Northern tribune. [volume] (Cheboygan, Mich.) 1875-1885, 1881-01-22
Deposit and loan Associations.

To the Editor Of the NORTHERN TRIBUNE.
Statistics not being forthcoming, and
being dry reading matter at best, Oul
article will proceed in more partial
strain, and we hope in a manner plain
to its readers. A constitution, then
would be sketched as follows:
1. The ;Object of this association shall
be to enable persons of limited means to
invest small savings safely, where they
will draw fair rate of interest, and Sc
cure for the depOsitOrs fund to assist
them in building homes or engaging in
business, and to provide plan where
idle capitol may be invested with GER
tainty of producing an income.
2. The capital stock shall not eXceld
three hundred thousand dollars, divided
into shares of three hundred dollars each,
payable in installments of fifty cents
per week.
3. Any person may become member
by payment of joining fee of fifty cents
and complying with the rules.
A. The officers shall be President
Vice President, Secretary, Treasurer and
three Directors. lleIj ot .afl Ina
5. The President shall preside at all
meetings, sign all orders on the Treasur-
er, and appoint committees. The Treas
urer shall receive all moneys and receipt
to the board for the same, paying cut
the funds of the society only upon prop
er orders. The 5ecretary shall keep all
the accounts ana records, and hold all
valuable papers. The Directors shall re-
ceive the deposits of members and re-
ceipt for same.
6. An attorney shall be appointed by
the board of officers who shall examine
the records of all property offered as Sc
curity for loans, and attend to such legal
business as the society needs.
Z. Members only may borrow from the
society to the extent or less Of the shares
held, providing the borrower shall give
satisfactory security; which security
must be first mortgage on real property
with the insurance policies duly trans
ferred when the lands are not of suffi-
cient value to secure the loan.
s. Whenever there is three hundred
dollars in the treasury the society
shall offer the precedence i'm TAX
ing a loan to the highest bidder. The
premium bid shall be paid to the society
at the rate of fifty cents per week until
the amount is paid in full. Interest
shall be paid on loans at the rate of
thirty-fve cents per week per share; and
the borrower shall pay the attorneys fee
and cost of appraisement usually about
twelve dOllars.)
g. Members who wish to borrow small
er sums than full shares may borrow
seventy-five per cent. of the dues receipt
ed for on their pass books. Interest and
INN fhic olacc of hnrraxui hol
be regulated by ''Scale of prices Re-
mark: As this species of loans is rather
side issue to the original plan and
not necessary to an elucidatiOn of our
subject, we will drop it here with this
passing notice.
10. Members failing to pay dues
promptly shall be assessed fine of five
cents per share per week for every week
so failing to pay.
A borrower who fails to pay his pre-
miums as due shall be assessed fine of
five cents per share per week. Officers
absent at roll call shall pay fine of ten
cents, and all fines and interest shall be
first deducted from payments made by a
delinquent member, and the balance re-
ceived, if any, shall be applied to the pay
ment of dues. ....s....
IL. No member shall be permitted to
withdraw sooner than six months after
entry into the society.
IL. Persons who have borrowed money
may return the same at any time with
out loss, except as to premium and inter
est; or, if such persons desire at the same
time to withdraw, they shall have credit
for all dues" paid in.
13. A share shall terminate and be pay
able to the holder Gf not previously TAX
Ell by way of lOan) whenever the dues
and profits (Which profits or losses are TO
be entered to each share once per month";
shall amount to three hundred dollars.
The principal points in the plan of
such society having been thus briefly
noted, it remains for our next article to
show some of the advantages of such an
organization from dollars and cents
standpoint with an estimate as to the
probable time required for the deposit
Ors to accumulate full share of three
hundred dollars. 4 :