50 AMERICAN FARMS. 



crease the number at least 200. In this reckoning no 

 account is taken of firms and individuals, although a 

 large amount of money is directly invested by lenders of 

 this class." ' 



One feature of importance to be observed in this 

 mortgage business, is the fact that the chief part of the 

 power to put in bonds the lands of America comes not 

 from the country, but from the city ; while the country 

 is gaining no equivalent power over city interests of 

 any kind. 



As to the oppressive nature of the Western farm mort- 

 gages the Chicago Times says : " The syndicates tliat 

 loan money at from one to three per cent, per month are 

 mainly made up of Scotch, English, and New England 

 capitalists, who have their agents throughout the South 

 and West. These mortgages are falling due, and soon 

 an immense number of Southern and Western farms 

 will be in the hands of foreign mortgageors. . . . The 

 territories are covered with mortgages on new farms 

 not yet patented. In some of them the law has permit- 

 ted outrageous interest, so that the farm-mortgage busi- 

 ness has grown into immense proportions. In many 

 districts half of the settlers borrow money at high 

 interest to pay the small price required by the govern- 

 ment in proving up. This is leading to widespread dis- 

 aster. The object of the pre-emption law is perverted. 

 Eastern and foreign capitalists get the land with such 

 improvements as the settler has put upon it. The settler 

 loses all by reason of the exorbitant interest he is com- 

 pelled to pay." 



There are those who would fain establish the idea that 

 these growing financial embarrassments upon the farms of 



' W. F. Mappin in Political Science Quarterly, September, 1889. 



