Yerington times. [volume] (Yerington, Nev.) 1907-1932, 1921-06-08
HOW TO SECURE
A FEDERAL LOAN.

II LULlinI lUnu
IN order to secure loan from
the Federal Land Bank at Berkeley.
California it is necessary to make
application through national farm
loan association. There are more
than 1900 OF these local associations
scattered all over the country. At
the present time there are no farm
loah associations in Lyon County.
and SO far as the writer knows there
are none III Nevada. However there
Is some talk of an association be-
ing organized i'll Douglas County with
Minden as headquarters
since there are no associations
nearby il would first be necessary
to organize one before the Federal
Land Bank would loan any money
here, This can easily be done as fol-
lows: Ten farmers may unite to
form national farm loan association
That is the least number the law al
lows and only farmers can be men,
bers. If more than ten get to.
gether, SO much the better But if
only ten farmers are willing to Join
an organization to borrow on farm
mortgage, that number satisfies the
law.
Let us suppose that these ten men
are farm owners. They may be all
close neighbors and know each other
well. But they may live some dis
tance from each other. though being
i'll the same community or county In
that case they may not know each
other SO well, but that makes no diff
ference. They all have the Same OBJ
ject in view. They want to borrow
money on farm mortgages at six
per cent interest They want the
mortgages to run five. ten. twenty or
perhaps forty years. They want to
pay the mortgage debt off a little at a
time. They know this will help them
and so they get together call meet
ing and form a farm loan association.
Loans are then secured through this
association.
The Feaeral Lard Banks will
loan as much as half the appraised
value OF your land and one fifth of
the pcrnlauent insured value of the
Improvements These values are de
termined by two independent par
ties One OF these is committee APP
pointed by the local farm loan asso-
ciationthe other is an appraiser rep
resenting the Farm Loan Board. The
smallest loan that will be made is
S1C0: the largest loan to any one far
mer is limited by law to Sl0,0C0. An
effort is now being made to have this
limit raised to S250G0
Loans are made for periods vary
ing from FIVE to forty years at the OPP
tion of the borrower. Interest is pay
able each half year. At each interest
payment period a small payment is
made OH the principal according to the
so called amortization plan. The
borrower pays the same amount at
each interest period until both prin-
cipa1 and interest are paid. A loan
made for thirty-tive years is thus dis
charged by paving interest plus one
per cent of the principal each year
At any interest period the borrower,
if he SO desires, may make additional
payments on the principal thus re-
ducing the time required to discharge
the debt.
In answer to an inquiry from the
county agent as to whether the Fed
eral Land Bank would consider loan
ing money here the Berkeley bank re-
piled as follows: 1--WE would be glad
to consider with you the organiza-
ton of National Farm Loan Asso-
citation with headquarters at Yering.
ton While the amount of funds that
will be atailable during the next two
months will be limited the bank will
be willing to set aside about $4,000
for loans in your county thus permit
ing the organization to obtain char
ter and to be in readiness for the inn
proved conditions expected to arrive
during the late summer" and goes on
to say ct is probable that an associa
ton will be formed at Minden before a
great while, and it will be conven-
ience if the Federal Land Bank APP
praiser visits land i'll Douglas and
Lyon Counties at the same time
For further information call or tel