The Hood River glacier. (Hood River, Or.) 1889-1933, 1916-08-24
BANKERS HEAR MYRICK
ON RURAL CREDITS

Hood River Saturday afternoon sent
its quota of bankers and ranchers to
Portland to hear the address delivered
by Herbert Myrick on rural credits.
The following Hood River men we're IN
Portland for the meeting: e. O.
Blanchar, Truman Butler, A.W. Stone.
C. Dethman and A. ID. Moe.
II the suggestions of local bankers
are availing, Hood River valley ranch
ers will apply Immediately for na.
tional farm loan association under the
new federal rural credits" law, AZ
discussed by Mr.. Myrick.
"Mr. Myrick's illustrations and ex-
plantations were simple and plain,
says E. o. Blanchar. His ideas that
local companies should be formed in
every rural community are meritorious.
If there is any worth to the new bill
we should Immediately test it and &c,
the benefit of it,"
Truman Butler says: 81 am glad
that | heard the discussion. 1t wal
good that so many local men could be
present. The bill is probably the
greatest in constructive Legislation
recently enacted by congress. All
counties and rural sections, 1t is graft.
flying to note. were we'll represented, y
"While Mr.. Myrick, according to Mr.
Blanchar, made no public statement
relative to the proposed Oregon Single
Tax amendment and rural credit bill
be touched on the two proposed amend
ments in private cow ersation witt
President W. j. Kerr, of the Oregon
Agricultural College, and a party Of
men following the formal meeting
Pres. Kerr is good friend Of Mr.. My.
rick and asked him to get Mr.. My
rick's views of the two bills.
"I am mighty glad you mentioned
those, said Mr.. Myrick. i was fully
expecting to hear somebody ask abou
them at the meeting. and was loaded
for questions, but since nobody brought
up the questions, as a matter of cour
tesy did not think it proper for me t
appear to come here and try to tell yol
what to do, at least without an invita-
tion to do os.
"'As for the single tax measure tha
is coming up, will say this: If tina
bill is passed your state will get n,
benefits from the federal law. Al
effort is being made to pass law tina
the supreme court, in my opinion. will
hold unconstitutional. If the court doe
pass favorably on the law, then the Sc
curity of those holding mortgages OF
Oregon land is removed.
"'You had better defer action Of
your own proposed rural credit law un
til you have tested out the governmen
bill. | would advise you to snow unde
both of these proposed measures. YoV
can get from the federal law all tn
benefits available under the stat
law.
The following is gist Of the fedora
bill:
A farm loan board of five members
| including Secretary of Treasury, ex
officio, appointed by President for s
year terms at $l0,000 year.
Twelve federal land banks, minimum
capital $3.50, 900, governed by farm loa
board, each managed by nine director
serving three year terms, six to b
named by farm loan associations an
three by farm loan board. On its mort
cages land bank may issue bonds il
amount from $50, 900 up to 20 times il
capital and surplus.
National farm loan association
formed by 10 or more farmers, whe
| they have 500, 600 or more in loans ar
ranged. can borrow from the neares
federal land bank, taking stock in tn
bank equivalent to per cent of tn
loans obtained.
Joint stock land banks may be estab
lished by 10 or more persons with min
imum capital of $3.50, 600, privately sub
scribed.
Loans can be made only on first mort
cages up to half the appraised value o
farm land and 20 per cent of the valu
of the permanent improvements there
on. They can be used for four pur
poses only:
To purchase farm for a home. T
buy equipment, fertilizer or livestock
For buildings and improvements. T,
take up pre-existing loans made fo
these purposes.
Rates are fixed by the farm LOAF
board but cannot exceed six per cent
Terms may vary from FIVE to 40 years
but regular repayments annually o
semiannually are compulsory. Amount
cannot be less than 500 nor more thai
$40, 900. Mortgages will be free from
taxation.
A borrower must take stock in tn
loan association to the extent of pc
cent of his loan and assume liabilit,
for double the amount OF his stock.