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PLAN 31. The premium, whether a fixed rate or determined by bid, is either a certain rate per cent per annum or a certain amount each month or at such periods of time as the rules of the association require. The borrower receives the full amount of the loan and pays interest on the same; but the principal is reduced periodically by the amount of dues paid in, and interest is charged on the balance only.

Illustration: A member secures a loan of $200 on one share, at a premium of 10 cents a month. He receives the full amount and pays interest on the same. The payments each month during the first year are as follows: Dues on one share, $1; interest on $200 at 6 per cent per annum, $1; premium, 10 cents; total payments each month during the first year, $2.10. Payments each month during the second year are: Dues, $1; interest on $188 at 6 per cent per annum, 94 cents; premium, 10 cents; total payments each month during the second year, $2.04; and so on, the interest being reduced each year until the settlement of the loan.

The number of associations operating under this plan is at follows:

LOCAL.-Maryland, 1; New Jersey, 6; Ohio, 224; Pennsylvania, 36; total local associations, 267.

PLAN 32. This plan is in every respect similar to plan 31, except that the principal is periodically reduced by the amount of the dues and premiums paid during the preceding term and interest charged on the balance only.

Illustration: On a loan of $200 on one share at a monthly premium of 25 cents and at 5 per cent interest, the payments each month during the first year are as follows: Dues, $1; interest at 5 per cent per annum, 83 cents; premium, 25 cents; total, $2.084. Payments each month during the second year are: Dues, $1; interest on $185 at 5 per cent per annum, 77 ty cents; premium, 25 cents; total payments each month, $2.027; and so on, the interest being reduced each year until the settlement of the loan.

The number of associations operating under this plan is as follows: LOCAL.-Pennsylvania, 5; total local associations, 5.

PLAN 33. This plan is in every respect similar to plan 31, except that the prin cipal is periodically reduced by the amount of the dues paid in during the preceding term, plns a certain part of the premiums, and interest is charged on the balance only.

The number of associations operating under this plan is as follows: LOCAL.-Pennsylvania, 1; total local associations, 1.

PLAN 34.

This plan is in every respect similar to plan 31, except that the prin

the preceding term, plus the dividends accrued, and interest is charged on the balance only.

The number of associations operating under this plan is as follows:

LOCAL.-Ohio, 18; Pennsylvania, 1; Wisconsin, 1; total local associations, 20.

PLAN 35.

This plan is in every respect similar to plan 31, except that the principal is periodically reduced by the amount of the dues and interest paid in during the preceding term, and interest is charged on the balance only.

The number of associations operating under this plan is as follows: LOCAL.-Indiana, 1; total local associations, 1.

PLAN 36.

This plan is in every respect similar to plan 31, except that the principal is periodically reduced by the amount of the dues, premiums, and interest paid during the preceding term, and interest charged on the balance only.

The number of associations operating under this plan is as follows: LOCAL.-Ohio, 1; Pennsylvania, 12; total local associations, 13.

PLAN 37.

The borrower has the option of paying interest on the full amount of his loan during its continuance and participating in the profits, or of having his interest-bearing principal periodically reduced by the amount of the dues paid in and receiving no dividends. In the first case this plan resembles plans 27 or 28; in the second case, plan 31.

The number of associations operating under this plan is as follows: LOCAL.-Ohio, 8; total local associations, 8.

PLAN 38.

The premium, whether a fixed rate or determined by bid, is either a certain rate per cent per annum or a certain amount each month, or at such periods of time as the rules of the association require. The borrower receives the full amount of the loan and pays interest on the same. An arbitrary reduction in the interest rate is made periodically. The reduction of the interest rate may continue until the loan has been repaid, or until it has reached a certain rate, at which it continues until the settlement of the loan.

Illustration: A member secures a loan of $500 on one share, at a weekly premium of 10 cents. His payments each week during the first year are as follows: Dues, 50 cents; interest, 60 cents; premium, 10 cents; total payments each week during the first year, $1.20. Payments each week during the second year are: Dues, 50 cents; interest, 57 cents; premium, 10 cents; total payments each week during the second

year, $1.17; and so on, reducing the weekly interest 3 cents each year until the loan has been settled by repayment or by the maturity of the share.

The number of associations operating under this plan is as follows:

LOCAL.-Indiana, 1; Kentucky,5; Ohio, 77; total local associations, 83.

NATIONAL.-Iowa, 1; total national associations, 1.

PLAN 39.

The premium, whether a fixed rate or determined by bid, is either a certain rate per cent per annum or a certain amount each month or at such periods of time as the rules of the association require. The borrower receives the full amount of his loan and pays interest on the same at a uniform rate for a certain period or during the continuance of the loan. The premium is periodically reduced until it has reached a certain rate, at which it may continue for a certain period or until the loan has been satisfied.

Illustration: A member secures a loan on ten shares of a maturing value of $100 each, at a premium of 25 cents per share per month, interest at the rate of 5% per cent per annum. His payments cach month during the first year are as follows: Dues at 55 cents a share, $5.50; interest, $4.50; premium, $2.50; total payments each month during the first year, $12.50. Payments each month during the second year are: Dues, $5.50; interest, $4.50; premium, $2; total payments each month during the second year, $12; and so on, reducing the premiums each year 5 cents per share per month for five years, after which the premium is discontinued.

The number of associations operating under this plan is as follows:

LOCAL.-New Jersey, 1; Ohio, 2; Pennsylvania, 1; total local associations, 4.

NATIONAL.-New York, 1; total national associations, 1.

PLAN 40.

Under this plan the premium and interest are combined. The borrower pays such rate of premium and interest on his loan as his bid or the rules of the association require. He receives the full amount of the loan.

Illustration: A member secures a loan upon five shares of a maturing value of $200 each, at 6 per cent per annum premium and interest. His monthly payments are as follows: Dues at $1 a share, $5; premium and interest on $1,000 at 6 per cent per annum, $5; total payments each month, $10. These payments continue until the loan is settled by repayment or by the maturity of the shares.

The number of associations operating under this plan is as follows:

nois, 3; Indiana, 1; Massachusetts, 11; Montana, %; New Jersey, 1; New York, 1; Pennsylvania, 1; Rhode Island, 1; Virginia, 20; Wis. consin, 1; total local associations, 45.

PLAN 41.

Under this plan premium and interest are combined. The borrower pays such rate of premium and interest on his loan as his bid or the rules of the association require. He receives the full amount of the loan. He pays thereon dues and premium and interest, and an additional sum, which at fixed periods is credited to the principal, premium and interest being charged on the balance only.

Illustration: A member secures a loan of $1,000 on one share, at 6 per cent per annum premium and interest. His payments each month during the first year are as follows: Dues, $2.50; payment on principal, $8.33; premium and interest, 85; total payments each month during the first year, $15.83). At the end of the year the principalis credited with $100, the total payment made during the year on account thereof, and premium and interest is charged on the balance only. During the second year his payments each month are: Dues, $2.50; payment on principal, $8.333; premium and interest, 84.50; total payments each month during the second year, $15.33}; and so on, reducing the monthly payments of premium and interest each year by 50 cents, being a reduction of 10 per cent of the premium and interest bid, until the sixth year, when the principal is further reduced by the total amount of instalment dues paid up to that period and premium and interest reduced accordingly.

The number of associations operating under this plan is as follows: LOCAL.-District of Columbia, 5; total local associations, 5. NATIONAL.-District of Columbia, 1; total national associations, 1.

PLAN 42.

Loans are awarded to shareholders bidding the highest premium. The premium is deducted from the loan in advance, the borrower receiving the remainder. He gives security for the gross amount and pays interest on the same. Or, if the borrower elect, he may receive the full amount of his loan without premium, but in that case he pays a higher interest rate. A part of the premium paid in advance is returned to the borrower in case of the repayment of the loan before the maturity of the shares.

Illustration I: A member secures a loan on five shares of a maturing value of $200 each, at a premium of 10 per cent. He receives $900, but gives security for $1,000 and pays interest on the same at the rate of 10 cents per week on each $100. His bi-weekly payments are as fol. lows: Dues at $1 a share, 85; interest on $1,000 at 10 cents a week per $100, $2; total of each bi-weekly payment, $7. These payment continue until the maturity of the shares, unless the loan has been settled

by repayment before the expiration of the sixth year from the date of issue of the shares in which case one-sixth of the premium will be refunded for every entire year of the six then unexpired.

Illustration II: A member secures a loan on five shares of a maturing value of $200 each and receives the full amount, $1,000. He pays no premium, but interest at the rate of 7 per cent per annum on his loan. His bi-weekly payments are as follows: Dues at $1 a share, $5; interest on $1,000 at 7 per cent per annum, $2.69 ; total of each bi-weekly payment, 87.692. These payments continuo until the loan has been settled either by maturity of shares or repayment.

The number of associations operating under this plan is as follows: LOCAL.--Indiana, 1; Nebraska, 1; total local associations, 2.

PLAN 43. Loans are awarded to shareholders in the order of their applications or by lot. A fixed premium is deducted from the loan in advance. The borrower receives the remainder, but gives security for the gross amount, and pays interest on the same. Or, if the borrower elect, he may receive the full amount of his loan without premium, but in that case he pays a higher interest rate. In either case the monthly payments continue until the maturity of the shares, unless the loan hias been previously settled by repayment. No part of the premium paid in advance is returned to the borrower in case of the repayment of the loan before the maturity of the shares.

Illustration I: A member secures a loan on five shares of a maturing value of $200 each, at a fixed premium of 15 per cent. He receives $850, but gives security for $1,000 and pays interest on the same at 7 per cent per annum. His monthly payments are as follows: Dues at $1 a share, $5; interest on $1,000 at 7 per cent per annum, $5,83}; total payments each month, $10.839.

Illustration II: A member secures a loan on five shares of a maturing value of $200 each, and receives the full amount, $1,000. He pays no premium, but interest at the rate of 10 per cent on his loan. His monthly payments are as follows: Dues at $1 a share, $5; interest on $1,000 at 10 per cent, $8.333; total payments cach month, $13.334.

The number of associations operating under this plan is as follows: LOCAL.-California, 1; total local associations, 1.

PLAN 44.

Loans are awarded to shareholders in the order of their applications or by lot. A fixed premium is deducted from the loan in advance. The borrower receives the remainder but gives security for the gross amount and pays interest thereon. In addition to the premium deducted in advance, le pays a fixed instalment premium at the same time with his dues and interest until the loan is settled either by repay.

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