The Redwood gazette. [volume] (Redwood Falls, Minn.) 1873-1940, 1919-06-11

ton, d. c., for charter to organize
and operate the Southern Minnesota
Joint Stock Land Bank, of Redwood
Falls Minnesota, with the privilege
of loaning in the State of South Dako.
ia, where an additional office will be
established at Big Stone City.
The capital of the bank is $3.50, O00.0
all of which will be paid up at once.
The bank will make first mortgage
farm loans in Minnesota and South
Dakota under governmental supervi-
sion, the loans to be made on the "kil-
ling off" or announcement plan, which
gives the land owner "a years time to
pay his loan in small semi-annual in
stallments of one per cent of the
face of the loan added to the semi
annual interest.
The land owner can pay any part or
all of the principle after five years.
The Treasury Department of the Fed
eral Government will issue bonds to
the extent of So, 750, 100000 to the bank
and take its farm mortgages as securi-
~ for same and permit the bank to
sell these bonds to investors, thus in
surfing the bank of a steady and per-
manent supply of funds at all times
for loaning purposes. The bonds be-
ing free from ALL TAXES OF ANY
KIND makes them one of the best in
vestments obtainable, yielding a hand
some return.
Every loan made by the Company is
not only passed on by it's Board of
Directors, but each individual piece
of land is appraised by Government
appraiser and all of the business of the
bank will be under the direct super
vision of the Treasury Department of
the Federal Government, who appoints
examiners to check up all of the banks
affairs twice year.
The capital of the bank has all been
subscribed by the members of the
we'll known mortgage companies, the
Gold-CoOper Securities Company of
Redwood Falls, Minnesota, and Gold
Bros. Security Company, of Big Stone
City, South Dakota These gentlemen
scarcely need an introduction locally.
The present volume of the outstanding
mortgages of the two concerns am
cunts to over $8,000,0O0. And in or
der to render to their customers and
clients, the land owners of Southern
Minnesota and Eastern South Dakota
(the corn belt of these two states)
they decided it was only fair to give
them the opportunity to make use of
the killing off" or amortizement plan
authorized and under Federal control
The two concerns will continue their
old companies and operate them in the
same safe and conservative way that
has built up such a magnificent bust
ness, for the benefit of both borrow
er and investor They feel, however,
the field is sufficiently large to ena-
bic them to use their present organiza-
tons and offer their land owner clients
the benefit of the now plan authorized
and recommended by the Federal Gov
eminent and at the same time furnish
the investing public safe, secure,
tax exempt, investment bonds, secured
by first mortgages under Federal sup
ervision.
Messrs. j. P. Cooper, ]. A. Gold.
and w. H. Gold personally visited the
Farm Loan Board in Washington, d.
G. the pas. week and made all ar
rangements for the launching of the
new enterprise, which they expect will
be in operation within thirty days.
If the demand for this kind of loan
is sufficient to warrant the increase
of the capital stock, the same will be
done from time to time. The first
Joint stock land bank organized to loan
IN Illinois and Iowa has paidup capital
Of 100000 at this time and have made
over 100000 of loans in the past
fifteen months and their business is
rapidly increasing. With the well
Known organization and energy of the
present companies and their officers,
t would not be surprising if they
should find it necessary in time to
come to increase their capital, the
same as the Illinois Bank has done, to
axe care of the business in this
splendid field.
The new bank will be differed by
members of the present organizations
md will have Board of five directors
md its main offices for the present
viii be at Redwood Falls and Big Stone
Jity, IN parts of the buildings now
occupied by the Company.
This is the most splendidly helpful
financial move that could possibly be
made for this section of the state at |
his time, and to have the main office |
f this immense business located at |
Redwood Falls is doubly splendid Tt
means not only the assisting OF the
armers Of the vicinity but the benefit |
f all other lines of business and ssputs |
Redwood Falls on the map" most eff
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