SOLDIERS' LOANS.

Hauraki Plains Gazette, Volume XXXVII, Issue 4933, 1 February 1926, Page 2

SOLDIERS' LOANS.

TRANSFERS TO CIVILIANS. • \ 1 A NEW REGULATION. WELLINGTON, January 30. The Minister of Lands (Hon. A. D. McLeod) stated to-day that a good deal of criticism had been directed against the Government and against his own department in particular for allowing the transfer of soldier Ibanp' to civilians, thus diverting the money from the purpose for which it waS originally intended. • A new policy has therefore been decided upon, and in future s.uch transfers will be granted only when the applicants. are prepared to iyiy the same rate of interest as is charged by the State Advances Office. The Minister commented that in the case of transfers hitherto, the use of cheap money had been beneficial more to civilians who were in a position to pay the current rate of interest than to the soldiers it was desired to benefit. Endeavours had been made to‘check the practice, but there was, notwithstanding, ,a continual pressure upon himself and the land board to agree to transfers. “The matter has been receiving my attention for some time,” continued the Minister "and T have now issued instructions through'the Under-Secre-tary for Lands, that, as a matter of policy applications to .transfer to civilians should be refused except in cases, where the transferee is prepared to pay interest, at the rate of 6% per cent., less the usual rebate for prompt payment. Thfe w'il'l bring soldiers into line with applicants receiving loans from the State Advances Department, jvho are not restricted in the matter of transfer. Of course., in the .case of a soldier transferring to another soldier all the benefits of the cheaper rate. of. interest be retained.”