Keowee courier. [volume] (Pickens Court House, S.C.) 1849-current, 1917-03-28

IulIslS Wo snail Dc aDlC 10 SGt InS
values we require for lending pur-
poses.
The directors Of farm loan associa-
tons arc charged with the duty of
admitting men to membership. They
must understand clearly that pre-
judicc, personal dislikes, or spite Of
one kind or another must under no
circumstances enter into their calcu-
lations. They have to determine
only whether an applicant is a man
! who will pay his debts If he can and
also If the applicant Is good enough
, farmer to make money out Of his
farming operations. Ne'er- do wells,
land spectators, men OF eXtravagaEt
habits. careless, slipshod farmers
! have no place in this system. They
must change their methods and raise
themselves in the estimation OF their
! neighbors before they can be safely
admitted as participants in the bcne-
fits of the farm loan system. Farm
loan association members and farm
| loan association officers must bear IN
mind constantly that this Is purely
and simply business proposition
and that they assume, and must,
under the law assume, certain
financial obligation covering each
loan that they make and each indi-
Hidual whom they may admit to
membership iE their asSoclatiOn II
through lack Of wisdom or foresight
or Judgment or if through careless
and unwise appraiscments it should
happen that foreclosure OF property
is necessary, and upon the sale OF
such property the amount o. the
mortgage is not Forthcoming. the
other members OF the association will
be required to pay the difference,
each member up to ten per cent of
the amount of his loan. There is no
reason why any association member
should ever be called upon to assist
in the paying Of the obligations of
any Of his neighbors. provided he
uses ordinary, honest Judgment
throughout in the transaction Of the
business Of the farm loan associa tion.
1t Is the purpose Of this Office to
give to each farm loan association
when its charter is granted the stand
ing Of Class A, which is and will be
the highest standing an associa ton
can attain in its transactions and al
hliations with thir bank. TO MAIN
tain this standing it is necessary that
| Il farm loan association shall exer-
else Judgment and care in the trans
action OF its business and that it shall
avoid the necessity OF having to fore
close on any piece Of property offer
ed rs security. The first foreclosure
which any farm loan association may
! have to make officially will reduce it's
standing to Class Is, and us a Class
B institution it will find itsclt sab
! ject to much more strict supervision
as regards appraisalS by our official
appraiser and Il much more con&cly-
ativc attitude on the part of the OIL
GERS OF this bank in transactiny its
| future business. Should it occur
that this same association is required
to foreclOse second time. then it
will decline to the Glass G. standing
and from that time on and az long
as the association remains in that
class it will become necessary for the
officers OF this bank to transact bnsi-
ness with such an association with a
degree OF caution which will prove
to be rather burdensome to the asso-
citation in question. To secure quick
action and to facilitate its dealings
with this bank every association
should determine to retain its stand
ing as Il Glass \ association ut all
hazards.
The following information is sent
to YOU for your guidance:
Insuring Buildings.
The law provides that this bank
may lend a borrowing farmer up to
SO per cent OF the value OF his land
and 20 per cent OF the permanent.
insured Improvement thereon. You
will understand from this that it will
be impossible for us to accept any
valuation on improvements thai are
not insured at the time the loan is
made. If borrowing farmers. there
| fore, desire to include in their ,alu-
alton their buildings, it will be ad,ls-
able for them to take steps to have
such buildings properly insured.
arranged for to become effective at
/ lhn time ilat tho lnan is do