Macon beacon. [volume] (Macon, Miss.) 1859-1995, 1918-02-22
COmmends Rep. HubburFs Vote.

Mr.. G. T. Heard, president Of the
Bank o. Brooksville has written Hon.
Prince Hubbard the following letter,
commencing him for his stand in voting
for the exemption of land sold under
mortgage. The letter is self-explana.
tory:
BRooKsvLLE, MISS. FEB ith. 1915.
Hon. Prince Hubbard.
House Of Representatives.
jackson. Mississippi.
Dear Mr., Hubbard:
| had the pleasure a few DAYS ago of
noting your vote on a report from the
Judiciary committee f4voring an act al
lowing a two-year exemption in lands
sold under mortgage.
There seem to be considerable mis-
understanding of the need of such law
by some of our legislators, and at times
to the extent to engender a prejudice.
| wish, insofar as NOxubee county is
concerned, land | believe the same con-
ditions are applicable to every county
in the state), to express to you nv APP
prevail OF your vote, and to give you
my reasons for same, derived from a
personal experience of some eighteen
years in loaning on lands and home
steads in Noxubee county.
During the eighteen years it has
been our business method to loan on
lands when desired, the collateral being
deemed sufficient. and the loan of mu-
tual interest. These loans have been
made on lands for the following pur-
poses:
Many times to purchase the land for
the borrower.
Often in part to enable him to make
deferred payments on land.
At other times to enable him to pur-
chase additional lands.
For the purpose of building houses
and improving the land owned, and
sometimes to relieve his home from
amount due loan companies.
Further, for the purpose Of enabling
him to supply his farm and laborers to
make a crop.
In more recent years for the purchase
OF livestock for the farm and cows for
the dairy, thereby giving the owner of
land a credit basis for capital that he
could not have had otherwise.
The majority of landowners who are
borrowers are seldom men who own
stock and bonds they can h~ypolhecate
az collateral for loans. When deprived
of the basis of credit through the value
of his land as the two-year redemption
clause would do, he has to depend upon
his neighbors and friends for endorse
ment. The borrowing of money in this
way, if obtained, is very unpleasant.
and should they succeed to the fullest
extent it would be limited, and the les
SEEMING of the borrowing power would
often prevent the purchase of lands,
and a denial of improvements and COM
forts to the owner of land who at pres
ent a use his land rs a basis of credit.
These are some of the advantages
and reasons why | commend your vote.
Now if deprived of this means of
credit, which would be the case under
the two years statutory redemption law,
what better results could possibly ac-
crue? During the past eighteen years
we have handled hundreds of loans.
amounting to thousands of dollars. The
landowner has enjoyed this pros
perity from a land basis credit. He
has bought land, improved same, paid
his debts and accumulated money. Of
course IN each loan he has paid a legal
interest, Tin no instance above the
statutory legal %rate), receiving all the
advantages the same as if he had &C
tually possessed the entire capital used.
During the entire time not a mortgage
has been closed by US mol an acre of
lard sold. | am sure this will seem
wonderful to those ~favoring the Judi
cial Report.
will explain how this has been done
to the benefit of the landowner: First,
Judgement was used in entering into
a loan where a mans land was involved.
In every instance when necessary the
credit was heightened and notes re-
newed until the farmer was enabled to
pay his mortgage. Often knowing the
land was a homestead ana approaching
the owners desire to save his home,
has caused the carrying af loan when
payment was doubtful, The very ma
ture of a loan being a homestead
creates a confidence and gives to to the
borrower a greater line of credit than
an ordinary loan would.
| have given these facts so that those
differing with you might see the true
side Of an economic and practical ad-
vantage enjoyed by the landowner who
can use his farm az a basis of credit.
Often lands are bought as a matter of
speculation and a failure to realize
profits, said lands are sold under mort.
gage, when if held two years possibly
might have advanced in value. But in
justice to those who favor the judicial
report, it is not intended to create