The Providence news. (Providence [R.I.]) 1891-1906, 1897-02-17

| OF IseW YORK. more tRmlilariy KNOWN a.
DIR. Greer's "Chrislisn pawn snop," it
appears tnat the organization has actually
been making money from the prosecution
Of its beneficsnt business and Is earning
a ak per cent. dividend. or course il was
never the idea to make q profit on the
investment. The philsntbropic men ana
women who went into the scheme had no
money making motive In view. although
1t was believed that pawn broking busi-
ness could be done at far smaller interest
charges than are commonly made aud yet
not be ron at loss, despite the insistance
OF the professional pawn brokers that they
took no advantage of poverty with their
usury and that the conditions of the
business were such that their rates were
| absolutely necessary to secure for them
selves fair return On the capital EN-.
ployed.
1.-The importance OF this result" to quote
hoih ehc VPort, IL nol III haVlug con-
Quoted q successful bus. II ,ss, but in hav-
ing demonstrated by actual experiment on
scale utiicientiy large, and continued
over period sufficiently long TO warrant
bnal conclusions, that aid can he given
on strictly business basis by loans OF
money at per cent. month, or one
third Of the legal charge made by pawn
brokers on loans for short time"
Since the organization of the society in
May, 1894, 1t has made loans on about
600 pledges ana has assisted about that
number of persons. Ihe total amount
loaned 10 about II, 200, 900, and the average
loan about $3.50. No question was asked
of any customer. All customers were
treated alike, so that no one could have
the feeling thot be was receiving charity.
Toe work mas teen done upon a strictly
business basis. OF the class OF persons
applying TO the loan society the report
says: STEW Of those who obtain loans
are upon the records OF any charitable
organization or are applicants for chari-
table relief. They are men and women
accustomed to rely upon their own re-
sources who apply to the society to TIDE
over periods of sickness or lack of work.
The benevolent purposes OF this society
are accom- plisbed by enabling them to do
so at low rate of interest without any
OF the impositions SO frequently practised
by ordinary pawn brokers, and by giving
every facility for repayment both as to
extension of time and receipt by INSTALL
ment."
Regular dividends OF 6 per cent
no higher dividend is permitted under
the charter-sre now assured on the csp;-
tai invested. Ibis capital amounts
now to about $3.50. 900, which the trustees
desire to increase to s25O, 900 in order thst
branches may be established In the more
crowded parts Of the city. Several pawn
BROKERS have slready reduced rates be.
cause OF the competition Of the society.
: Here in Providence an Organization ex.
lists under charter of the Assembly
modelled upon that OF New York and In
the same way designed to relieve the peo.
pie who have need OF loans from the bur-
dens imposed by the pawn brokers. That
such provIdent pawnshop is not actually
open for BUSINESS Is due to the simple |
reason that its public spirited projectors
have not as yet been able to raise the
fund required for a oapital. We believe |
$50, 900 is needed and but $40, ,Oo) has bseu
and yet quite apart from It's
beneficent purpose experience mas now
dem onstrated that such an Institution
can be made an uncommonly good in
vestment for the stock holders. surey, a
prospect Of six per cent. on an investment
Is not to be sntezed at In tbeso DAYS.
And the guarantee OF security for the in
vestment Is about as absolutely assured as
The most gilt edgsd proposition could
possibly be. IL is to be hopes
that the local organization may
make advantageous use OF the re.
port of the New York society that the
balance OF the funds needed may be forth
with subscribed and business begun. We
iouot IL any town in the country needs
'ucn pawnshop any more grievousIy
han this town does.
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