Show u- u LAND BANK LOANS AVAILABLE Farmers of or Utah and Idaho now have at their service the term long-term low Interest loans of the Pacific coast joint stock land bank of Salt Lake City Charles H H. West Vest formerly formerly formerly form form- erly associated with the federal land bank of ot Berkeley has assumed his duties as secretary of the new Institution institution institution In in- and from his offices In the Newhouse building is now sending out loan application blanks to interested Interested interested Inter inter- ested persons The Salt Lake joint stock land bank is in operation It has begun its functions of filling what bankers and other students of the economic conditions of the two states regard as one of the most important needs of ot the present that of supplying capital funds to farmers at reasonable reasonable reason reason- able blo interest rates Organized by a group of ot four tour Salt 1 Lake ba batiks banks ks the new institution is created for and dedicated to the welfare of or the agricultural ers Heber J. J Grant president of the Mormon church and andas as su such h head of Dr several financial Institutions Is president of the bank W W. W W. Armstrong Armstrong Armstrong Arm Arm- strong president of f the N National Copper bank and an active supporter support support- er of sound agricultural financing is isIce vice Ice president John n C. C Cutler president president president pres pres- ident of the Deseret National bank Is treasurer and William H. H Joyce of San Francisco is managing tor The other directors are L L. L H. H Farnsworth chairman of the board of directors of Walker Valker Brothers' Brothers ban bank and Charles S. S Burton vice president of the Utah State National bank Mr West Vest as secretary will have active e supervision of the work vork of making aking loans and managing the affairs of the company While a considerable number of ot of Utah farmers are familiar with the the the- operations of the federal land bank acquaintance with the character and purposes of the joint stock land banks are not so well known in the mountain states as in the middle west where there are many such In Institutions institutions institutions in- in In operation Loans Up to The joint stock land banks are operated operated operated op op- op- op under the provisions of the same laws as the federal land banks and for the th th- game ame purposes The es essential essential essential es- es advantages of the Joint stocK land bank were mentioned by Mr West Nest in the following categories The borrower from the joint stock stockland stockland stockland land bank can obtain any amount up to whereas the loan limit of the federal bank is to the tho individual The joint stock land bank client buys no stock and assumes as assumes as- as umes no stock liability when he obtains obtains obtains ob ob- ob- ob a loan The only charges made in obtaining a loan from the joint stock land bank is a nominal fee for an appraisal and a small amount for the preparation of the then n necessary legal papers Under the amortization plan by which the joint stock land laud banks make their loans the farmer has three thirty-three years in which to payback payback pay payback back the principal amount amoun of the loan at the rate of or 1 per cent a year payable at regular Interest periods Since the loans are made at 6 per percent enl cent the farmer or owner oi of agricultural agricultural agricultural tural real estate can obtain the credit he needs by the payment of lesa less than the ordinary rates to meet n et both interest and principal Current loans made through the usual channels to farmers of or Utah Utan and ind Idaho are costing the producers from roin 8 to 10 per cent and when these hese mortgages come du due the prIncipal prin- prin cipal must be repaid By the use of the he amortization principle the rhe joint stock land bank provides a a. simple efficient and inexpensive me method hod whereby term long-term borrowings can be made and repaid Residence Unnecessary While the federal land bank re- re requires quires that the borrower operate the theLand theand theland land and which serves as security for the theoan loan oan the Joint stock land bank will lend fend on suitable farm real estate regardless regardless re- re of the occupation or place of if tf residence of the owner Another point of difference be- be between between tween tween the two institutions and one hat that many farmers view with approbation bation is that in dealing with the tho joInt Joint stock land bank the borrower teals deals directly and not through an association Applications for loans are ire made direct to the officers of tho the joint stack Mock land bank The next step Is the appraisal of the he property for loans are made on 50 0 per cent of the appraised value of if the land and 20 per cent of the appraised value of the improvements to on n the land The report of the appraisal ap- ap is passed upon by the directors tors ors of the bank themselves Upon heir their approval the loan Is closed usually through local abstractors or attorneys It is the aim of the Salt Lake joint tock stock land bank to make its loans in inthe the lie he range between and 40 40 00 In order to avoid conflicting with rith the federal land bank opera- opera operations Ions in handling smaller amounts the local institution can and nd undoubtedly will make loans of less than Lending Power 37 OOOO The rhe bank begins its operations with rith a capital of It will willa capacity of hae total tatal lending gave a e a times Umes that amount for Cor as acquired ac- ac loans pans ans are made and mortgages aired bonds will be issued on the C Continued U f d-f from page Page Pago One LAND BANK LOANS AVAILABLE Continued to P Page ge Fohr F security of or these mortgages and sot sold d m in the general Investment marl The fhe bonds of the joint stock t already In operation are are ti HIlde in HI r wide de demand have established d a and steady market and are considered ered highly desirable for or con con- Investment purposes When the tho present lending power of or is used the bant o of- of Intend to Increase the capital capful so o that ample funds will be e available l c to meet all requirements o of the th e tanners or of Utah and Idaho having b property eligible for lor the loans Purposes for Jor which loans may may may-be be made by the joint stock land and banks bank are arc for any p purpose purpose calculated to Improve th the agricultural development development development develop develop- ment of the property Loans may bt bl made for lor the retirement of or outstanding ing obligations for the purchase o 01 OJ equipment the erection 0 of Improvements Improvements Improve Improve- ments meats and other legitimate t tural purposes Operating directly under the federal federal fed led eral law creating both the federa Cedera land b banks and the joint stock land laud banks the institution is under close and constant government supervision I on ion as well as under the direction o or oi w p and J acquainted with the needs o 01 OJ the die communities unities served 1 he Salt Salt Lake Lake bank banle Is affiliated with the Pacific coast Joint stoc slot tul banks anks of San Sau Francisco and Lo Lot Angeles Calif and Portland Oro Ore iii 11 n probably the most important cooperative co co- operative financing work ever under under- then taken by the united effort of western west west- orn ern banks These four institutions institution will work In closest harmony o or of purpose pui pur- pose and and of management The alli am ai or if t all Is the tho service of or the agricultural agricultural agricultural tural producers In the interests 01 of Ot the general welfare of or th the we western states The banks allied in the move movement ment have combined r sources resources ot of about I Although Mr West Vest has hardly started ed his activities already alread h ha lie his is wa received d close to i IdO DO O inquiries s adl n ud rt has bas already sent out hundreds cl ct application blanks to interested farmers Many 1 formal applications have already been heen received and mcl a growing volume of these applications LIons ions is anticipated d. d West t Explains Plans In explaIn explaining ng to applicants something something some some- thing tiling of the char character of ot these loans Mr West Vest Informs them as follows It must be remembered that our mortgages never fall due There are no renewals which involve worry worry wor ry and additional expanse to the borrower He buys no shares of ot stock and arid joins no associations He need not live on nor personally operate his farm He may proceed with his improvements with the comfortable feeling Peeling that that the time farm Is his very own that he lie Is working for himself and his family instead of some mort- mort who might foreclose ina ina in ina a time of stress when renewal wag va difficult arid and or en l ly impossible All Il he has to observe are covenants the covenants of the mortgage an and make stake l his is installment nt payments payments' when due I At the end amid of the term for which the loan is is- made he owes nothing i 1 he I Interest st and the principal itself iv will ill have b been en entirely wiped ou out In Il the meantime during d ring the life tUe of his loan he le is gradually acquiring rint greater grotter eq Its in his property year yearb yearby b by liy y year a He is gradually paying off olI ins Ills loan almost without knowing it If after arter a few years his property property property prop prop- erty should be sold he will discover that he does not owe the amount for the Ehe 1 loan an was originally mac made e but that a dart part of it had been paid and th that thata t ta a substantial saving has bI asen sen en made almost unconsciously Yo You must agree that these n are arel e I unusual and desirable features inthe In ill Inthe the farm tarin mortgage business We Weare Weare j are anxious to assist you in afford- afford ng ug the capital credit wl which you need I n n your farming operation Our on ony ony ony on- on y requirement is is' the tho quality of seen seen- which will justify a loan of this thIs' character 0 0 |