Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1873-04-20

'.BuiIG ling Association

''Build ling Association"
The following are the rules of q building
association now ia operation in this city,
sent in by Rev. N. S. Royce, President of
the Society. They will be read with inter-
est by the readers of this paper:
/. Each member shall pay to the Treas
ury on the 14th day of each month ST. on
each share Of stock subscribed.
2. Each member failing to pay after the
25th of each month, shall be fined ten cents
on each share unpaid
8. Any member falling to pay for three
successive months shall forfeit the right to
vote or borrow money until all arrears are
settled.
4. Stock so forfeited shall be held by the
Society for the benefit of the owner until
the Dlal settlement, when it shall be eUti-
tied to a pro rata distribution of the profits.
s. Money shall be loaned to members in
Sims of not less than $3.50, and to men,
ters owning at least. five shares $50 on
each share.
6. Money loaned must be secured by
deed of the real estate TO the Society; and
! the Society shall give its bond to deed the
same to the borrower of the money when
all arrears shall have been set ed.
Z. In case the Society purchase lot for
the use of a member, he shsn pay the price
to the Society in monthly installments as
other daes are paid.
s. Borrowers of money shall pay the tax
es and insurance on the properly occupied
by them; and shall pay ten per cent. per an
mum on the money borrowed of the Socie-
ty, in monthly installments.
9. When more than one member wishes
to borrow at the same time, they shall draw
lots for the privilege.
10. When members wish to sell their
stock, the Society shall have the privilege
of buying it at the rate offered by any out
side party.
The stock shall be IN shares Of fifty dol
lars ea'h, payable in monthly instalments
of one dollar per month, for fifty months.
At the end Of the fifty months, each share
shall be entitled to it's dividend, but not be-
fore.
The following exI Aanstion illustrates the
practical WORKING c the plan:
Nearly all persons who are getting regu-
lar work and fair TRACES can save five or ten
dollars a month if they have sufficient OBJ
ject to induce tn Im 10 do it; but not being
able to invest their savings safely and profit
ably, they do MT usually save anything. To
buy lot and build even q small house re-
quires $500 Or $600-of which amount
5000 or $500 must be paid at the start, and
there is danger of losing that, If sickness or
misfortune should prevent one from paying
the balance at the time it should become
due.
But if considerable number of persons
would unite III society, for the purpose of
helping each other TO secure homes, their
united savings would amount to sum
which would nable some of them to build
at once, and by the accumulation Of inter-
est, would enable all to get homes in much
shorter time tan any one could do it alone.
The following plan will show how this
can be accomplished:
/. L ct thirty persons agree to pay S. per
mouth g: lch, for period of fifty months.
2. As soon as the funds paid in amount
to $3.50, let that sum be loaned to some
member, e hosen by lot) for the purpose of
aiding him to build house, and let him
pay ten per cent. interest on the money
borrowed, bes ides paying his s. per month.
3. Let him select lot, and let the
Society buy it or him, taking the deed for
it, and giving him q bond to deed it to him
when it is paid Tor.
Z
be Doughty on th rec years time without in
terest-and let The price be divided into
thirty-six equal monthly payments, to be
paid to the society.
Suppose such society Of thirty Members
to be formed. In two months they will
have $500 in the trea sury; they lend $3.50
to some member, and buy him a let costing
$40, Cor So for, foot for 35 feet). He
builds house and mCves into it. In fifty
months-the time eacl, share has to run
he will have paid as fo lows:
Two months dues at $5..........$ 10 90
Thirty-six months payment on lot
at 81. 80. ................. 2lO W
Forty eight months dues at ST.. 249 90
Forty eight months interest at
S2.10 ~......": ...s......... 100 80
$500 80
For which he will receive
One lot worth. 90
Money for building. $50 90
FOrty-ejght months rent at ST.. 3S4 90
$S44 90
Saving $2S3.2O by paying an average of
$1121 per month. Who would not prefer
to pay Sll.20 month, and own his house
at the end of fifty months, instead of pay
ing S. or SO, or SIP per mouth to land
lord, and at the end of fifty mInths, being
no nearer to having home than at the be-
ginning?
If thirty persons unite in such Society,
and pay thei- dues promptly, the first man
can be in his house at the end of two
months, fifteen men or Zone half) can have
homes by the nineteenth month, and all
can be in their own houses by the thirty.
third month.
THIS SOCIETY THE BEST OF SAVINGS
BANKS.
Some shareholders may not wish to build,
but simply to invest their money in a safe
and profitable manner. Let US see how 1t
works for them.
A society of thirty members, of whom
fifteen build and fifteen do not build, would
have at the end of fifty months, II well man
aged, about $4,000, to divide among the
fifteen who had no houses, which would be
$500 to each share, or $50 profit on $3.50
paid in, equal to Is per cent. per year.