Bryan morning eagle. [volume] (Bryan, Tex.) 1898-1909, 1907-03-27
THE INVESTMENT OF SURPLUS
FUNDS DEMANDS MUCH CARE
Business Women Should Secure Competent Legal Ad
wiser Before Leaning Money with Mortgage Secu-
rity-To Insure the Validity of Deed

ny KATHERINE LOUISE SMITH.
tcopyright, 1897. by Joseph n Bowlcs
Closely pertaining 20 banks and kin
dred business is the investment OF sur
plus funds. Often woman has none,
that she feels ought to be safely placed
where II will bring a good rate Of In
'erest. Possibly she has had some bit
ter experiences in losing money. but
she feels II ought not to remain idle
IL she puts II In savings bank she
will get only small rate of interest
II u Is In a national or state bank she
will get none al all unless she buys a
certificate OF deposit. Many times Il
seems as II all around there we're
chances To make money. but she does
not know how trustworthy these In.
Vestments are. Look before you leap. -
Is a safe motto In this case. for II IL
better TO get no interest or very
small per cent than TO run the risk OF
losing ones principal
II goes without saying that the fun.
damental principle regarding the man
sgement of property is To abstain from
the various forms OF speculation aud TO
deal entirely with established forms OF
investment This is essentially so In
the case of women A man can often
retrieve his fortune II he has lost IL
In some wildcat scheme. but women
seldom make more than living at the
best. and, often. II money Is inherited.
are utterly unable to replace II. Con.
corning any investment two considera.
tions are necessary. The first and i'm.
portant one is safety. The second is
the amount OF interest paid for the
money.
Broadly speaking. investments can
be- divided into two classes. those In.
Guiding real estate and bonds and
those in which money Is advanced upon
the promise that II will be- returned
with interest. In this case security Is
given. In regard TO the first class of
Investment the general rule Is that
United States bonds are safe securi.
ties. These are closely followed by
bonds OF states. counties. towns and
villages. In this last case. the past and
present financial history OF the state
and country Is to be taken into &C.
count. and the character of the people
residing therein. United States bonds
draw a small per cent The per cent
On state and other bonds varies. Bonds
which draw small interest can be
,lassed with savings banks as a safe
and good place TO let money lie until
IN equally reliable investment presents
Itself al high rate of interest.
In loaning money the rate of inter
ST Is agreed upon by the lender and
borrower OF the money Every state
las certain fixed rate and interest |
Ibove that IL liable TO be called usury. |
nut In some states there Is certain
ate allowed by contract Montana is
he only state al present where the le-
al rate OF interest is ten per cent.
he average rate is six and seven per
ent. The following simple table Of
lterest calculation often helps In com.
uting interest on loan.
Rule Multiply the principle by as
lany onehundredths as there are
avs. and divide as follows:
er cent. 3 q 80 IL
divide by. 80 ~ go So t5 40 &c 30
For example. interest on 800 for 50
avs at six per cent will be lO0x50. or
DO Dividing this by 90 equals 50. In
Their words. 81 and a fraction cents
When a woman desires TO loan
oney with mortgage security. safe
lie to follow II never to loan over
le-third 10 One-half of the value of
Ie property. Personal inspection OF
IL premises Is desirable and precan-
on should Ice taken to find out II the
Tie Is clear. Some women are capa.
e Of investigating the records. but
e majority will do well TO apply to
wyer or corporation whose business
20 examine real estate and abstracts.
any OF these companies guarantee
At II the title shall prove defective
ey will make good the loss. All ,
eds and mortgages should be placed {
record In the Office established by I
a. for delay may cause compiled. !
ms.
A mortgage should be acknowledged I
fore a proper officer. should contain q
redemption clause and should be- 1
med and sealed. Every correct mort.
ge describes the proper infinitely. c
u where Il Is located and the time Il
zen the debt becomes due II the C
Iount borrowed Is not paid the mort. v
gee nj the time specified for pay b
mt. or II the interest has not been c
ID when due. the property can be 4
eclosed: that is. II can be sold to b
isfy the debt. after a certain time o
owed for redemption. II the prop e
y brings more money than Is re- IL
red 10 satisfy the debt. unpaid in b.
est and cost Of foreclosure. the sur "