Omaha daily bee., 1916-09-23

corridors seeking to push their way
in, or waiting for someone TO leave
and make room for another
Sixty Are Farmers.
When Secretary McAdoo asked TO
see the hands OF those who were
farmers sixty hands in the room went
up, which did not include any in the
hall unable to crowd in.
Mr.. McAdoo made an opening
statement, briefly telling the purpose
of the hearings, and George w. Nor
ris followed with a summarized state
ment of the intent and purpose of the
bill and the method of its operation.
J. A. Oils of Ord was the first
witness called. He testified that in
the last few days he had talked to at
least eight men within a radius of
three miles in his neighborhood who
had from $1,000 to $1,000 apiece, but
were afraid to buy even an eighty
acre farm, though they wanted one,
because they feared reverses that
would make it impossible to pay off
the mortgage in the five years al
lowed them under the present system.
He said all these men declared they
would feel safe in buying farm I'M
der the farm loan act when they could
get cheap money on twenty or for
ty-year term under the amortization
plan.
All Charge Commission.
Mr.. Oils testified that the prevail
ing rate OF interest on farm loans in
Valley county is 6 per cent, but that
all the loan companies charge COM
mission Of ~ per cent for making
the loan.
Ed P. McDermott of Kearney, a
lawyer, next on the stand, had a pack
Of letters in reply to inquiries he had
sent to loan men all over the Sixth
congressional district of Nebraska.
While many of these loan Inen did
not want their names mentioned, they
gave information freely as to rates
of interest charged and commissions
deducted. Summarized, they were in
part as follows:
Bartlett, Neb., 6 per cent plus COM
mission.
Sidney, Neb., formerly 10 per cent,
now 8 per cent since the farm loan
law passed. . ...
Sherman county, 81 to 6 per cent
interest and 2 per cent cash commits
sion.
Dawes county, average OF per
cent interest, and in some cases COM
mission as high as per cent.
Keya Paha county, 6 to I per cent
interest and varying commissions.
Dawson county, 5 per cent interest
and $40 per $1,000 commission.
Sioux county, up to recently 10
per cent interest; now 8 per cent.
Scottsbluff county, under irrigation
10 per cent interest and other rates
varying with the individual case with
regard to irrigation facilities, etc.
Keith county, 8 to 10 per cent in
terest and commission at ~ to 2
FER cent.
Kimball county, IS per $1,000 COM
mission. which always runs the rate
of interest up over s per ceut.
Banner county, 10 per cent interest
and 10 per cent commission.
Lincoln county, 6 per cent interest
and per cent commission.
Cheyenne county, 6 per cent on the
best improved land.
Many Leave Farms.
Mr.. .McDermott declared that cf
the Kinkaiders who settled on these
640-acre homesteads a number II
years ago, only 10 per cent are now
on the farms. The rest, he said, had
to get out, largely because they could
not get cheap money on long term
loans with which to develop these
places.
y feel sure from canvass have
made" said McDermott, that 90 per
cent Of the farmers in the Sixth dis
trict will avail themselves of the op-
portunity to borrow money under
this new plan as soon as the federal
farm banks are established. They
are all willing to join the local as
sociations."
He wound up by reading some re-
plies as to location favored by men
from various places in the western
part Of the state, all Of whom favor
ed Omaha, giving tn. railway facili-
ties and many other reasons for their
choice.
Victor Anderson OF Kearney. who
with his brother operates an S00-acre
farm, testified that the prevailing rare
of interest on farm loans in his To-
cality is 5H TO 6 per cent, with COM
mission charge of per cent year
He testified that 40 per cent Of the
farmers in his county are tenants,
that all of them are ambitious to own
farms, and that these would all be
greatly helped by the establishment
of farm loan bank.