Barbour County index. [volume] (Medicine Lodge, Kan.) 1880-current, 1886-06-18
BUILDING AsSOCI1TION


a good many who have a considerable
interest i'm the success Of the savings
lean and building association here who
yet do not understand the workings of
such an institution. In every place
where such an organization exists, 1t
has been found great advantage to
its members, and a mighty agent to-
ward helping along the growth OF the
town.
The plan of the Medicine Lodge Saw
ings, Loan and Building Association is
simply that all share holders shall pay
in - cents per week on each share he
holds during the life of the association.
This forms the fund from which loans
are TO be made to the members, secur-
ed by mortgages TO the association upon
unincumbered real estate in Barber
county. This fund, when all the
shares are taken, will amount to $3.50
per week or $4,000 per year, to be put
In general circulation by buildings to
be erected. This fund will also be in
creased by the interest on loans made
and by such fines as are imposed for
deIinGuencies on payments and on
officers for non-attendance at meet
ings. The only expense of running the
association Is for stationery and the
salary of the secretary, which for the
first year will be covered by the regis
tration fee Of % cents per share of
stock.
Now as to the advantages of having
stock in this association: In the first
place it will be of general advantage TO
the town. Thirteen thousand dollars
the first year, and n larger amount
each year thereafter, will go a great
way toward building up the town and
helping trade generally. The:building
thus made possible Will give a great
many men employment and the money
they thus receive will be largely srent
with the grocers and merchants of the
city. The lumber, brick and hardware
trades will also receive their share of
benefit.
To tho stakeholder who obtains a
loan the advantages are that he is en-
abled to build and repay his loan by
easy installments. This can be best
shown by an illustration: We will
suppose that man having five shares
Of stock takes a loan. He gets $500.
On that he pays $50 per year interest,
in monthly installments, and S65 per
We r installments on his stock; or in
other words, he pays to the association
on his stock and for interest on his
loan $3.50 per month. When his stock
reaches the value of 500 per share his
debt is cancelled, his payments of in
terest and installments cease and he
owns his property, clear of all incum.
brance. The time required to d. this
from the beginning of the association.
will be about five years and eight
months. 1t will be understood that all
loans made in this way mature at the
same time because all shares of stock
reach par value at the same time.
Hence one who gets loan early will
pay interest for nearly the full time
of five years, while he who obtains his
loan later will pay interest for a shorter
time. Thus member getting a loan
OF $500 eight months after the Organi-
zation will pay installments 1869 and
interest $50, total 1919. One who gets
his loan year later will pay the same
installments and 500 interest, a totaI
of $3.50; he who waits another year
Will pay the same installments, but
have only $50 Interest to pay, max.
ing his total payments but 500. Al
the end of another year the member
who gets loan will have only 500 in.
terest to pay, making his payments t.
the association only $3.50 while the
member who gets loan of $500 one
year before the stock reaches par viii
only pay into the association $40, in
stallments and interest, for his loan.
The advantages be derived BY
members who do not borrow is tina
they will thus invest small savings at {
fair rate Of interest. A great man,
can carry few shares Of stock ant
thus save up fund for future use
who would not otherwise save a cent
because small amounts can not usual,
be invested In any way to bring a re
turn. In this way 1t will bring abou
II per cent interest.
In view of the general advantages o
such an association all classes shoulC
continue 10 make it q success. Rea
! | tnt n oil. Anlx l..
cause 1t Will increase the demand TO
lots. Merchants should help it alon,
because it will encourage trade. Con
tractors, lumber men, hardware mel
and builders should take stock becaus,
1t will directly increase their business
Young men and young women SHOULD
have stock as it is first class saving
bank. Every man having to rem
should take stock, for it will enabl,
him sooner or later to own his owl
house and stop paying rent.
The advantage about helping a thing
of this kind is that man does no
have to donate anything. He simpl,
makes an investment that is sure t,
return him fair profit
No one can be frozen out" for TIT
stock that one man can hold is Limited
to fifteen shares. No mortgages cal
be foreclosed against the association
for it will be lender and not a Dor
rover. The directors for the first yea
are Henry burst, J. w. McNeal, s. L
Shreaves, b. X. Burney, j. Z. Hall
Capt. Rogers and A. w. Johnston, al
men of good standing, with Henr,
burst for president, DIR. Burney 70
vice-president, j. w. McNeal for treas
urer, and S. L. ShTeaves for secretary
After the first year the directors ar
elected by the stockholders, and the,
alone will be responsible if unfit mel
are elected.