Vashon Island news-record. [volume] (Vashon, Wash.) 1919-1954, 1933-05-25
Farm Mortgages
Are Refinanced
Through New Act

VIC VI JHe luSV peNellIS 10 reach
Washington farmers as the result Of
the new farm act recently signed by
President Roosevelt will be through
the farm credits section which con-
tains provisions to cut down excessive
debts, reduce interest rates, postpone
payment Of principal, provide direct
loans to farmers for meeting urgent
obligations, and for redeeming land
which has been taken from them by
foreclosure, points out F. E. Balmer,
director, agricultural extension service,
Washington State College.
All those farmers whose mortgages
are held by any Of the 10 federal land
banks, one Of which is located in
Spokane, will benefit directly under
the new act. There are nearly 100000
of these borrowers, and the
amount Of their loans aggregates more
than 1. !; 81 ,Qgg, oQp 9Qp Fpss ~ nav pay
| lne Mtste8 ~ f2tes S2tSI6an S Ind i per
cent, the eyerag nj S2kopt b IN III
cent sixty tiays altsi tiie Approval q
the act by the President, the interest
rate on all of these mortgages in the
continental United States will be re-
duced to 1-2 per cent and 1t must
remain at that rate for the next five
years. Farmers whose mortgages are
now held by the federal land banks
will save approximately $l1 100000 in
interest payments year for the next
'''e Seai''
Low Interest Rates
ANU horrou,or. u,ho ,oco,vo ,oor.
fro,, 40 faSara, iamd ho,,,, t,ro,a,,
nat,o,,aI tor,, ,nar assoo,at,ons d,,r,na
tho ,,avt two uoars Vii aot tho hanofit
~ tha so,,a law, rata ~ ;,,toras. Tt,s
=. m,o+or,o,,,, ,or,ar thor a. o,onooo
ro+o ~, fas,,, ,,,o,+aono, t,,ro,,o,,o.,t
~ oom,trv rp,a &c. t,vaa h., 49,
fadoroI ,ond honLs howe a,n,ovs bod -
strong influence n dstern,,n,ra tho
ratos ,horaad hu other ,end,,,a anerc;as
IN tha forr,-n,ortaoga f,o,d onS a. ,s
- .,.,n,taa .hot t,,;s rod,,ot,o, T.,
,and NhanS rotas will ,a foIlowad hv
.a,w,t,o, -, ot,,or ,,a,tnoao ,,o,.,,rs
~ om t,,o,a u,hn ho,a for,,, ,,,ortnonos
sha,,,d ro,,,,oo ratas hr =. ,,,wot &c :
NV oant on tho a,arora tha sou,,,n
~ for,,ar, ~, noynants ~, tho oaoro
ra+o totoI ,or,,.r,ortaa.o doht for 60 :
s soo mn ooo ,ua,,,d ho ses ooo nm aun, WI
Nv ~ "o''''N''
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ona.a,rhth ~ t,a to.., AN nf 40
taS,,, ss,artroa. aahto.s ~ ,,oot t,,o
naaa. ~ ~ ,.raar o,ass n,haso ,,ort
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s..as+ 49,, - 49, ,o.s s ~ ~. So,
and son,o. thosa mh , n,ortaaaos ar -,
l., sanaan ~ toroo,os,so 49, 80 s,,n
,,,,os nnothar r,aans -, f,nono,mr r.
awth..,aos ~ ha,,,,, :, ,ss,,a 20 nm
ooo noo - .,oo;,I .,,n. ~ ,,,s N w.,
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more than nor cont m mo.a these
,,a.s, al, ,,.u,,ats.,a ,,,tosas. ~
ment on the bonds is guaranteed by
the federal treasury.
| With the funds thus provided the
federal land banks are enabled to do
two things. First, from the proceeds
of the sale OF these bonds, the land
banks may make new loans on the
same liberal terms of payment as those
granted to present borrowers. Second,
they may exchange these bonds for
farm mortgages. The terms of the
mortgage are to be based on the value
of the property covered by the mort
gage. In no case may the amount of
bonds given in exchange for mort