The potters herald. [volume] (East Liverpool, Ohio) 1899-1982, 1939-07-06
$4,000 Looms Paid
Back ToH.O.L.C.
603, 900 Other Borrowers are
PdYing Accounts Each
Month

PuYing Accounts Each
Month
Practically $4,000 of the original
loans made by the Home Owners Loan
Corporation have been completely paid
off and more than $4,000 borrowers
are paying their accounts promptly or
are less than three months in arrears,
said Henry G. Brunner, State Man
ager of the HOLC in Ohio, yesterday
in citing some of the benefits conferred
upon a large number of needy home
owners by the HOLC. The Corpor-
alton observed it's sixth anniversary
this month and Mr.. Brunner pointed
out that during that period $500, ,000,-
900 in principal Indebtedness has been
paid throughout the country.
"More than $64,170,000 of that
sum-" said Mr.. Brunner, "has been
credited to the accounts Of borrowers
in the State of Ohio. Collections in
the State are showing a steady i'm
|provement, 99.1% of the current bill
ing being collected in the month of
May.
"In the State of Ohio more than
$500 loans have been paid in full, rep
resenting in value approximately ST.
O0O, 900. A large proportion of the bor-
rowers is in satisfactory standing
with accounts either current or less
than three months in arrears, while
the remaining borrowers are liquidat.
ing their arrearages by agreement
with the HOLC or are making adjust
ed payments to keep their accounts
open.
"This is in striking contrast with
the situation only few years ago
When it is remembered that all HOLC
borrowers were in distress and with.
out private credit, that the average
borrower was delinquent two years ir
both principal and interest and from
two to three years in taxes, it is pleas
ant to realize that the assistance which
the Corporation was able to give ha:
permitted many thousands sincere
home owners to get back on soundel
financial basis"
Mr.. Brunner pointed out that not
withstanding the considerate policy
of the HOLC it has been forced to &C
quire approximately 10000 homes
throughout the country through fore
closure or voluntary deed, 20 per CEN
of them being in the latter category
1t has sold approximately one-third o1
these properties, of which 3,788 were
sold in the State of Ohio.
He explains that only 36 per cen
of the foreclosures were instituted be
cause of the owners inability to pay
The rest were filed because the fami
lies had abandoned their homes, be
cause of the death of owners and thu
|gations, or because borrowers who hat
funds wilfully defaulted under th'
apparent belief that the government
would not enforce collections.
"Of the $229,O00,OOO advanced b!
the Corporation to settle up delinquen
tax accounts during it's lending
Iperiod," adds Mr.. Drummer, "approxi
mately $2O,57S,OO0 was advanced il
the State of Ohio.
"Since the great majority of HOL(
mortgages was granted on old homes
it was necessary for the Corporation
to advance more than $70,O0O,00O tt
borrowers to improve their homes. O.
that amount, over $5,660,OO0 was ad
vanced to home owners in the State O.
Ohio. 1t has also spent $5O,O00,00(
to recondition the homes the Corpor
alton has acquired, of which sum more
than $2,955,000 has been expended o.
authorized for acquired homes in th'
State of Ohio. Every dollar expend
ed in this manner has resulted in i'm
proved neighborhood values and HOL(
borrowers in general, recognizing thu
advantage of putting home in goot
condition, have maintained their homes
in proper condition since receiving
their loans.
During the refinancing of the Cor.
poraton, loans of more than 100000
borrowers throughout the country
we're reduced approximately $780,.
000, 900 through agreements which the
HOLC was able to make with mortgage
holders. In addition, these borrowers
since have saved at least $175,000, ,00C
on their interest payments, represent
ing the differences between the per
cent HOLC rate and the higher rate
paid on their original contracts.
"The creation of the HOLC in June
1888, by Congress stemmed the flood
of foreclosures which was swapping
home owners, mortgage institutions