The Farmington times., 1918-12-06
FEDERAL LAND BANK
LOANS SHOW FARMERS
REALIZING ITS VALUE

LOANS ny Ine fe0erdl Land Bank
at st. Louis up to Oct. "a totaled
$9,269,110. Of this sum, $7,61O,110
were loaned since January /, 1918. The
total last year, for the nine months
after its opening in March, was ST.
659, 900.
Total applications for loans last
year were $12,361 900. This year, up
to Oct. "a, the total was S24,O80, ,275.
These totals include applications made
in a manner not provided for in the
law governing operation of the bank,
as we'll as those in excess of value
of the lands involved, and those not
acceptable for other reasons, all hav-
ing to do with security of the banks
interests.
Of the total applications, $5,611,-
$40 came from Illinois farmers, ST.
902, ,48O from Missouri, and S10,566,-
335 from Arkansas. From northern
Illinois, in single day, came applica-
tions for loans totaling $142,500. This
section of the St. Louis district, where
are perhaps the finest of lands, has
been slowest in realizing the fact that
the most prosperous of farmers can
enjoy even greater prosperity through
favorable financial cooperation.
Of the loans closed up to October
"a, $2,302,060 were to Illinois farm
ers, S3,446,792 . to those in Missouri,
and $3,51S,358 to Arkansas. The num-
ber of loans closed in Illinois was 1888,
in Missouri 1885, and in Arkansas g.
SIT.
The figures given show that farm
ers, with their growing knowledge of
the Federal Land Bank and its posi-
tive design to be of benefit to them
exclusively, are taking advantage of
its resources in steadily increasing
numbers, it was pointed out by Her
man W. Danforth, president of the in
stitution.
Friendly Counsel to Farmers
"We take the best care possible of
every application for a loan, and in
not single instance has there been
rejection where acceptance was prac-
ticable, in whole or in part" Mr..
Danforth said. zone example will
serve to show how we try to meet ev-
cry demand. A farmer applied for
$4,000. He had $50 acres. When the
appraisal came in one of our experts
went to verify it. He found the ap-
pllcant to be negligent not only in his
method of cultivation, but also with
out shelter for his equipment and
live stock, and his residence was un-
painted and decaying. In a corner of
his field lay large part of his equip
ment, plows and other implements,
with rust eating into it. The report
was, of course, unfavorable. This
brought complaint from the farmer
and some of his neighbors.
II then visited his place, to see how
matters stood. I found things Just as
they had been reported, and, in addi-
tion, that he was cultivating the land
in circle, which left more or less
broad vacant spaces in each corner. |
pointed out all these things to him,
first suggesting that it was of i'm
portance to bring every foot of his
field into cultivation, as far as prac-
tlcable, by running the burrows
straight from end to end. Then told
him that $1,000 would be loaned him
If he would put small part of it in
to house for his equipment, another
small part into a shelter for his live
stock, and still another into painting
mis- home. All these details were es-
sential if he was to get real benefit |
from the money. Then told him that |
f he expended the money as suggest |
ed, we would let him have another |
81 900 next year. He was satisfied |
With this arrangement, admitting that |
t was reasonable, and we expect him
% get the other $1,000.
Surplus for Dividends
"The more than $9,000,OOO we have
already loaned out will soon be de-
1eloped into a surplus producer, to
De returned to the farmers who are
holders of more than $45O,000 of the
'ank's stock. The one-half of / per
'ent, added to the bond interest to
meet the expense of conducting the
'ank, amounts to $4,000 on each ST.
100000 loaned. Suppose that on the
irst $1,000,000 placed with farmers
here was not enough to meet run
ing expenses. The cost of making
hat total of loans is practically as
nuch as it will be to make many times
hat total. In other words, the run