REDUCTION OF INTEREST

Otago Daily Times, Issue 21627, 23 April 1932, Page 8

REDUCTION OF INTEREST

TO THE EDITOR.' gj K —Having read Mr Kellys letter and your footnote to it,. I should >e interested to know whether you iniplr that the banks must .compulsorily reduc* thenrates of interest on mortgages—that is, that compulsion is being exerted on the banks in relation to interest on tms par-ticular-class of security, in tie same manner as it te beirtgi exerted Hi mortgages held by’ private My reading of the.Bill convinces me that Mr Kelly’s remarks are justified, bat. ® implications in yp.ub footnote are ooirect, it certaiply throws a different dig it on the application of the Prosed leg slation There'can be no angceetion that the banks arc- in duty howl to ™duee their already large profits ly a 20 per cent, reduction in interest, btt there is a

'suggestion that our Coalition Government : is afraid to apply to the banks legishtipu Vwhich it does not hesitate to enforce ou .private individuals.—l am, etc., * Dunedin, April 22, - iMPABTfitf i ! [We ar6 unable to see on What grb’unck 'it is suggested that banks are exempted from the operation of the legislation!— 7. •Ed. O.D.T.]