Show MONEY CHEAPLY J The farmers aix J e of or Germany have credit associations which it is hi 1 claimed are I applicable to American conditions one class o ot of them the hav hv having havIng ing performed p useful work in PM I since 1789 oIn ot of the thO agriculturists SEts of ot the United State having heard of ot th e association have hare ben bee anxious to secure full tull Information which the consul general at Hamburg Vin has supplied These TheBe cooperative organisations resemble to some extent the Ameri Amort American Amerlan can an building and loan lean associations with tola distinctive difference that whereas the American societies are composed comPo of at pe persona who deposit depo lt m mn n ney ey for the purpose O of obtaining a roes ruU interest thereon and others who borrow such deposits deJo Its the German associations a are com corn composed comO posed O ed exclusively of ot borrowers whose whOle combined credit la Ia I made available practically i ly to each constituent mem meni member member ber berThe The L organisations are societies of ot farmers farmer tarm usually farmers x lot t J considerable Importance nce whose hOlle members are authorized d to lieu lamia mort mortgage morte sage gage e bOnds gual by bl all aU members of ot the society and which being biting so are ire readily saleable upon favorable terms The bonds bond are pay payable able bie to bearer and aM thus constitute title te a form of ot collateral which can oan be used In the most moat convenient manner so that the farmers constituting the society can an command the market as readily as the great ret business corpora corporations of ot the country Members Joining those these e associations are arc required to submit an appraisal of their estates and thereupon are ena aM enabled aMbled enabled bled to make mortgage loans for tor the ultimate repayment of ot which the soci soel society ety assume responsibility re pon up to one half hiir or of the appraised ed value alue of ot the land Jand The association itself pays interest as It comes comee due dut and eventually pays the principal reimbursing bursing itself lt from the borrowing member together with such ad additional onal amounts amour as may be necessary to meet the costs of administration and amor amortization amortization Each Bach association is Sa empowered powered to td ac acquire acquire j quire real property and to Issue mort gge bonds bonda payable Pa le to the holder thereof Only persona pel Olla who own agri agricultural agricultural rI cultural or wooded lands can become members 18 and then only when their estates represent a certain earning power or determined value As a no nobody nobody nobody body joins this th association unless in hi nerd need of f capital the initiation fee is Ia calculated at of one ODe per cent centor of or f the amount to be borrowed borrow Persons Pt who acquire property en encumbered encumbered cumbered with mortgages mo guaranteed by lor the association u must m become mem memo members membern bers bern thereof thereat and must mut assume e all alt lia Ha liabilities arising amine under the mortgage contract Refusal to do so to is I followed by the cancellation of the th mortgage itself Members who enter the asso NO association elation by reason of the acquisition of ot encumbered lands pay no initiation tee fee Members who ho have discharged all their obligations to the association may resign The personal liability of members when the property has baa been sold on which money has been borrowed the purchasers of such property succeeding au to the liability at attaching attaching taching jaehing thereto ther to Mortgage bonds bonda are issued and are quoted and sold in the financial ox changes brokers broken specialising on this class clae of ot securities Mearitt Members of the di dl directorate d of the association are obliged to 10 effect a sale of ot the bonds without charge to the person chiefly interested The Tue purpose of ot the II to secure farm loans at the least lea poeM possible ble cost co t to the borrower Owing to the number of ot such associations in hi Ocr Ger Germany many It is probable the desired result remIt r is 13 being achieved Of OC course eo the farsi farm farmer fanner er or pays interest which owing to ad adequate adequate adequate equate security Is comparatively low and nd a small fee tee in addition In no in instance stance however is Ia the farmer who hoj borrows money on his hla land compelled to pay usury ul u y I IJ S J I |