Evening star., 1934-08-30

not entitled TO the same credit ac-
commodations as the manufacturer or
business man. Actually, when the
property owner borrows to keep his
property in good condition he is max
ing the most valuable investment
that can be made, an investment that
is necessary to protect his accumu-
lated savings. For years 1t has been
the accepted practice for q man to
buy q home and pay for 1t gradually,
month by month, over q number OF
years. 1t is just as sound to keep
that home in good repair and pre-
serve its value and to pay for such
upkeep and improvements month by
month.
The only difference between a man
saving o small amount Of money each
month untir he has finally accumu-
lated sufficient to make capital in
vestment and in making this invest
ment on q plan providing for monthly
payments, Is that in the latter case
he secures the benefit and use of
the article at the beginning Of the
period and not at the end. And for
this advance use he pays small
finance charge. If your roof is leak
ing now, and you can stop the de-
terioration Of your property by hav-
ing it fixed and pay for such repair
month by month, the saving you will
secure over waiting until you can
accumulate the cash Is many times
the cost of the credit.
Perhaps the best test Of the pro-
priety Of individual credit to the
average citizen, used for the purpose
of capital investment in q home OF
other things of social value, is that
billions of dollars Of such credit has
been extended. and that during ths
depression it has been demonstrated
to be the finest type of loan a bank
can make. There are less losses. The
payments are made more promptly
and in every way the transaction
measures up to the best financial prac-
tice. No, there is nothing wrong
with making the credit facilities of the
country available to the average
citizen.
Many Should Limit Loans.
This does not mean, however, thai
every property owner should borrow
money now. 1t Is not the desire mol
the intention of the Government II
create a condition under which prop.
erty owners will use their credit
beyond the point of good judgment ol
beyond the point where 1t will benefit
them to do so. There are many
prperty owners in the country toda!
who badly need Improvements to theil
homes and business property. but WHIT
as a result of conditions should limi
themselves to only the most necessar!
repair work and defer the balancI
until later date. On the other hand
there are many millions Of plopert.
owners who have had good incomes
all during the depression or who hav'
recently been re-employed. Many o.
them have had their incomes increased
during the past year or so and hav'
been waiting to 60 ahead with badl.
needed home improvements becausI
they have simply been tinid. Now i
the time for these people to do wha
they would do under normal circum
, stances-utilize their cash, or If the.
have not the cash, utilize their credit
to 90 ahead at once with the repair
and modernization work they need o.
desire.
II they will do this. the money tina
they spend will be paid out imme
diateiy to labor and for materials il
their own community. Most of 1t vii
be Immediately respent In the com
munity. This will improve the bust
ness of the local merchants, and brini