Newark post. (Newark, Del.) 1910-1969, 1917-06-06
BUY A LIBERTY BOND
Show Your Loyalty To The
Government

There is not single Sel1lSn
element in the cause we are fight
ing for = = =. The supreme
test Of the Nation has come. We
must all speak, act, and serve to-
gether." -Woodrow Wilson, Pres
ident of the United States.
They also serve their country
Who buy a Liberty Loan Bond.
What A Government Bond Is
The Government of the United
States has two methods of raising
money. One is by taxation. The
other is by the sale of bonds, which
is a method Of borrowing money.
The Government bond is the
printed promise of the Government
to pay back the borrowed sum of
money at certain time, and to pay
interest on it at regular intervals
until it is repaid.
The Government borrows money
in this way only after it has been
given the right to do so by act of
Congress approved by the Pres
ident, and the terms of the loan
are set out in the act.
Back of the promise of the Gov
eminent and all its taxing re-
sources. Really the whole wealth
of the Nation stands behind this
solemn promise Of the Government
to pay.
This makes a United States Gov
eminent bond the safest invest
ment in the world. If the bond of
the United States Government is
not safe, no property in the United
States is safe. If the United
States can not pay it's bonds, it is
hardly probable that it will be able
to protect the citizens in their
other rights.
The Liberty Loan Bonds of 1917
are especially attractive invest
ments. Not only have they this
absolute safety characteristic of
all United States bonds but they
are tax free not only from all ex-
listing taxes but from any war tax
that may subsequently be levied.
No State, city nor county may tax
them. The inheritance tax of the
United States and of some States
may affect them, or, rather, affect
their transfer after death of the
owner by will or by inheritance.
Another advantage these Liber-
ty Loan Bonds possess is that if
the Government issues bonds later
on during this war at higher rate
of interest the holders of Liberty
Loan Bonds will be allowed to ex-
change at par their bonds for
bonds bearing the higher rate of
interest.
The Terms OF The Liberty Loan
The act authorizing Liberty
Loan Bonds of 1917 was passed
April "a, 1917. 1t provides for the
issuance of S5,000,000,000 of 315
per cent bonds, the interest pay
able semiannually on December Il
and June Is of each year. The
principal is repayable on or after
the 18th day Of June, 1882, at the
option of the Government, and if
this is not exercised the bonds will
run full 80 years and become due
June Is, 1947.
The bonds are exempt both as to
principal and interest from all tax
alton, national, State, county, OF
municipal, except the inheritance
tax, which is really not tax or
the property, but on the transfer
of property by will or inheritance
The bonds are to be sold at par
that is, dollar for dollar, no prem
ium and no discount. They are tt
be sold by the Treasurer of the
United States and by all Fedora
Reserve banks. But all banks, Ma
tional and State, post offices, ant
express companies have been des
ignated as. agents of the Govern
ment to receive applications 70,
these bonds. 1t is almost as easy
to purchase one of these bonds al
it is to get a post-office none,
order.
It is not necessary to pay casl
in full for a bond. One can pa,
down 2 per cent of the purchas
price on application-that is, S.
for a $50 bond, 50 for a 500 bond
etc.-18 per cent on July 25, 1917
20 per cent July 30, 1917; 80 pc
cent August Is, 1917; and the bal
ance, 80 per cent, August 80, 1917
The French Bond Buyers
The French people are tn
greatest investors in Government
bonds in the world. At the clos
of the Fransco-Prussian War il
1870 Germany demanded and col