STATE ADVANCE

New Zealand Herald, Volume LXXV, Issue 22971, 24 February 1938, Page 12

STATE ADVANCE

EXTENDED LOANS PLAN MONEY FOR HOME BUILDING LOW RATE OF INTEREST NEW CORPORATION SCHEME A scheme of extended loans for horns building purposes is expected to be an. nounced by the Minister of Finance, the Hon. W. Nash, shortly after Parliament resumes next month. The loans will be made by the State Advances Corporation, and, although details are not yet available, it is stated that the scheme will be one of the most far-reaching evolved by the department. Many months of planning and organising by the staff -of the corporation throughout New Zealand have been involved in the preparation of the scheme which, it is stated, is ready to be put into operation. Architects and statisticians have been called in to assist in preparing details. It is also stated that the department's current lending rate, 4 1-8 per cent, will not be exceeded in the new plan and that even cheaper money may be made available. Confirmation of the fact that a new scheme will be announced shortly was received yesterday from the jointmanaging directors of the corporation, Messrs. A. D. Park and T. N. Smallwood. They challenged a statement in I a recent issue of the Hkrald that the I corporation was following a very restricted policy of lending. They said that this was contrary to fact and that money was being lent by the corporation at 4 I>B per cent. Their letter added: "In the very near future there will be on issue throughout the Dominion full information regarding the policy of extended j loans for home-building purposes."