Spirit of Jefferson. [volume] (Charles Town, Va. [W. Va.]) 1844-1948, 1906-08-28


The Public Building and Loan Associa-
ton will commence operations on the
first Monday in September, and 50 few
remarks on this building and loan as
ISOLATION would not be out of place. In
the first place the larger the number Of
subscribers building and loan associa-
ton has. the more profitable the associa-
ton. since the expenses connected with
operating in the way of license, taxes.
salaries. etc., are practically the same.
whether the association be large or small'
so that when the ASSOCIATION has large
number of shares the sooner the associa-
ton will run out and the proportionate
tax or burden on each shareholder will
be lighter This association starts of
with nearly 500 shares and will probably
reach the number of 1000. Another no
less important requisite to the success OF
building and loan associations IS COM
petent board of directors and the loaning
of money at rate of interest that will be
fairly remunerative and vet not exor-
bitant. 1t might be we'll to remark that
the board of directors have absolute con-
troll of the making of loans The board
of directors who control this association
are all well-known. careful and con-
sentative business men. Again, by the
bylaws of this association it is agreed
that six per cent, the legal rate of interest
shall be charged or required, as interest
on loan. Here 1t might be observed that
shareholders who are borrowers are also
sharers IN the profits of the association,
since building association is joint
st ock company in which each sharehol-
der is entitled to equal rights, and is
consequently entitled to share pro rata
in the profits of the association. So that
the legal rate of interest he is compelled
to pay in advance will be reduced ulti-
mately by his proportionate share in the
profits of the association. Again, less
security will be required for a loan from
a Building association than bank would
require. For instance if reliable party
who is a stakeholder furnishes the lot
the Building association will erect a
house upon the site. 1t would seem de-
cdedly to be to the interest of the lessee
or renter of property to pay his rent to
building association by deal of this
nature, for upon your rent you receive no
return. but for every dollar paid into the
building ASSOCIATION when the association
runs out you receive the value thereof
back with interest.
There are many pieces of property in
this vicinity which have been thus ac-
quired where if the parties had continued
to pay rent they would be no further ad-
vanced in life than when they started.
This association will have a large
amount OF money to invest, and will loan
out the same Oh easy terms. This is an
opportunity for man with small capital
to enlarge his business. If a shareholder
does not care to continue payments dur
| lux TIC iilS VI Tic aoSO@tdliOb. uC iud ,
provided he is not indebted to the as
ISOLATION, withdraw with a rate of interest
as high as that paid by any bank IN the
town on time deposits. thus showing the
profitableness of shares in an association
as an investment. although the rate of in
terest would be of course higher if the
shareholder remained such until the
expiration of the life of the association.
The last and probably the most important
requisite to the success of an association
is safe, conservative and responsible
man to keep the books straight, and to
be responsible for the safe keeping of all
funds, etc, interested to his care. There
is probably not safer or more accurate
party in the town for this position than
the Secretary and Treasurer of this as
sociation.
Subscriptions TO this association may
be taken at d S Hughes store, at Brown
& Hooff's drug store. at the Office of Miley
Bros, or at the store of c w Brown. the
jeweler. There will be no bonus or extra
charge for entrance fee for the first three
months the association is running.