BETTER RURAL CREDIT

...I am not inclined to criticize the local banks which in most cases have done everything in their power to extend credits to farmers, but which have been unable to grant long-term credits because of the fact that they are compelled to rediscount through the federal reserve banks...

...I regard it essential that some credit system of this kind be arranged, in order to make the farmers independent of forced deflation by the federal reserve bank, such as was experienced in the middle west during 1920 and 1921...

...I am informed that a large number of bills are being considered, but that it is likely that these will be combined into a singly measure and every effort made to obtain the passage of this bill, embracing the good features of the numerous individual measures which have been presented...

...An attempt will also be made by the leaders of the agricultural bloc to provide for loans to cooperative organizations which will then bo able to take care of the needs of their members...

...Better Rural Credit By Dante M. Pierce (Editor Wisconsin Farmer) REPORTS from Washington indicate that there is a strong probability of the agricultural bloc in congress being successful in obtaining the passage of legislation providing for a more liberal system of rural credits which will enable farmers to finance their legitimate operations through long-time loans based upon security other than real estate...

...The war finance corporation served well in an emergency, but has been at best a temporary, gather than a permanent, rural credit agency...

...One proposal which is receiving much attention is the extension of the powers of the federal land banks to permit them to loan money upon grain, live stock, and other security than real estate, the loans being granted for a sufficient period of time to permit the borrower to realize upon his operations and to hold his grain and live stock for a favorable market, if necessary...