The Daily times. [volume] (Richmond, Va.) 1886-1889, 1889-03-31
BUYING ON MONTHLY PAYMENTS
Purchasers Pay Well FOR the Privilege q,
Securing Goods ON Time


In a general way tho monthly payment
stores afford good index OF the prosperity
Of the middle snd lower classes. Hard timos
and lack Of employment invariably make
themselves felt In delay or stoppagc Of pay.
nients, and tho duration Of stringent circum.
stances can readily be measured 10y the way
the payments are resumed furniture
dealer was interviewed by reporter;
What course do yon take la case OF delin
qucucy IN paymcntr
There is only ono advisable course, and
that Is 10 tide over those WHO can't take w
their monthly notes The public, think, has
distorted views about the monthly payment
stores There are, doubtless, some sharks
among us but most OF ~ aim 10 do a fair
legitimate business. charging but 10 per cent
moro for our goods that the men who sell foi
cash do. Taking back of goods Is always
avoided Tor there is no money In a sale II the
stock has TO TO taken back and turned over 10
the auction stores 1t is only tho monthly
payment stores which keep second hand fur
niturc that can profit by the utter failure OF
their patrons We have families that we
have carried aionga year. and | doubt moi
that other monthly payment stores have like
wise To harass patrons would be 20 work
against our own interest SO far as rates of
profit are concerned. che only element Of in
justice in them Is one OF which the public
rarely thinks II the account runs year the
10 per cent. extra we charge is fair, for thu
risk. the cost OF collection. aud the loss of in
terc,t from having money outstanding is fully
equal 20 the additional rate of profit We
Charge Our margin of profit Is computed so
rs % include years interest ou tire regular
prices OF the goods. bot many, possibly the
greatest number. Of our accounts are closed
In a shorter timo--siX months say Thus on
a purchase OF $50 or $40 worth Of goods, ar
ranged 50 as 60 be settled IN six months, the
buyer pays - per cent interest on the
amount Of the BIZ Tor the whole period while
be actually makes payment Of sixtho the
bin when hege;s the good, and d similar pay
ment every Succeeding month When the ac
count runs for a year the burden is not 50
heavy II people can pay cash they should
and every honest deaNr ia our line Of busi
ness will tell them 50.
"li is unquesiionably true that the form OF
payment is temptation 90 purchase beyond
the means % pay We have no trouble ID
selling Our greatest difficulty Is to keep the
bin down % what $50 consider safe limit
People do not stop % think that they pay toi
their privilege Of making indictments at
toierahy high rate One reason Of this lack
OF Judgment is probably because women do
so much Of the buying at the monthly pay
ment stores. They often fail 10 estimate
carefully what they can do, and the result Is
that they become a source Cf trouble 10
themselves and as Often. too, men who
were drawing good salaries al the time of the
purchase. Get ont of work soon after and
any miscaiCulation on their part makes pay
ment am uphill work Tho spread OF the
payment stores has been surprising. Almost
every large city NOW has a number OF such
concerns. which seem % DO more than
their ordinary share Of business In Chi
cago | dcabt ii there are as many
as there were TWO or three year
AGO Tho reason of this is not that the schem,
does not WORK SUGGEST oily, or that there have
sprung mp TOO many for the population. The
capital required for such a business is much
greater than that which is requisite fora cash
trade. Ii was "a common practice Tor dealers
10 realize Oh their monthly notes NJ . or 3 per
cent. month They were unable 70 carry
their own paper, or borrow at legalrates, ana
tlerosult was thata numbered concerns have
failed during the last year ortwo. think it
is an nonsense TO talk of the monthly pay
mout stores cutting into the regular trade
disastrouaiv We catch class Of patrons
who would not deal az cash store, since they
would net be likely 70 save up the necessary
money ] believe that monthly payment
stores are an incentive TO thrift and economy
second onlv o the building associations. -
Chicago News