The Pensacola journal. (Pensacola, Fla.) 1898-1985, 1917-12-27
FLORIDA farmers
ARE USING FARM
LOANS BANKS
Washington Bureau
The Pensacola Journal


washington, D. c., Dec. z6.-That
the farmers of Florida have enthusi-
asticalIy awaited themselves of the
oportunity to make iong-term loans
on their farms at five percent from
the Federal Farm Loan Bank sys-
tenn Is shown by report issued by
the Federal Farm Loan Board review
ing the operations of the system up
to December 1st.
The report shows that 20 farm loan
associations have been formed by the
Florida farmers: that loans OF So
06,062 have been applied for by those
associations; that the Federal Farm
Board has approved loans of ss14,05o,
and that loans amounting to s61,3a0
have been finally closed.
The farmers Of the Southeastern
and Western States have taken full
advantage of the Farm Loan system,
while the farmers in the North Allan :
ito and New England States have ex-
hibited an apparent lack of desire to
embrace its advantages.
The farmers of Alabama have form
) ed 50 farm loan associations and ap-
piled for loans OF $e,253,s32; Tennes-
see has formed 81 associations: Mis-
sissippi 96: Virginia As; California
Mexico rs, and Washington &C.
on the other hand the farmers of
Pennsylvania have formed but 10 as
sociations, and applied for loans of
hut s1,253,545; New Jersey has formed
associations Delaware l.; Con-
necticut S. Maine s; New Hampshire
ri: Vermont and Rhode Island 2.
This activity in connection with the
Farm Loan Bank system in the South
and apparent indifference towards it
in the Northern States is undoubtedly
due in a large measure to the fact that
the Northeastern farmers have always
been able to obtain loans at the banks
at between and z per cent, while in
the South, the figures of the Treasury
Department show. the markers have
held the farmers up to anayerage in
terst rate of over per cent and In
many instances much higher.
California has applied for the larg-
est loans. making application for
sfs,102.Ts9. and Delaware for the
smallest amount, s29,l5o.
Kansas has received the largest
amount of loans, getting S3,594,Oo0
and Louisiana has received the small
est amount. having obtained only $3.50
although the Louisiana farmers have
formed IA associations and applied
for Ioanseof s2,03S,1t
Up to December LIST s29,S24,ooo mao
been actuallys paid out to farmers OF
the United states. The total OF Loans
approved by the Federal Land Banks
including those closed and those
awaiting notification of title ana oth-
er formalities. is $780, s6.52s.
The report also shows that the TO-
tai loan applications made to th'
twelve Federal Land Banks has beer
s2te.7so.740, which has been cut doWi
by reductions and reflections TO less
than $500 900. Theiesinterest rat
under the Farm Loan system has beer
increased from per cent to IL pei
cent and the increased rate will appia
TO all applications which have no
Vet been approved by the. Fedora
Land Banks.
Borrowing under the Federal Farm
Loan system is done through cooper
alive farm loan associations organized
nv farmers each association peihe
composed of ten or more farmer DOT
rowers. and each group borrowing a.
least SEQ 90. Up TO December lst tn'
Farm Loan Board had chartered l.
SIG such cooperative associations.