The Birmingham age-herald., 1920-11-11
For Good of the
 Community


 people partook liberally of them, pre- sumption was that investment in these se- curities would have the effect of reducing bank deposits, especially on the savings side
 The opposite was the fact. Savings bank deposits increased. One form of thrift leads to another. That nation is safest which has all manner of forms of safe investments open to the people. 2 Alabama has not enough building and loan associations There are only eight with total resources of S8,000,0O0 com pared with 122 in Kentucky with S35,- 100000 of resources; while in a state like HPennsylvania there are 2,120 with $355,- E000, 900 of resources
 x The total resources of the building and Eloan associations of the United States is Fmore than two billions of dollars All this 1 is money of the people working for the ! people in the acquisition of homes. That is the only business in which building and loan associations are engaged.
 There is nothing involved about a building and loan association. Every loan is of fixed and definite nature maturing at date fixed in the loan contract with exact amount of monthly payment stated and fixed when the loan is made. At the same time the contracts are liquid. Pay ment may be anticipated and the debt wiped out at any time agreeable to the borrower.
 The investor has the choice of 5 and 8 per cent return. The and per cent stock is what is known as paid-up shares procurable in blocks of $50. The per cent stock is what is known as the monthly installment, the interest being paid with the principal at fixed maturity date run ming from 50 to 108 months. All stock is liquid and may be withdrawn when de- sired, interest, of course, ceasing when it is withdrawn
 The building and loan associations have an unblemished record of three quarters of century. The first was a lit- tie neighborhood affair formed in suburb of Philadelphia Not penny has been lost by any Alabama organization. Some have liquidated, but none has ever caused grief to an investor.
 The building and loan is essentially an affair of the people of modest means One may invest there at the rate of few dol lars month. Not an office boy in Bir- mingham but can begin his first lesson in thrift there. Some of the biggest mer- chants in Birmingham have invested regu- larly in building and loan. Nothing su- perior to first mortgages on real estate as a security has yet been devised.
 The instalment building and loan plan is especially suited to the wage earner and the salaried man either in the ac- quisition of home or as an investment, because the payments either as borrower or as investor come in small amounts monthly. The reminder to invest or to re- pay the loan is ever before the instalment shareholder and he does not forget it un- til the debt looms up staggering in its pro- portions or the money he had intended in vesting has failed to accumulate on &C., count of the absence of this fixed monthly reminder.
 The investor in paid-up shares is get ting fair return on his money and he is helping build up his community. Build :. ing and loan funds are for the benefit of the shareholders and this benefit is not shared by others. Best proof of the merit of building and loan associations is af- fOrda hv thoi, croa4 ,I1ro hor.c i,, +Lo <>,+