COOPERATIVE AGRICULTURE IN FLORIDA 91

proceeds of the collateral. Operating capital loans, as a
rule, are repaid at the end of the season. In many in-
stances repayment is accomplished by setting aside a
certain amount on each unit of product handled by the
borrowing association. Facility loans are generally re-
paid in installments over the life of the loans.
 Eligibility-The law specifies that to be eligible to
borrow from a bank for cooperatives a cooperative must
be an association in which farmers act together in doing
one or more of the following.
 1. Processing, preparing for market, handling, or
marketing farm products.
 2 Purchasing, testing, grading, processing, distribut-
ing, or furnishing farm supplies.
 3. Furnishing farm business services.
 The law further stipulates that, to be eligible, an
association-
 1. Must be operated for the mutual benefit of its
members.
 2. May not do business with nonmembers in an
amount greater in value than its business with members.
 3. Must either provide that no member may have
more than one vote in the affairs of the association, or
must limit its dividends on stock or membership capital
to 8 per cent a year.
 Where to Apply-Application forms and information
concerning the services of the banks for cooperatives
may be obtained by writing or visiting the Columbia
Bank for Cooperatives, Columbia, S. C, or by contacting
its Florida Representative, L. R. Toy, P.O. Box 647,
Orlando, Florida.
 Credit Standards-A bank for cooperatives, in ex-
tending credit to an association otherwise eligible to
borrow, ascertains that the association's organization,