VOLUNTARY AND COMPULSORY "CUTS."

Auckland Star, Volume LXII, Issue 166, 16 July 1931, Page 6

VOLUNTARY AND COMPULSORY "CUTS."

Your correspondent L. A. Tozer lias liit the nail on the head" when he addresses yo u on the above point in your issue of the lOtli inst. It is hardly credible that our repiescntatives in Parliament can face the giav.o economic crisis before them without passin o legislation to compel mortgagees to reduce their rates of interest. As Mr. Tozer there should be equality of sacrifice an<i owners of property paying a high rate o interest for mortgages should certainly welcome the relief that such a compulsory reduction would give. In the drop of values e house owner has already borne the loes.o his equity and taking a rcducg rent is losing all round, while tne mortgagee lias not felt the pinch ° iota. A two per cent reduction in mortgage rates by compulsory enactment, as was tne "cut" ill wages, etc., would indicate just wli our so-called representatives in Parliament really represent. Mr. Tozer is to be congratulated on his lucid letter. One would wi«n he took further steps to put its spirit into definite action. JOHN BROADMLAD.