Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1894-05-06
PRACTICAL FINANCE.
OPERATIONS or THE UNITED BANK
ING AND BUILDING co.'s SYSTEM.
A Combinsuon Of Yeaturee That Ensure
security and Large Profits In the
Near Future.

Just In proportion as an investment
reaches that point where the fund In
vested realizes the largest amount OK
interest at the minimum OF risk and De
comes self-accretsve. the science OF finance
IL attained. The best illustration OF this
operation is the Building and Loan Com
pany OF to-day, which has Incorporated
upon 1t the tested and approved features
of the savings bank, and tontine insur-
ance. When these features are combined
and from the combination are eliminated
all elements OF a speculative character.
and all factors inconsistent with abso-
lutely harmonious cooperation, 10 the
end of getting the greatest amount Oh
profit out OF the smallest outlay OF CAPT.
tai, as perfect a financial system Is seeihs
possible is presented.
The working Of this system IL strik-
ingly exemplfied In the United Banking
and Building Company OF Richmond. In
It's development OF some four years IL
has absorbed the experience, ana the
strongest safeguards OF all similar IN
situations, and to-day stands In the lore
front OF banking and BUILDING conlpa-
MES. All tho channels OF its operations
are guarded to the end OF insuring posi-
tive security and being made the medium
of increasing the profits OF the sharenoid-
ers by the continuous compouhdihg Oh
interest, or an equivalent process. Inc
scope Of the company's object. as orieny
SET forth, "is to receive deposits ana
savings to loan or advance money to It's
shareholders, and to aid them in acquir-
ing real estate, building houses, and
making improvements thereon, and de-
voting the money ordinarily paid Tor
rent to buying homes for themselves anu
families"
II will be seen from this that the sys-
TEN is cooperative to the fullest extent
almost automatically so, ana that as every
dollar that comes into the company 10
being constantly turned over the large
dividends earned by the company can
be readily understood.
HOW 1T OPERATES.
To enter somewhat into details. how
ever, the practical operation 10 as ioi-
lows: A series OF stock Is issued OK the
par value of 800. on which monthly pay
ments of 90 cents per share are maze.
Not less than five shares are issued 10
any one person. and on each share the
stakeholder pays an admission fee or 81.
Experience shows by actual demonstrd-
ton more certain than the actuary tables
OF life-insurance that the shareholder IS
seldom called upon to pay more than op
per cent. OF the face or par value OF MS
stock. He has no death risk 10 encounter
no exigency of an epidemic, ana mas
absolute security in the fact that the
company is loaning his money on reai
estate. and his profits at maturity OF
stock amount TO from % TO 100 per cent?
or. in other words, he about douDies'
through premiums. interest, and his share
I'm the profits, the money he has paid IN.
An estimate on ten shares OF Stock
calling for eighty-three monthly pay
ments at Sc per month ana memoershlp
fees, would require deposit EXTENDING
over these eiShty-three months OF sf'o,
for which tho stockholder would Draw
from the company when MS STOCK ma
tured Sl,VO.
Here one has fund upon which he
can negotiate a loan TO buy or build
house. or il ne does not desire TO do this,
can. in effect draw out TO double aihoun'
OF deposIt when the stock has matured.
PAID UP STOCK.
He can ALSO however. as simple OUT
of-hand investment, buy paid-up STOCK
by paying so share cash down. anu
does not make any further payments.
He will receive a cash dividend Oh
per cent on his investment sefni-annualiy'
and his share OF profits over ana ABOVE
the expenses of the company. Will mature
his stock.
The veriest tyro in financiering can
with a little study, appreciate the al
yantages, the practical workings ana
security Of the system. Despite the nnan-
cial depression through which the coun-
try has recently passed. the United Bank
ing and Building Company has done
steady and progressive business thus
proving the thorough confidence investors
have in ii and its management. inc
business OF the company since the hrst
OF January has been unprecedented even
in its own successful career.