Show CHEAP MONEY FOR AMERICAN FARMERS cheaper money for the bono bori oving american farmer la is the object of an investigation recently undertaken by the state department through five of Us its ambassadors in europe in america the farmer to da day pays a higher rate of interest for hla his money proportionate to the security which lie offelia in his farmland mortgage than almost any other class of dinv inv investors estors in the country in europe the farmer bor borrows roNs on oil equal terms with the biggest railroad ralli oad industrial corpor corporation atlon or municipality the european system in this count r would mean that tho the american farmer could raise money on bla farm through a bond salable in auy any part of tho the country cheap money iv III put it in the power flower of 0 the small if farmer aimer br the tenant who wants to start out for himself elf to get his AS farm on a paying basis with without shouldering a staggering burden at the outset it would thus do more than all else to advance adiano the I 1 back to the farm idea it would enable the farmer to adopt the scientific methods of farming which tile the govern molit ment la is teaching him and which ILI al ways costs costa money at the start I 1 ahe he dinv inv investigation Is considered ono one of the most important undertakings yet attempted when the work in europe Is completed tile the state department will prepare an organization plan to tit fit the scheme to american conditions and a if elal a tive program will probably b be e submitted to congress the anve 8 aiga alon Is cent centered cred about tile the credit of prance france and the lari lacu sc sch aEten haften of german the credit lonel cr Is a limited company operated under the fuhei vision of the government tor for the purpose of lending money to public service corporations corn munt ties counties and lando landowner biers and to create and negotiate bonds bonda based on mortgages which tire are limited to the amount due from the tender lender in other words the credit fonder ro licter acts as an agent for tho the french farmer so that instead of seeking to raise money directly from some local in estai by mortgaging his farm tho the former farmer places his big mortgage with the credit Fon fonder cler which in turn issues a bond based upon the mortgage and can be sold anywhere throughout the iha country in this way tho the irema larmer is freed from thi the mc busily L alty of borr borrowing in tile the limited market of his own immediate vicinity it Is juat restriction which la Is forcing the american tanner farmer to pay exorbitant lates of interest and to put up with nono none too acceptable terms in this country the farmer Is practically forced to borrow from some investor in his big own if local conditions make money tight I 1 there ho he suffers accordingly in one section of the country he pays 6 per cent interest ind nd in 1 another 10 per cent in ILI both instances the security offered may bo be the same nover never can be compete with the bonds of tile the big industrial corporations though in many instances the security which aich he offers off era is just is aa good as aa that of tho the corporation po ration two to classes of loa loans ns are offe offered red to the french farmer ly by the credit boncler ron cler short time Alme loans running from one to ane years yeara and longtime loans from un tn to seventy five yi years ars the rate of interest which the french farmer pays is onia 4 3 per cent per annum loans are made on first mortgage security only and the loan Is limited to one halt the total valuation of the property upon which it is anade on the tha short hort time loans the borrower pays only the interest duo dua at the end of each bear 5 ear nud at the expiration of the loan pays back the principal in the case of longtime loans however he is given better terms the principal in such loans is paid back in annuities which art are paid together with the interest due at the end of each year the tha annuities are spread over the entire period of tb tace 0 loan iso eo that in the case of a loan for seventy five years where here the interest is 4 3 per cent the amount due each year interest plus annuity is only 4 48 per cent and in this way the farmer Is able to pay back the entire loan without great burden the french government supervises the operation of the credit rancler ron For cler icier appointing the governor and two sub Covol nors tit the e affairs of the corn com pany are run by a general assembly representing all the stockholders of the company this assembly appoints the council of administration which with the three treasurers treasur ers gner general al numbers 23 members the shares of the company are dealt in on the paris bourse and may be purchased b anyone ahey are is sued for BOO trance francs but now sell for francs paying 6 per cent diva bends the capital stock of the corn com party pany Is francs or about 40 |