Twelve Federal Intermediate Credit Banks - 1974 dated $50,000 Specimen Bond - Orange and Red

American Bank Note Company - Specimen $50,000 Bond. Rare! The Federal Farm Loan Act of 1916, enacted on July 17, 1916, was a federal statute in the United States designed to enhance credit availability for rural family farmers. This was achieved through the establishment of a federal farm loan board, twelve regional farm loan banks, and numerous farm loan associations. The legislation was endorsed by President Woodrow Wilson. In 1908, under the administration of Theodore Roosevelt, a study was commissioned to investigate the challenges faced by rural families, who at that time represented the largest demographic group in the nation. The findings indicated that limited access to credit was a significant issue for rural farmers, leading to a recommendation for a cooperative credit system. Subsequently, in 1912, Presidents William Howard Taft and Woodrow Wilson dispatched a commission to examine European cooperative credit systems for farmers. The study revealed that effective European models included cooperative land-mortgage banks and rural credit unions. The commission determined that an optimal cooperative credit system should provide both long-term credit for land mortgages and short-term credit for everyday business requirements.