Evening star. [volume] (Washington, D.C.) 1854-1972, 1949-09-11

interest, $4,000, 900, or total (
keep right on paying.
Here is an interesting angle.
These loans have been made only
to farmers who couldn't get credit
elsewhere-for example, from the
banks and Insurance companies
They have had to prove this be-
fore the Federal agency would
make them loans.
So these government loans to
the farmers have not been made
in competition with private enter
prise. Indeed, private enterprise
handles over e5 per cent Of all
agricultural loans, and that's that.
Further, the farmers who have
been helped to buy farms and to
make q success of them through
the loans of the Farmers Home
Administration, have in turn be-
come depositors and clients of the
banks, thereby still further boil
steering the private enterprise sys-
tenn of the country.
Helping Veterans
This Government agency, which
operates in a decentralZed and
very human way, puts men on
farms of their own through its
real estate loans. It keeps men
on farms through its operation
loans. It saves men on farms
through its disaster" loans.
Particularly at present the
Farmers Home Administration is
dealing with young mentor 1t
has limited its loans for the pur-
chase Of farms to war veterans.
1t has SIS, 900 available for
this purpose this year. Individual
loans for farm purchase average
about $7,000-which means that
1900 veterans may be accommo-
dated. Already applications have
been made for a total Of SIS, 000.-
600. or five times the funds avail
able.
The Farmers Home Admins
tration's job has been increased
this year by reason Of disasters
in widely separated parts of the
country. Last winter floods In
Washington and Oregon bit
deeply, the citrus fruit growers
and other farmers suffered great
losses in California and Texas
from unprecedented cold, and
Billiards destroyed herds in the
mountain States. Drought stalked
the farmers Of New England and
other Eastern States this summer,
and more recently a hurricane
swept across the citrus farms of
Florida, causing great damage.
More than 81 900, 900 was loaned
70 California farmers and $3.50, 900
. Texas. Allotments for the
: ,ges in wyoming were $277 900;
/ =. $115,000; Colorado, $214,-
-; Idaho, $4,000, and Nebraska,
: 80. Flood loans amounted to
1,Co0. To Maine, on account
= tie drought. $450.000 was al
I'd. and to the five other New
and States, $4,000 And
mates of loans because Of the
~ida hurricane disaster are now
ing made.
Proud of Loan Plan
The newest form of disaster
loan is that authorized by the 80th
Congress-for fur farmers. It
might be called an economic dis
aster"- since the bottom has
seemingly dropped out Of the mar
ket. Congress authorized the loan
of not more than 100000 to
these fur farmers. Last year $685.
600 was loaned to them, and an
other $4,000 will be loaned this
year. One big operator wants to
borrow 100000 for food for his
minks. Wisconsin and Colorado
have large fur farms.
A particular pride Of the Farm
ers' Home Administration is its
operation Of farmers home loans
made under the Bankhead-J Jones
Act of 1887. These are the real
estate loans-to enable farmers to
buy farms. In a financial way,
the operation has been tremen-
dously successful-for the farmers
themselves and for the Govern
ment, which put up the money
Since 1888. when the loans be-
gan, $3.50, 100000 has been loaned
for this purpose-and the losses
to date have been only slightly
more than $4,000. These loans
are spread over a period of 4C
years, and for every dollar that
has matured, more than 81 has
been paid by the borrowers. Col
lections on principal have amount
ed to $188 ,000, 900 and in interest
to 100000.
The success of this operation is
due primarily to the care with
which the loans have been made
and the stamina and character of
the men to whom the loans have
been made. It has been enhanced,
undoubtedly, by the fact that
these have been good farm years,
and demand for foodstuffs and
other agricultural products has
been very heavy in a war-torn
world. It has made it possible for
from $4,000 to $4,000 farmers to
own farms who otherwise would
have been unable to do so. It has
aided these farmers and their
families to better homes, better
standards of living and Of educa-
ton. 1t has added to the produc-
ton nf the country and to the
improvement of a great deal Of
land.
The Farmers Home Admins
tration has its agents in every
State Of the Union, and its county
committees in SOTO agricultural
counties. The nub Of the opera
ton is the county committee
made up of carefully chosen mer
who pass primarily upon the ap.
plicants and their loans. The
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