Manila, Aug. 2.
Bank credits in the Philippines, it was learned yesterday, are now confined to the limits of Manila and the cities where foreign banks have branches. No banks are making agricultural loans in the provinces except to baby along the enterprises in which they already have sunk funds, in the hope and with the purpose of getting those loans paid off, An American having Torrens title to more than 7,000 hectares of land, with only P. 25,000 against it, and that only involve ing one parcel, was unable to borrow P. 2,000 on short time note from any bank in Manila, "We would prefer your name and another good one in a strictly short-time loan,'' one banker said; and he, like others, whud he did not question the security of the land, was not interested in it. The land-owner had been told by a moneylender that the latter could easily loan P. 10.- 000,000 in Manila at one per cent. per month.
"You see reports of usury in the provinces in Manila papers." said the land-owner after making the rounds of the banks, "but can you wonder at it, when on Torrens titles I am unable to raise a paltry P.1,500 from the banks. My loan application for 25,000, with which I intended stocking my place with cattle, was approved at the national bank in 1920, just before the bottom fell out and investigations started. The bank tells me it has not been in a position since that date to advance me the money, although it does not question the security.
Text read from the printed page and cleaned; old type leaves the occasional error.