land owner and the tenant, bnt the third party in fi- 

 nancing the year's business now appears. 



TE SOTRrES OF HARVESTING LOANS. 



The additional funds are obtained, either by soli- 

 citing- credit from a bank or from the local "almace- 

 nero" or grain broker: these are the customary sources. 

 In this first case, when, from the banks this must be done 

 personally and at least three weeks before harvesting- 

 time; in the second case if from the grain broker or "al- 

 macenem" at any time right up to the moment he re- 

 quires the money. It is needless to dwell on the ad- 

 vantages of the latter, and as a result the last named 

 have the preference over all others. 



WHO ADVANCES THE MONEY? 



When either of these latter advance the money, or 

 the sacks which represent in normal times about $1000 

 m:n., or accord the .credit for Ilie threshing O f f| le wfi- 

 some $2000 (generally done farm by farm in turn, by- 

 contract, with the owner of the thresher, at a certain 

 date fixed to suit conveniences), or arrange for the car- 

 tage to the station for delivery, it is generally after the 

 farmer has conformed to a contract whereby he binds 

 himself to sell his produce to his creditor. He agrees to 

 deliver his crop' to him at a certain date, at a fixed price- 

 agreed upon there and then, or at a price equal to that 

 ruling: on the market on the day of delivery, which is 

 fixed by the party lending' the funds. If the farmer does 

 not compromise all his crop, at least lie has to agree to 

 sell sufficient to cover his liabilities. Generally he pre- 

 fers to sell in one parcel: it is more convenient and he 

 runs less risk and lias less trouble. 



LOAN CONDITIONS. 



Loans, when accorded by the grain broking firms r 

 are generally payable within two months, and carry 

 with them an average interests of 8 per cent., which in- 

 terest is deducted previously. A further provision is 

 that the lending house shall pay a few cents less than 

 the market price actually ruling, as a special considera- 

 tion for having lent the money. Penalties are generally 

 attached to the contract for failure to deliver the quan- 

 tity contracted. Needless to say the creditor reserves 

 to himself all the rights customary in case of default 



