The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1933-08-01
C0UNTY-BY-C0UNTY
CAMP Align TO SPEED
FARM FINANCE SEEN
Morgenthau Moves to Expedite
Mortgage Refinancing Ac-
ton BY Government
TO AID BANK LIQUIDATION
Administrator to Purchase Con-
siderable Paper Held BY
Closed Institutions

Washington, Aug. l.-P)-A county,
campaign to speed refin-
ancing Of farm mortgages will be I'M
dertaken by the farm credit admins
tration, which was authorized to loan
up to $4,000, 600, 900 to farmers at the
last session of congress.
Henry Morgenthau, Jr., governor of
the administration, explained Tuesday
the campaign would be employed to
expedite the mortgage refinancing
program and to supplement plans al
ready under way in five states for
buying up farm mortgages held by
closed and restricted banks to aid in
their liquidation.
Returning from airplane visits to
Wisconsin, Illinois, Iowa, Kentucky
and South Carolina, he said the pro-
gram for large scale refinancing will
be carried into other states as speed
lily as possible and that from now on
all applications for refinancing will
be handled together with the bank
campaigns.
He said he is increasing the ap-
praisal staff Of the II federal land
banks from what were 210 on April
l to from $500 to 5000 men. AL
ready 803 appraisers have been added
and more than 300 more are in train
ing.
Applications from 1l4O00 farmers
for $500, 000,0 in loans have been re-
ceived in the last two months.
The rate Is increasing rapidly.
He has arranged to obtain $lOO, OOO,-
600 from the reconstruction corpora
ton to supplement $90,00O,000 which
the land banks had on hand to
handle needs for funds during the
first months.
At an indefinite early date the first
Of two billion dollars in bonds which
the land banks are authorized to issue
for mortgage refinancing will be is
sued. They will be sold as funds are
needed to meet the requirements for
refinancing.
In the campaigns, a group of ap-
praiSerS, five or more, will 20 into
the county and will there appraise all
farms whose owners or mortgage
holders have asked for refinancing.
The mortgage holders will include
closed and restricted banks, banks
which are in full operation, In some
cases insurance companies and any
other holders of claims. In many in
stances the mortgage holders are
satisfied and do not intend to seek
refinancing.
The land banks are authorized to
pay sum equal to so per cent of the
appraised value of the land and 20
per cent of the insured value of the
permanent improvements for first
mortgages.
In addition the farmer can obtain
a second mortgage on chattels up to
IS per cent Of their value. less prior
liens, from a special fund of $780,
100000 to refinance the remainder
Of his indebtedness. His application
will be handled through the land
banks.
Morgenthau ascertained that farm
mortgage foreclosure proceedings have
been suspended in many areas in res
ponse to President Roosevelt's request
and that activities of the land banks
have been increased about 60 per cent
because of the large number of ap-
plications for loans.
In Wisconsin, where the refinanc-
ing program for closed banks was
started, there have been complaints
that appraisers were undertaking.
farm lands. He said he found this to
be true in some instances and that
some appraisers were still unaware
that the new deal is here"
Morgenthau has called a conference
Of land bank presidents for August
IA when final details of county CAM
paignS will be worked out.