Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1921-12-06
ME- YER ASKS MD
To MANAGE MENT
OF LOAN AGENCY
Local Banking Institutions
Have Not Taken Advant-
age of Opportunities Of
fered by Finance Board.

]. b. Herndon, president of the
New Mexico Bankers association,
Is in receipt of a letter from Eugene
Meyer, managing director of the
War Finance corporation, asking
for the cooperation of the associa-
ton with the work of the agricul-
tural loan agency recently organ
lied in this state.
In many districts, the letter
states, the local banking institutions
have not taken fun advantage of
the facilities offered by the corpor-
alton, a committee of the Bankers
association, Mr.. Meyer believes,
could do much in furthering the
work of the loan agency in its i'm
portant work.
The text of the letter follows:
Section "a of the agricultural
credits act, approved August "a,
1871, authorizes the War Finance
corporation to maize advances to
any bank, banker or trust company
in the United States which may
have made advances for agricul-
tural purposes including the
breeding, raising, fattening and
marketing Of live stock, or may
have discounted or rediscounted
notes, drafts, bills of exchange, or
other negotiable instruments issued
for such purposes. / enclose here
with for your information a copy
of circular No. 2, which outlines in
general way the requirements of
the corporation in connection with
applications for advances under
this section.
ITO facilitate the handling of
such advances the corporation has
established agricultural loan agen-
cies in the important agricultural
and live stock districts of the coun-
try. These agencies are in charge
OF representative committees of
bankers and business men who
serve without compensation, ana
their function is to receive appli
cations, to pass upon the collateral
offered as security, and to make
appropriate recommendations to
the board of directors for consider
alton and final action. All the
agencies, thirty-thrcc in number
have established headquarters and
are prepared for business. Many of
them already have submitted large
numbers of applications to the
board and the corporation is daily
approving advances aggregating
from ono to several million dollars.
In many districts, however, it
appears that the local banking in
situations have not taken advantage
of the facilities offered by the COR
poration. This may be due in con-
siderable measure to their lack of
knowledge concerning the work of
the corporation and what it is try
ing to accomplish. In some states
the bankers associations have de-
signated small committees to CO.
operate with the local loan agencies
of the corporation and to assist
them in making available to the
banking institutions within their
respective districts, and especially
to the country banks, full Informal
ton regarding the powers, re-
sources and requirements of the
corporation, as well as the pro- /
cedure that should be followed in
making applications for advances. F.!
THE corporation desires to have |
the fullest cooperation of the state |
bankers associations in connection |
with its activities. These associa- |
tons not only constitute an eX-
cellent medium for the dissemina- !
ton OF information along the lines
indicated, but they are also in I
peculiar position to impress upon |
their members the responsibility
that rests upon them to do every
thing in their power to meet the
needs of agriculture in their com
during this difficult period.
'"The directors of the corpora
ton sincerely hope that you may
find it possible to designate COM
mittee representing your organiza-
ton to cooperate and assist the
agency of the corporation at Albu-