Tama County Republican. (Toledo, Tama County, Iowa) 1867-1872, 1868-05-22

ucchs
We don't pretend to decide. But we won
der sometimes if parents are not the most to
blame.
New, Solid and Attractive Financial
Undertaking
The extensive Saint Louis clothing house
of Messrs. VIM Young & Co.. have just inau,
gerated new financial enterprise, present.
ing 50 many important features and Of SO
original character, that We think it desira-
BILE to devote some space 10 an explanation of
the scheme; but as it is intimately connected
with "The Guardians Real Estate Security
Company Of St. Louis, it is necessary tina,
We refer to the character and standing Of this
institution.
The Guardians' Real Estate Security Com
pany is an incorporated institution with 500.
600 capital, charted by the State Of Missouri
for fifty years, and the stockholders are made
liable by the Constitution of the State for
double the amount Of their stock The obejct
| Of this company is to receive money on de-
and to grant reversionary endowments. 1t
is similar to an ordinary savings bank with
this important exception-it does not allow
the deposits to be Withdrawn at any time the
depositor may desire, but ISSUES its endow>
ment certificate for eight times the amount of
deposit, payable at the end of thirty years
The Company is peri tied to loan its money
on real estate only, and it cannot advance
more than three-fourths of the cash value of
the property. 1t will be seen that the Guar
dians' Real Estate Security Company is es-
tablished on the most solid and permanent
basis, and when we add that the Board of Di-
rectors is composed Of such men as A. F. Shap
leigh Wyllys King, Geo. D. Humphreys, Geo.
D. Appelton and Chauncy l. Filley it will be
readily believed that any obligations enter
ed into by this Company will be met in
prompt and satisfactory manner.
The chief features in Messrs. WIN Young &
Cos. undertaking is this; when q customer
purchases bill of goods for cash, they pre-.
sent him with the endowment certificate of
the Company referred to for the full amount
of the money received by them for the goods.
This secures to the purchaser the return, af-
ter thirty years, of the full amount of all the
money he has invested in the purchase.
The arrangement is SO exceedingly advan-
tageos to the buyer that on the FIRST view Of
the case, it seems an improbability. An in>
telligent examination Of the principles upon
which it is based will show. however, that it is
not alone advantageous to the buyer, but also
to the seller; and further, that the scheme if
conducted in conformity with the strict math-
cmatical principles on which it is founded,
will en- able the firm to sell their goods belo,p
currant rates and at the same time, earn lar
ger profits than heretofore. The undertaking
is very extensive one, and neeessitates the
investment Of alsrge amount of capital.
We will now explain how this scheme will
prove advantageous to Messrs. VIM Young &
Co.; suppose customer buys bill Of goods
amounting to $4,000, Messrs. Y &Co., invest
$1,000 Of this amount with the Guardians Re-
al Estate Security Company, and receive an
endowment certificate for S. 900, payable in
thirty years. This certificate they donate to
the purchaser of the goods. In order to make
the 81 900 deposited for the certificate to pro.
duce the required $4,000 within thirty years
it needs only to be invested at ten per cent
interest, compounded annually, at which rate
t will produce ST., 44O, or 50. .44O more than
the face of the certificate. This sum is net
profit to the Company-and as the members Of
the firm Of VIM Young &c., own q very large
part of the stock Of the Guardians Real Es-
tate Security Company, it follows that they
will share in very large degree this hand
some profit. This is one way by which the ar
rangement will benefit the firm. The next is
In the enormous increase of trade that it must
necessarily produce. As soon as merchants
they can buy goods from this firm
as low, or lower, than elsewhere, and secure
free of cost endowment certificates in re-
sponsible company for amounts equal to the
sum paid for theirgoods, self interest will i'm
pei them to deal with this house. Sush gen |
uine and important advantage can hardly fail !
to draw merchants from all parts of the coun-
try to ST., Louis Market and on this account |
the merchants Of St.. Louis are indebted to the
firm which has originated the scheme. twill I
benefit the whole trade of the city in q much
larger degree than superficial observers would
suppose. The third benefit is in the charac-
ter Of the trade it will secure, namely
ready cash trade. The losses on Q credit
trade in the best Of times are heavy-these
losses will be saved. But the advantages to
the firm are small compared with those accru
ing to the buyers. just suppose that coun-
try merchant who has seld 5000, worth of
clothing annually for the last thirty years,
could have pursued this system all the while.
His certificate for $1,000 given in 1888 would |
now be worth the full amount of his purchase |
80 that he would actually have steady in
come for himself, or his family in the event
Of his death, Of $1,000 year during the next
thirty years-and ,rithom costing him one cent.
In fact these certificates are almost similar
to endowment policies Of insurance, with this
important differences: they cost nothing; and
as there 10 no premium to pay, they cannot be
forfeited, They possess tho additional advan
tage Of beingas transferable asa National
Bank note, which makes them marketable Sc
curities. bearing definite market value from