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THURSDAY. OCTOBER 1. 1925
THE CAROLINA MOUNTAINEER
LONG TIME FARM LOANS.
The following is explanatory:
Wm. A. Band, Eeditr Carolina Moun
We are in the market for practi
cally an unlimited number of appli
cations for long time farm loans to
be secured by first mortgage on so
lect farm lands.
It is quite probable that you know
of some parties at this time who con
template applying for loans a little
later on, and if so, we urge that appli
cation be made to us just as soon as
possible in order that there will be
no chance of the loan being delayed
beyond the date the money is de
sired. We offer prompt appraisals
and quick closing of loans.
For your information, we require in
all of our loans that the borrower
carry a fire insurance policy in ar.
amount to be determined by us.
We trust that enclosed circular will
prove of interest to you. Read it
carefully as it will answer any ques
tion pertaining to our raothod of
making loans which you might wish
Application blanks will be gladly
furnished upon request.
Trusting that we shall have the
pleasure of receiving some applW
lions from your locality as a result
your efforts, we are
Yours very truly,
Atlantic Joint Stock Land Bank
Details Plainly Explained Herein.
1. Question. What is the nana of
your bank, and under what lnw arc
you nuthoiized to do b' sine5. and in
Answer. The name of t i hank s
At'antic Joint Land Svc!: Bai.k of
JKcgh, North Carolina. Tin' brink
VhK chartered by the F...1 id Farm
I.' pr Board, a bureau of (he Treas
i'y Departmen of tn -. Jn'"d Stn'.es
viiTuncrt, pirsuur. ' f Nlr.ns
of Fede-V Farm L- -i Aft The
bank is authorized to make farm loans
ri ip p rovca f.ist far i- .rl
i'jr'-v in Ino states -f Nor'h awl
Corel. i a
2. Q. Explain briefly the purpose
and workings of the Farm Loan Act.
A. As a farmer and land owner, in
order to adequately finance you oper
ations, you find it necessary to pro
vide yourself with a certain amount
of working capital, llto use of which
you can depend upon for a definite
time. This you have accomplished
ordinarily by obtaining a loan on your
farm and giving a first mortgage as
security therefor. Following estab
lished practices, you paid interest cn
sist that you pay your regular semi
annual payments promptly, on the
date due. All loans made by this
bank will provide for the payment of
installments semi-annually. Due con
sideration of the obligation to pay
your installment when due should be
given by you in the management
your finances, as well as in the oper.
ation of your farm. You should ar
range in advance to have some money
crop or produce, ready for market, to
that you many certainly meet your
installment when due.
Experience has shown that diver:
fication is the only safe plan for tho
farmer to follow, the "one crop'
method cannot be relied upon. Diver
sification of crops, keeping of dairy
cows and crop rotation, not only as
sures success for the farmer, but will
bring to this state the recognition es
a leading agricultural state, which its
natural resoruces so abundantly
3. Q. What is a loan on the amor
A. A loan that you do not have Ij
pay back, it is sometimes called. It is
a loan so arranged that it never be
comes due ao long as the borrower
meets his semi-annual payments reg
ularly and promptly.
To amortize debt is to kill or ex
tmguish it through a series of reg
ular, small payments. One cannot
make an amortization loan without
the same time and the by the same
act, executing the sure and certain
death of the loan. Ths is beeaus-
with the first semi-annual payment a
small savings account is started which
increases with each additional semi
annual payment until the entire debt
is entirely wiped out.
Loan of $1,000.00.
You pay 6 per oent on J 1,000.00 for
thirty-three years .$1,980.00
Principal still to pay l.QOO.t'-O
such loans at rates varying from 0
per cent to 12 per cent, together wiui
frequent commission and bonus
charges to agents for the privilege of
obtaining the loan. The rate of in
terest and the amount of commission
paid depended Iarg?ly on who you
were, where you lived, and how badly
you needed the money. These loans
were made ordinarily for a period o'
from three to five years, and when
they fell due you had to repeat the
transaction and pay the same com
mission and bonus charges over again.
You have never liked this system and
you don't have to endure it longer.
The Federal Government, by ;ne en
actment of the Federal Farm Loan
Act, has planned a better system ; f
farm loans for your benefit. It ic
commends this system of loan to
you. Could you ask more?
The purposes for which the Farrr.
Loan Act was passed ni e best state I
by quoting the title of the net:
"To provide capital fur iiricultur
al development, to create a standard
form of investment based upon farm
-mortgages, to equalize rates of in
terest upon farm loans." etc.
Federal Farm Loans are made only
cn the amortization plan, nnd for a
period of 33 years, at 0 per cent n
tercst and without commission o'
bonus chargest. Ioans are made by
this bank in amounts ranging from
$1,000 to $50,000. Loans are made
only after the land has been appraised
by a Federal appraiser, who is a
Government officer. Loans may be
made on a basis not exceeding 60 per
cent of the appraised value of the
land and 20 per cent of the appraised
value of the insured improvements.
as ascertained by a Federal appraiser
The bank cannot loan unless favor
able report is made by the Federa'
appraiser, nor can we loan more than
fs recommended by the appraiser; vre
may loan less.
While this bank was chattered ui
der the Federal law and opeifctes un
der Government supervision, the
money we loan is in no sense Govern
ment money. After our initial paid
in capital has been loaned ve obtain
additional f inds to make loans, by
lasninar our o-nds. whic-. we sell to
the general Investing public.
We pay the interest on our bonds
on the exact data it is due. Ours is
a solemn obligation and we guard it
jearloualy. Naturally, we not on'y
expect,. but Insist upon our borrowers
keeping aame faith with us In
.their obligation. We are happy to
nrovide won with cheap money for a
4Jtag period of years, and on the moat
fayorable possible terms, bat will in
1 .r" V
Total - - $2,9'n.0G
This Bank Plan
You pay in thirty-three years
sixty-six semi-annual in
stallments, including in
terest and principal S2.;'04 23
Principtl to pay V-r-.e
Total - - $2 0I '.7
Actual saving to you $ 675.7V
rou children inherit the farm not
T-ils tlle shows the savi j r.n
loan of $1,000. On loans of Rrexler
amount, saving would be proportion
4. y. If I mortgage my farm to
your bank, how long oenel en pay
T the debt
A. Your loan will im!c ri :ha
ir.ertizatioii ;-iv which will i-i yra
v3 years in which to pay the snnie.
Your note and mortgar provide thu'
you can pay all or v ju'l of yi.ur
in after years, 'louever, it ,vj)i
!h the policy of this bn., if the bor-
'. .er wishe? to pay ' i 1 a. befv
5 years, to allow him to do so, by
-pedal arrangement. Thus you see
you are guaranteed your loan for 33
i ears, with the optional privilege of
paying the same practically at any
time you desire.
5. Q. Will I be required to buy stock
n your Danic in oraer to obtain a
A. It is the policy of this bank.
: cling in accordance with the wishe:
jf the Federal Farm Farm Board, not
to require or permit the borrowers to
mrchase stock in connection with, o-
af n consideration in takine a loan.
. y. Upon what kind of securifr
io you make loans?
A. Loans will be made by this
bank only on first farm mortgage
security n the states of North Car
olina and South Carolina. Loan
will be restrictel to improved farm
lands, in cultivation, and that are in
every sense productive farms. V
do not make loans on wild or swamp
lands, city or town property, truck
Kardens, or orchard propositions; nr
do we make loans on business build
ings. warehouses, personal property,
or other chattel security. We do not
make loans on second mortgage".
Our loans must always be a first ir-
prior lien on the farm land.
7. Q. In what amounts do you maV"
A. While we will accept loans in
amounts ranging from $1,000 to
$50,000, we are especially interested
in obtaining doans ranging from
$3,000 to $50,000.
8. Q. Is it necessary that I be an
actual fanner, and actually live on
the land in order to borrow from thi
A. It is not necessary that yon ann
ually live on the land or persor.-Jly
farm the same in order to borw
from this bank.
9. Q. For what purpose does the
bank make loans?
O. Keeping in mind the r.rlrit of
'I.c law which has for its nltimrte
object the prom it i of nurkmlttne,
loans made by this bank most be used
10. Q. Do yon make loans to cot
po rations ?
A. We are not permitted to mane
loans to corporations, but will loan
to persons, either as individual.
joint owner or partners,
11. Q. What ia a farm?
A. Our loan must be against
complete farm unit, sufficient in acr
age, in fertility of soil, in diversity
of crop production, and in nearnM
to market to assure the average
farmer, under normal conditions, net
earnings sufficient to maintain his
family and discharge the semi-annual
installments on his loan promptly.
The farm unit must have such
sent'al and necessary improve
mcnts as will assure the proper op
eration of the same, giving due con
sideration to provision for th-s com
fortable living quarters of tht ;p-
l2. U. If I mortgage my vn to
o. rk, will it prevent my stuiij it,
or any p.1 of t?
A. Not in the least. You may sell
yur land to whom you plo-c and
under your own terms. All th.r. this
t-ank wiil require is that lit no-
' fed of the sale, so that tho pur-
aser may execute proper papers
tn assume the loan. As inciter of
fact experience ha 'down rn:! the
p'ai Ing of an amortixat!o- plx:. l-.an
. farm makes it more ittrac'lve
to a purchaser than otherwise.
1.1. Q. What commission do you
i'he bank ch-rcs no c iais-
sic whatsoever, icr is . -w -lie au
thorized to charge the bei-.iwvr a
ci. mission in con.icction vi.'h hi-
t. Q. Do you charge any fco for
n iing a loan:
A The only chaige ma-4: by the
bank is for the reasonable cost of
appraisal of the land and the determ
ination of title. This is to cover ex
pense incurred in connection with
making appraisal of the land by the
Federal appraiser, and the expense
of the mank's attorney in examining
and passing on the abstract of title
of the bank's attorney in examining
etc., incident thereto. This tost va
ries from $15.00 to $150.00, deo.nd
ing on the amount of the 1 mil
The borrower, of course, pays the
expenses for recording of mortgage
and other proper instruments. No
revenue stamps are required on the
notes of this bank. The borrower
furnishes, at his own expense, ab
stract of title acceptable to the bank.
the cost of which is to be paid by
the borrower, and is a matter for
arrangement between the borrower
and the attorney engaged to prepa.e
15. Q. Who will prepare abstract
of title required b ythe bank.
A. One or more attorneys have
been designated in each county, to
prepare abstracts of title in connec
tion with our loans. These attorney
will be furnished with abstract blanks
and full instructions concerning the
requirements of the bank in the mat
ter of the preparation of abstract?.
The cost of the preparation of ab
stract is to be paid by the borrower,
and is a matter of arrangement be
tween the borrower and the attorney
who prepares the same.
Loans made by this bank most be
on first mortage secruity only, there
fore, our lien must in every way be
a first and best lien against the mort
gaged land. We cannot make loans
otherwise, and there is no way we can
can satisfy ourselves that our lien
is a first and best lien unless we are
furnished with an abstract of title
brought down to date, which th;n
must be examined and passed upon
by our attorneys at the banK.
In no case should you aringe with
an attorney to prepare yo .ih-'tra-.t
of title, until you have been notified
notified by this bank thai your loan
has been approved. When notified
of this fact, you should then imme
diately arrange with one of the de?-'
ignated attorneys to prepare yov
abstract of title, at which time you 1
should have a definite understanding,
with the attorney as to his charges!
for this service.
16. Q. What will I have to do to
pet a loan from this bank
A. Your dealings are dirc tly with
the bank. You are not required to
join any organization or association
in order to obtain a loan. As a
matter of convenience to borrowers,
we have representative in most of
the counties who are eo-operating
with us in our efforts to promote the
agricultural development of our
country, and who, without commis
sion, will be glad to explain any
thing not entirely clea to you, and
to assist you in preparing your ap
plication. In the event we have no
representative in your county, we
will, upon request, furnish you ap
plication blank, which when prop
erly nued out ana , received oy us
will be given prompt consideration
We furnish application blank with-
you bo not iiy jyiUT ijfti. baking
SATisf Action means until you have used
KANSAS EXPANSION flOllR
EVERY PARTICLE Of FLOUR IS TAKNN OUT, LEAVING ONLY
THE PURE, WHITE VELVETY PRODUCT.
ASK YOUR GROCER TOMORROW
There will be no unusual delay in
connection with our procedure and
no red tape involved; we have ample
funds to close loans promptly. Th?
promptness with which we are abUs
to complete a loan depends largely
upon the borrower, and the accuracy
and promptness with which he meets
The bank will require as an "evi
dence of good faith, a deposit of
$15.00 in connection with each appli
cation for loan, which will be applied
a credit on the expense charged
in connection with your loan, and
which, as has been previously stated
covers only the reasonable expense
of appraisal and determination of
title. In case your loan is rejected,
the unearned balance of the $15.00
deposit will be returned to you, but
at the present time it is costing
$15.00 or more to make the appraisal.
In n ocase will application be consid
ered unless accompanied by an initial
jeposit of $15.00.
Nuses Wanted Pupil Nu.-si's want
ed for State Hospital at Mi rint u.
foO.CG per month for banners, with
.crease for teond and t'lird yc ir up
to $40.00. Board, room ) separate,
rom Hospital wards,) laund'y and1
uniform furnished. Opportunity for,
course in Nurses Training bchi.ol
for young women. Add re's Super-,
intendent, Dr. John McCampceK,
Morganton, N. C. 4tc-Octl5'
A Clearance Sale
t is -i i
an J Novelties.
Everything in our Store At great
Jeweler and Optometrist
Three Homes for Sale in the heart
of manufacturing district of tho town,
two five room 'cottages with bath.
These cottages never been occupied
Price $3,000.00. One four room house
on acre lot skirting Richland Creek.
Price $2,000.00. This is the most de
sirable place to live in Waynes ville at
anywhere near the price, all boose
having lights, water and sewer. Terms
one-fifth cash, balance to be arranged
with buyer. Apply to R. L. Lee,
You CanoutteTheOf Your
s n :.i.-ttew. 9 i- ' . a2 4E
E. T. bbckktt. Prop., Main Street
Prices Are Low Weynesyille, N. C.
in connection with farmirg operation.
or to liquidate exisiting indebtednisjlout cost to the borrower.
against the land being mortgaged, .'every question in the blank must be
The money may be nsod to buy land, answered plainly and definitely.
to provide equipment, to bay live, Tescription of the land being mort-
stock, fertiliser, etc., to provide m gaged must be the correct legal, de-
prorwnents, or to pay off existing in
jftcription of the land.. It should be
I the same description that appears ir.
LI LCL L
SPECIAL SIX SEDAN
4-wbed , brAc balloon tbt and 5 diae
" wbdb Inclodedat no extra coat
All over the country they're look
ing at other cars in the field of
this new Special Six: Sedan-ami
then buying te NtiK ptbduci.
There's no cecret to it-it's the
appeal of quality.
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