as II
were. upon which the finances Of oul
country rests. then certainly he Is de
serving of the highest consideration ans
entitled to' every favor which woulC
.end to facilitate h- business "a vel
as to assist him to ultimate indepen
dcncc. Ii is, no doubt, true that three
, out OF five loans made to the farmers o
our country would be more helpful i
stipulati for payment would allow
time of five or more wears, either il
annual in-tallments. or interest an
nuallv and principal in one amount a
might best suit the individual case.
have heard it suggested. over am
over again. that companies or corpora
tion~ organized upon plan ,omcwha
along the lines of farm loan companle.
now in operation in the countries o
Europe, more particularly France, ltal
and Germany. would be the very thing.
To adopt such plan would necessitat
the organization OF loan societies bank
or companies. under authority NJ state q
national government: or to put 1t al
other way, charter under federal q
state laws farm loan banks. to be ope
ated upon mutual basis for the pu
=. pose OF making loans to farmers q
:, u loans secured by farm property; som
! thing after the plan OF building an
. loan associations. if You please, whei
= the borrower contributes to and at Il
4 times shares in the profits and thu
n derives benefit from a liability, ii Il
paradox be possible in the plan
v finance.
# To mention the details of operation
II such organizations would consume mo-
o time than necessary, since those wi
It desire to pursue the subject further ma
Id secure information from the Dstribu
ing Library at Washington. where
supply of literature giving full hi>tol
Of the different plans and metho
adopted by such corporations, banks
societies a. are now in operation in {
countrie, of Europe. can be had at sms
cost.
The commercial agencies give the
formation that - e. ot'those engaged
rd commercial business fail before they
ht tain the age OF fifty wears. that aft
5. fifty years of age only one person
MS five thousand can overcome iinanci
al misfortune. That $50 of business mt
Is at sixty-tive years of age are depende
either upon their daily earnings or oh
C dren for support. lnasmuch a. the bu
n ness of farming is not so hazardous
e attended with such risks as are 9th
ne pursuits. this fact may be accepted as
hs further reason why the farmer. VIII
H. compelled to borrow, should be cntitl
IN !, to most favorable terms as to PAYNE
IL as well as to concession in rates of
terest. For it is rule well establish
the world over. that decrease of haZa
or -ehance, justites a corresponding
,r- crease in charge or tax. To put it
at other way, minimum risk justities mi
ee mum cost always.
et Low interest rates and loans on lc
a time to the farmer sounds nice a
as looks good in print. and many of
foremost thinkers of today-al pol