The Brattleboro daily reformer. (Brattleboro, Vt.) 1913-1955, 1917-10-06
Will Discuss Question of
Forming Farm Loan
Association
AGRICULTURAL AGENT
SWEETON IN CHARGE
County Farmers to Assemble in Farm
Bureau Office = Thirty seven Associa-
tions Now Formed to Apply for Loans
At Springfield
At Springfield.

Nmdham county farmers who are in
terested IN securing capital with which
To pay Oft a mortgage or debt: to buy
a farm; To buy more land; TO purchase
equipment, fertilizers. or I've stock 10
put M buildings: or otherwise TO de
velop their property. Will meet at the
Farm Bureau Office in the BrattIeboro
town hall Wednesday, Oct. 10, at 10 a
m for the purpose of learning more
about the proposition and organizing
local association if possible \ w
NWeeton. county agricultural agent. viii
have charge Of the meeting. Mr. SWeeton
has just received a statement from the
federal land bank of Springfield. show
ing that 81 associations have already
been chartered by he federal farm loan
board 10 receive applications for loans
from the Springfield bank Some 80
others have organized or are in process
OF formation, but have not vet received
their charters. Vermont has four such
organizations and one chartered assoeia-
tion.
National farm loan associations are
organized and run by and for farmers
Others cannot legally be admitt,l to
membership. There is no limit to mem
bership. Some already have more than
30 members and the strongest associa-
tlons promise to have several hundred
by the time they are wear old ANY
farmer who wants to borrow on a farm
mortgage any sum ranging from 500 to
$4,000 may be admitted To membership.
Each borrower buys shares in the asso-
ciatlon To the amount of five per cent
ssas- his desired loan. The money the
Farmers pay their association for stock
l. turned over To the Federal Land bank
TO buy stock Tor the association In this
way the farmers themselves become the
owners and directors Of the national farm
loan association They become investor,
as we'll a. borrowers. The government
has not only made the way easy, but it
helps the farmers to reap the profits de
rived tfnm their own efforts OF borrow
ing
Bat more than this BY becoming sub
scribers To the capital stock OF the
/ federal land bank of their district, which
the associations have to do when appli-
cations for loans are made the farmer
members OF the national farm loan as
socjations ultimately will become the
owners OF the land banks also. for the
government win gradually withdraw it,
stock holdings from the federal land
banks and leave their ownership with all
their profits entirely in the hands OF the
farmers themselves
National farm loan associations are
organized for the primary purpose of Civ
ng to each borrower the benefit of the
combined credit Of all their members to
the extent OF the capital contributed and
the liability they each incur, and hence
each ASSOCIATION is required to endorse
every loan made to members No loan
can be made except upon the security Of
first mortgages The amount Of the
mortgage may equal one-half the ap-
praised value OF the land and twenty
per cent Of the value Of the permanent
insured Improvements thereon The pro-
ieeeds of the loan may be used for the
eXtinguishment of pre-existing indebted
ness or tor productive purposes. which
include the purchase of live stock fer
tilizers, equipment, and improvements