Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1909-10-13
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VALUE OF BUILDING AND LOAN
ASSOCIATIONS.

VALUE O% BUILDING AND LOAN
ASSOCIATIONS.
Cooperative savings and loan as
soeiations have field which is not
covered by other institutions Of a
saving or home-building character,
and this is generally recognized
everywhere nowadays. They do not
compete with savings banks in any
way; as a matter of fact, it will be
found upon investigation that con-
siderable money which associations
collect would not be saved in any
other way, as they appeal especially
to persons who are careless and i'm
provident. The little amounts which
cooperative building and loan asso-
Citations receive from many members
weekly or monthly stimulate system
attic saving, as generally small fine
Is imposed If the money is not paid
regularly, and thus habits of thrift
are formed which tend to good citl-
zenship and have other good effects
among many persons who had hither-
to given no thought of anything that
would better their condition. 1t is
well known to officers of associations
that perhaps two-thirds of the money
withdrawn by maturity of stock or
taken out by normal Withdrawals ul-
timately goes into savings banks.
Many men connected with savings
banks in the metropolitan district
recognize the uplifting character of
well-managed local building and loan
associations, and are active in the
management of these institutions. 1t
is true without reservation that the
work is of a humanitarian nature,
and that is the reason why officers
and directors of nine-tenths of the
associations are the leading citizens
Of their towns or neighborhoods,
many directors serving twenty years
or more and giving many hours Of
their time without any pecuniary re-
ward, being simply imbued with the
feeling that the movement is uplift-
ing.
The home-getting side of co-opera
tive building and loan associations
should appeal to every person who
believes in encouraging self-respect.
These associations really have no
competition Whatever in giving a
man or woman an opportunity to
own a modest home at monthly cost
which is often no greater than the
amount paid for rent. Men and
women who are getting their homes
through associations have little
equity in their properties at the out
set-thousands not more than 20 per
cent-and, therefore, it is impossible
for them to get mortgages from other
money-lending institutions. The
building and loan association is the
only door through which they can
enter; it is organized for these per-
SONS, it's money received from in
vesting members being loaned to
these borrowing members single
mortgage rarely exceeding $4,000. 1t
Is estimated by men who have studied
the subject for many years that at
least two-thirds of the men and
women who are buying their homes
through these associations in this
state and New Jersey (and this is
true of cooperative associations in
other states), would still be paying
rent, If they had been able to get
their money from these institutions.
They are paying of the principal OF
their mortgages every month-gener-
ally at the rate Of IS interest and IS
dues for each $1,o00-and in twelve
years, at the outside, the home is
free and clear. When It's consider
ed that the monthly payments mean
complete ownership in the end and
the alternative is bunch of rent re
ceipts, the sacrifice is not great.
5Hsts3$4 hi s3 -------------------s-~ ---,
THE WEST, AVID PRESIDENT TAFT
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