New Ulm review. (New Ulm, Brown County, Minn.) 1892-1961, 1921-01-12
S;2l.o2,4O0 LOANED ! ! | l
TO 126 MEMBERS
Continued from page ~
Nominal Installments.


A prospective home purchaser, de-
string to borrow, say, $1,000 with
which to acquire the desired property
paws at the rate, of rs cents "a week for
each 500 Of loan, or $3.50 per $looo
If preferred, the payments may be
made monthly. Of the Is cents PAID
in every week on each $l00 borrowed,
IL cents istused to reduce the princl-
pal, while tthe other 13 cents are m
terest.5s Thus, the debt will be 'llqui-
dated in the course of about IL years
and the borrower will hardly miss the
money, the small payments being dis
tributed over such a long PERIOD OF
time. On the other hand, this period
can be reduced by larger payments.
if the borrower so desires. On the IL
cents paid off weekly on the principal,
the borrower receives interest at the
rate of about six per cent per year, so
that the loan interest is in reality only
about four and a half per cent per
year for the 11-year period. ..,,.-.
81 May reduce Interest.
The present, gross interest rate on
loans isTapproximately six andssthree-
fourths'' per cent, being considerably
less than several years ago under the
old serial plan, when it figured up
to little over eight per cent" There
has been a consistent reduction IN this
item as the years rolled by and it is
planned to further reduce it to SIX
and half per cent in the near future.
Biggest Year in History.
The past year has been the most sue
cessful in the history of the. New Olm
Savings and Loan Association, there
being net increase of 329 shares OF
loan stock issued. The number OF
shares of this stock in force July 1,
1920, was 1852, and since that time
AZ shares, representing a value OF
500 each or total of $4,000, have
been paid up. On the other hand,
434 new: shares of loan stock were
issued since that date, making an
aggregate of 1924 shares in force
January /. At 500 per share, this
represents total loans of $2O2,-
400. Prospective loans aggregat-
ing approximately $4,000 are waiting,
but cannot be made owing to a lack
of funds. These will be Accommodated
as soon as the money is available.
The2, O24 shares are dividedamong l26
members. s." #'.t ~.
1854 Shares Running Stock.
At the beginning Of the present year
there were 1854 shares OF running
stock in force. This is net increase
of 367 shares since July J., 1920, on
which date there were 3,167 shares.
Since July l., 3S1 shares OF this stock
were cancelled, while 748 new ones
We're issued. The total number of
members owning running stock jan
uary l., 1921, was AIS. Several adj
ditional shares have been subscribed
for since that date. The face value
of a share of running stock, which is
also known as savings stock, is 500,
when paid up in full. .'--:, "v.-s ~.
"-oP Paid Up Stocks 3: ~
On July /, 1920, the books Of the
Association showed a total of 1913
shares Of paid-up stock in force. Since
that date, 81 shares were cancelled
and 24S new shares were issued, max
ing a net gain of 227 shares. The total
number of shares of this stock in force
january 1,ih 1921, was $40. These
shares also have face value of $l00
each.&;s 'r. ~ ~, !, s:s.4