GOVERNMENT ADVANCES.

Timaru Herald, Volume XIIIC, Issue 13709, 25 September 1908, Page 7

GOVERNMENT ADVANCES.

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On Monday the Wellington "Po-t pub lwhed tlx- following Iciui : --"(. an you. *mtiwnt a bit! K«»i w«-k* p.LV ihcy your column*. ishake up the *•*•% - liav® been accepting application** for 10.in.% bv th* (<<ivs mnn-nt Advano* to >.ttUirI'epa rtmcot and the Gori.rmncn: Advano* to Worker* For w-ck» pa*: the IK-paitnrwnt Im* tad prjci:ca.lly no morwy to l«-nd. For *<«-k» p-a.-.r tlic l.'ov ♦rnnvnt ha* intcmled w> p.<-»v an tion Art. The of thio iiKXcu.*ablo ilia-. ;{>» 4 j»»ir iletiU «ti<» Iwtf W*n coiintmx tb«r, from tl»k*ta(» whult h.i\e >»>n 4wj>»el h.>v«* hen put into awful *trait». .ind xvitx of th>in n arly rum-d " |ti trplv to aa «*mj<wy by a s Pr>»? " it jk <.tp'.on* d iliat tor 'bo ]«»t iw«:l*e month* the He]"artnietit h.«-< lM»fn lafw h* itn d with i..i m«>n'y. applications Imng «t th<- rate ot alKiut jfr d.n. Kv.-y rffvrt Hju» nudi? to with 11»-~ «?«mand. Jind !o.in* neiv i-"*trnt*rd ximc three momha ago a maximum of £>A) «ach. in accor:lance m'ii |ro\i»i->n <ou taitKd in the tJoi- rrm"n; Aivatui* t<» S'tll' rt Act. pro'v id:n>; tb-'' appbea!toi»« for t<x»r« not ejfc*«dni]; H Im\. priority .t>*>r iippltcajior*. for 'jift snn>Xotwitlistandinij •},:■>. t»ppa<.4t;on» . on tinned to r«.*ch th-? n<-|Mitrnvn- ,»> I •>: »« #T«r, ond ih.- amount pud *«» lo" row#ns f<"-r j of nioiiii* from thf I< April Jwt rate fur tayond th>- av-r.ig-- bit a pr. rio'rt .->ia>i!ai jKHoil Obv«ou>'y ; t !i«

came necessary to pay over advances in tbe°*order in •which the relative mortgages were completed. It 15 ad untie J that under the circumstances, tome inconvenience to borrowers has be.-n caused, bnt it is claimed that the extravagant language of "Elector" is not justified. ~

j A South .Canterbury -settler, discussing with a " Herald " reporter yes'erday, the apparent inability of the Government to meet the demand upon it for nioney through the Advances to Settlers lk partment. said there w;« nothing to 'he ?urprised at in this, as it was only what would happen to any piiva e money fcud 'ing firm or institution which ulfaed to lend money at lees ;h-tn the ordinaiy rate of, interest. It was only na ural when private money lenders wre citarging 6 per cent., and the Government 6!fered money at per rent., that iir< re should be an abnormal demand for ; tb--cbeap money. Just as there -was a limit to, the r& ources of private in>Jividuak so it was wi h the Government. It was. the tightness of the private money market that wa; earning the trouble. There were lenders now who were refining to advance up to half the cost* of say. a good sized farm, even.-it the; advanced rate of interest.