The Emmett index. [volume] (Emmett, Idaho) 1893-1925, 1916-01-06

d~~D~aO~~
farm credit system was brought u
and discussed. The system was IL
troduced at Weiser year ago an
has been successful. To those VIII
are not familiar with the subject tn
following article written for the Ger
State Rural by L. |. Purcell, editor 0
the Weiser Signal, will be of interest
In attempting an explanation o
the system of farm credits adopte
by the business men of Weiser,
wish to emphasize two or tire
things at the outset. First, tn
plan will not at first appeal to tn
business man who is in a position t,
demand security for his merchan
disc, as he feels that he has all tn,
protection he needs. But after 1
closer study he will see that even HI
can get some good out of it, Sec
ond, II will not appeal to the farmer
who figures on gliding through this
world without paying his debts, foi
1t provides for payday. Third, il
is not panacea for all our finan-
cial ills and will not and cannot
take the place of government rural
credit based upon cash transactions.
The Weiser plan is in reality crea-
ture of necessity, and briefly | will
detail its origin and scope.
About year ago Mr.. A. s. Ever
est came TO Weiser to look after
the interests of the Pittsburg, Pa,
rigation project. Being business
man of keen insight, he considered
it his first duty to look into the con-
dition of the settlers under the great
irrigation system, rightly concluding
the best way to insure the stability of
the bonds was to devote good mea-
sure of his time TO planning for the
success Of the farmers. II took but
a short time for him to discover that
the farmers were handicapped by a
lack of money and a consequent lack
of credit,
He found that in many instances
the farmers had been compelled to
mortgage their crops or stock, and
sometimes both, to one business
house for the meager supplies neces-
sary 10 feed themselves and their
families, or for implements to work
with, while puttino in their crops.
Sometimes these mortgages were TAX
en- for as little as $25 or $50. Then
il the farmer wanted something of
some other merchant his credit was
impaired and either the other mer-
chant carried him and took all the |
risk or refused him and forced him |
10 curtail the development of his own /
farm while working for someone else
10 earn money to live on. Instead of
farming 40 or 60 acres and being able
10 get on his feet he probably farmed
10 or 20 acres and if he had big
family he found himself at the end of
he year just where he started, or
title worse Off.
The merchant was not always to
,lame Many of the men asking for
redit, particularly the homestead
RS, possessed nothing but team,
wagon and harness. However hon
ST they were the merchant might
now but little of them, and could
lot leave his business and drive miles
nto the country TO see If they were
hrifty and were likely TO be in
osition to pay. Often the same mer-
hant has taken second mortgage,
nd third, in order to see his GUS !
omer through, and then if the farm I
r did not properly attend 20 his !
rops was compelled TO take all he I
ad TO get square while the merchant c
rho extended credit without security c
Dund there was nothing left for him. G
hundreds of honest farmers in south
I'm Idaho have bought land on partial |
ayments while others are home 9
leaders, and both classes have found |
handicapped by the rea- r
On of having nothing but few head v
stock and prospective crop to c
use credit upon. If one merchant =
'ok this security the farmer found v
mself barred when desiring to pur- $
lase goods handled by someone else q
! of another character. n
The Weiser plan provides for an p
'ganization headed by president. =
18th secretary and treasurer, and y
committee of three to pass on the v
mount of credit to be granted the d
pplicant. 1t also provides for ..
ustee, who acts as secretary, and ~
hose business it is to look up the ~
,plicant's resources, his skill as -
rmer, the amount of his indebted U
SIS, to make recommendation to g
G credits committee on the amount IL
credit which should be extended, NJ
I'd, after it is granted, to see that "a
e farmer property cultivates his az
op and makes the best use of the 70
edit given him. In short he is 81
TT Of field man for the association. OF
When the amount of credit is ~
reed upon the farmer executes a -,
OPP mortgage which bears seven per l..
mt interest per annum, and is given ~
credit certificate which is used in "
aking purchases from any of the a A
smber merchants The certificate
signed by the trustee and is in
ct letter of credit which sets forth
e amount and conditions of the
edit given. Blank drafts are also
ued, reading ION or before Novem- 10
r lst," etc, and drawn on the trus- tn
2 of the association. When the ST,
rmer makes a purchase one of these al,
ats is filled out for the amount
d given in exchange for the goods, 10
2 seller making an endorsement of su
e amount on the credit certificate. In
hen drafts have been drawn for the orr
II amount of the credit certificate
e last seller takes it up and delivers ca
to the trustee. AS the drafts are an
ued the merchants present them to GU
2 trustee for registration, thus 70
eping the trustee informed of the