Montpelier examiner. [volume] (Montpelier, Idaho) 1895-1937, 1919-05-16
RULES GOVERNING FARM
LOANS BY STATE OF IDAHO

AOANS B1 STATE OF IDAHO
The new rules governing the max
ing, Of farm loans by the state have
been promulgated by C. A. Elmer,
commissioner OF public Investments
ehowing the procedure Idahoans must
follow to secure state funds as loans
These rules are as follows:
Applications.
Applications for loans must he
made on a form furnished by the de-
partment of public Investments. Ap-
pncattons must be carefully executed
and sworn to before a notary public
Application blanks will be sent only
to bona fide applicants for loans. Ap-
phcants are encouraged to deal d.
rectly with the department of public
Investments in loan matters. Fees
and commissions to agents are nm
necessary.
Loans Will be made to residenta of
the state of Idaho only.
Farm Expense Fund.
- A deposit OF at least SIS is reuuir-
ga TO accompany each application for
Iarm loan to defray the cost to the
state In handling said loan. All an
pications in excess of $500 must be
accompanied by l per cent of the
amount applied for The depoait ex-
acted is to apply on the expense of the
state In making the loan. n the
amount deposited Is insufficient TO d0
this, then such additional amount aa
- necessary to pay such expense ahaII
Dc collected from the applicant. The
state law requires this, When the
loan is completed, or withdrawn or
denied, the accrued exepnse OF the
state will be computed by the com
m ssioner OF public Investments. and
the amount deposited in excess OF the
states expense will be returned 10
the applicant.
Applications for Renewal.
Consideration will not be given by
the department OF public Investments
to the renewal of a loan where there
is interest delinquent and unpaid. An
piication for renewal must be filed on
the regular original application form
and the same proceedings are reQuir.
ed for making a new loan.
The maximum amount OF any mort
gage on farm loan taken by the
state shall be $1,000.
Loan Value, Appraisements.
Loans are limited to one-third val
ue OF the land, exclusive of improve
ments. No land will be appraised for
more than $200 an acre. This rule
applies to renewals also. Under the
constitution and law, the department
OF public investments cannot make
loans on city or town property or on
unimproved lands.
Loans are made for FIVE years, but
may be paid in full at any time with
interest to date OF payment. The in
terest rate is six per cent. payable
semi-annually. January and July /.
Abstract Of Title.
III a loan application and appraisal
are approved. applicant will be re-
quired to furnish abstract OF title
brought up to date for examination.
Much delay 10 caused by sending in an
incomplete or imperfect abstract. Alb
stract must always show United
States patent loan before loan will be
made.
The state will accept first mortgage
only.
Note and mortgage will be prepar-
ed and sent mortgager by the com
missioner OF public investments.
Husband and Wife Must Sign.
Both husband and wife are reauiT-
ed to sign the principal note as well
as all the interest coupons and the
mortgage, and in the exact form as
the name or names appear In the ABB
stract and in the mortgage.
II the applicant wishes a bank or
other agent to act for him and re-
ceive the money. he must file a writ
ten order to this effect with the com
missioner OF public investments.
| IL the abstract of title to the land
onered as security shows an outstand-
ing mortgage OF other lien against
the property. and IL 10 desired to pay
OF same and clear the title with the
money borrowed from the state, the
applicant must. in such case. file writ
ten request with the comm Issioner OF
public Investments. that the state
warrant be isued and placed In es-
crow in some reliable bank in the
state pending the clearing OF title and
completion OF loan papers.
/ Fer Information concerning the
purchase Of school bonds and high
way district bonds. address the com
missioner Of public investments
/ Boise. Idaho.
Regarding the looming Of funds