The Bingham County news. [volume] (Blackfoot, Idaho) 1918-1930, 1922-02-24
ORGANIZE FARMERS
LOAN COMPANY
WITH A LENDING CAPACITY OF
THREE MILLION
DOLLARS.
MONEY AVAILABLE IN 80 DAYS
STOCKHOLDERS ARE ALREADY
ACCEPTING APPLICATIONS
FOR LOANS.

positively assured of ample funds to
meet all their requireme for the
crop-raising period OF 1922 through
the organization Of the Idaho Agri-
cultural Loan company. Not only
will the farmers be provided with
money enough to put them on a cash
basis for their operations this year,
but decided betterment Of the gem
eral course of all business related to
agriculture Is fOreseen as a result Of
this move.
With an authorized capitalization
OF $1,000,00O and loaning capacity
of $1O.000,00O, the corporation has
already begun to function, and Ida
no bank stockholders are already ae-
cepting applications for loans. Or
ganfzed under plans approved by the
federal reserve and war finance cor
lporation officials, the Idaho loan
company will serve as the means for
getting to the farmers on crop and
chattel mortgages advances Of war
finance corporation funds. And a.
the advance of the war finance cor.
poration to stockmen and sugar pro-
ducers has proven Of estinhhle value
to these interests, so the new arran-
cement for the particular and inn
mediate benefit Of the "dirt" farmers
is expected TO prove boon to them
and to the commercial and financial
interests dependent upon them.
Banks and commercial interests Of
Idaho will by tonight have subscrib-
ed $300,0 900 of the authorized stock
OF the company, and various indus
trial concerns, railroads and dis'rib-
utors of Utah operating In the neigh
boring state have already indicated
their intention of adding to this a.
mount so generously that, in the
opinion of the new company, the full
capital will be subscribed
Subscription of the 100000 in
stock gives the corporation an i'm
mediate lending power Of 100000
and early next month, probably with
in fortnight the farmers will begin
to get the hard cash, according to
Joe T. Young of Pocatello. president
of the company.
Members of the executive commit
tee of the company, Mr.. Young, Carl
A. Valentine, president Of the First
National bank of Pocatello and
Frank Bergman, Standrod & Co.,
bankers Of Blacknoot, were in CON-
ference yesterday with the members
of the Salt Lake and Ogden Clearing
House associations. These Utah
bankers assured the committee last
night that they will make substan-
tial subscriptions to the stock.
Under the arrangements perfec-
ted for the operation of the COM
pany, all applications for loans and
the loans themselves will be hand
led through the local banks. The
farmer desiring a loan on his chatt-
lie Or crop mortgages first makes ap-
plicion to his local banker. This
application is forwarded to the ex-
ecutive committee of the company,
which passes upon it. With favor
able action, the application is hand
ed to the trustee for the cohp0rtion
who issues debenture bonds in the
amount of the loan, these bonds to
be secured by first chattel and crop
mortgages. Eighty per cent of the
aml1unt of the individual loan will
be acquired by the war finance cor
poration and 90 per cent by the To-
cal bank through which the loan is
made.
Each borrowing farmer will sub
scribe 10 per cent of the amount of
his loan to the capital stock of the
the borrower, the local bank, and
the war finance corporation, have
concern in the character and Sc
curity OF the loan.
The loans will be made to far
mers at and one half per cent for
period Of a year. Reasonable ad-
vances will be made Immediately up-
on approval of the loan applications
the balance to be advnced as the
farmers requirements for planting,
plowing and other crop purposes de-
mand.
The counties of southeastern Ida.
no have been divided into five dist
riots for the administration of the
corporations activities as follows:
No. /, from Victor south, including
the upper Snake River Valley: No.
2 Bingham. Bonneville, Butte, Gus
ter and Lemhi counties; No. 5 Ban
mock. Caribou. Bear Lake. Franklin
Oneida and Power counties; No. I
counties, and No, s, Camas, Blaine.
Gooding. lincoln and Jerome c0un-
ties. salt LAks Tribune.