The Tupelo journal., 1906-03-23

Here are some rules regarding the
investing of money which a we'll
known banker gives to those who ask
his advice:
Ascertain how much property the ap-
plicant has, and if in his own or an
others name.
See if the property is in any man
ner encountered by mortgages, judg-
ments, taxes or liens.
Has the would-be borrower many
loans or floating debts?
What are his habits? Is he sign
ing with others. specializing or has he
an ~extravagant family?
Obtain the best possible information.
and II doubtful give up the loan for it
is better to get a small bank interest
than &c run the risk of losing the
money and the anxiety attendant On a
poor loan.
Second mortgages ought not to be
considered by women investors. Unless
held by the owner of the first mortgage
they are p~recarious investments, for
they are attached simply to the equity
in the land which remains over and
above the first mortgage, and often
land does not bring enough to cover
both loans. When buildings are locat-
ed on premises on which a woman de-
sires to loan money, she must investi-
gate regarding these as well as regard
ing The lot. Besides seeing if the title
is clear, and taxes paid, she must find
out when the house was built. it's cost,
what condition it is in, and If it is in
sured. If it is insured the policy should
be transferred to her. If not the house
should be insured for her benefit, and
she should hold the papers.
What is a chattel mortgage and
what are the requirements for it's safe
ty?'-Would-be Investor.
A ohattel mortgage is a mortgage
given on personal property, such as
household goods. There should be a
complete inventory of the property
mor.gaged so it can be identified from
the description. 1t should be signed
by the person who borrows the money
and unless the property is delivered to
be held by the loaner, it should be re-
corded in the Office provided by law for
chattel mortgages, usually the Office CT
the town or city clerk. These mort
cages give to the person loaning the
money authority to sell the goods to
satisfy the debt, If there is default to
pay it when due.
SIN what case is it right for a third
party TO hold a mortgage ?"-Mrs. j. A.
Adams.
When a mortgage is given to secure
two or more notes, it is sometimes
placed in the hands of a third and neu-
holder has, of course, an interest, and
all parties are interested in its can
collation.. 1t cannot be cancelled until
every note is paid.
Il have applied for the agency of an
article, but must give a bond in order
to obtain it. What does this mean and
where can / get one?"-A Working
Woman.
A bond, which in this case is an in
demnity bond, is an agreement either
on the part of an individual or a COM
pany, called a bonding company, to
guarantee a persons honesty. The in
dividual or company which signs the
bond agrees therein to make good any
shortage in your account. A bond
signed by private individuals is usually
given by a relative Dr. friend as a mat
ter of convenience, but a bond given
NV n bopdipU oompapv ic moi for at a
regular rate of so much per 500 ac-
cording to the amount of the bond.
Usually one pays by the year. These
bonding companies do this at their
own risk, and they have offices in all
large cities, where, upon investigation
of your character and standing, a bond
will he granted by the company if you
apply.
81 have received a draft which does
not come due for a month. What
shall / do about it?"-Miss Ignorance.
If you have a draft due at some fu-
ture cate you had better send it to
your bank for collection. They will
attend to it when it becomes due and
will credit you with the amount.
"How is a draft written or made out.
and what is the advantage of using it
instead of a check to pay a bill at q
distance ?"-Mary l.. S..
If you wish to send a draft you
should have it drawn payable to your
order and endorse it over to the party
whom you wish to pay. In fact, the
same rules regarding endorsing hold
good in drafts as we'll as in checks. OF
course every draft shows on it's back a
complete record of the transaction,
where it has been, the endorsements
and the clearing houses through which
it has passed. All drafts are returned
in the usual process of business t the
bank where they were made out, and
may be seen by the drawer if she de-
sires. One advantage of sending a
draft to pay a bill instead Of a check
is that in some states a bank charges a
small sum for cashing a check, and
thus the payee loses few cents. There
is never any such charge for a draft, as
the sender of the draft pays for it
when she buys it.
do you consider building and loan
associations safe places to invest
money?'-Spare Savings.
In many places building and loan as
sociations have been found a good
mean of putting out money where it
will receive a fair return. They are
often formed where savings banks do
not exist, and the method of doing
business of the particular one in which