The Hardin tribune-herald., 1934-08-17
ENORMOUS SUMS LOANED
TOILET DEBT ON FARMS \!
Between Five and Six Million
Dollars Day to Stem Tide -, .
sr Of foreclosure. -. :;

west may justifiably realize tnelr
GOOD fortune, in having crops
which, are considerably better than
over the nation as a whole: Whue
some spots show the effect OF
short moisture, the general PIC
ture is much. better than many
places elsewhere"
Such was, the. encouraging OBJ
servation made this week by Will
liam I. Myers, who as governor OF
the Farm Credit administration at
washington, D. c., has supervision
over the federal governments
whole unified system of extending
credit to- the nations 6,0OO,OO0
farmers through the co-ordinated
network of Federal Land banks,
Production Credit corporations,
Banks for Co-operatives and In
termediate Credit banks. Accom-
panied by his official staff, he has
lust completed motor tour OF
the northwest.
During the past tense months
these institutions have met the
critical situation facing agricul-
ture by lending farmers more than
81 ,OOO, ,OO0, ,OO0-or between $5,00O,-
600 and $4,000, 900 for each work.
ing day, to stem the tide OF
threatened foreclosures and pro-
vide farm operators with working
capital to do their planting. har-
vesting and marketing-a task
which governor Myers describes as
the "most herculean of modern
times"
Beginning in the midst of
chaotic situation which threatened
to deprive thousands of farmers
Of their homes under wave Of
foreclosure the FCA has not only
thrown up a line Of defense
against foreclosure by instituting
program Of refinancing, but has
set up an organization now cap
able Of giving the farmer a per-
manent system Of complete credit
for all sound purposes es-whereby
farm borrowers through cooper
ative responsibility may take ad-
vantage of the nations money
markets under low terms Of in
terest and favorable terms of re-
payment.
In thus building a more secure
foundation under agriculture,
banks and financial institutions
have also been steadied and the
whole national welfare has been
served.
! As an indication of the wide
scope which FCA now embraces,
Governor Myers pointed out that
the Federal Land bank of Spokane
holds approximately IS per cent
Of all the farm mortgage debt in
its territory of Washington, Ore
gon, Idaho and Montana or
total of approximately $131, ,0OO, 900.
Similarly, the 81 newly organized
production credit associations now
set up locally throughout the four
states to advance farmers funds for
crops and live stock purposes are
meeting the demand in their fields
with a volume Of $13, 100000.
But we have no ambition to
monopolize the farm credit field"
Governor Myers firmly empha-
sizes. 'The primary purpose of
the FCA is not to supplant
other agencies, and we are glad
to see that other lenders have be-
gun to make their agricultural
loans. But we hope their terms
of credit will syncronize with the
peculiar needs of agriculture such
as we are endeavoring to fulfil"
Governor Myers further empha-
sized that the FsCA is making loans
only on sound basis adequate
to serve the basic needs, but pre-
missed on definite provision for
repayment in all cases.
Under the law we were required
not merely to disburse money, but
to refinance farmers debts on a
basis which would permit them to
carry on and ultimately work out.
There has been much misun-
derstanding of this refinancing
program. We have taken it to
be our job to administer the law
in a sympathetic but fair manner.
It is not our job to bail out cred
itors. It is our job to loan farm
ers all the law will permit If they
require it in order to enable them
to meet the demands of the cred
itorS.
I'VE realize also that credit
alone Is not the full answer to the
farmers problem, but we are per-
forming an immeasurable service
BY helping the farmer to refinance
his indebtedness on a lower scale
so that he has a better chance to
work out eventually.
In broad outline. the program
.of the Farm Credit administra-
-tion Is not the disbursal of gov
'ernment funds, but to provide ma
.chinery whereby individual bor-
sarR h0rrnWerS vrhO nc fy,div;d,, a G