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Directors of the Perry Federal Savings and Loan Association
Association Aim:
Stimulate Thrift,
Home Ownership
Federal Savings and Loan Asso
ciations throughout the United
States have two missions, accord
ing to Malcolm Reese, Secretary-
Treasurer of Perry Federal Sav
ings and Loan Association of
Perry ... TO STIMULATE SAV
INGS AND TO STIMULATE AND
ENCOURAGE HOME OWNER
SHIP.
These two missions arc specifi
cally and definitely outlined in the
federal law under which the char
ters of these Federal Savings and
Loan Associations are chartered,
he explained.
Though the corporations are not
banks, they are often referred to
as “The poor man’s bank” because
they try to encourage thrift and
savings on the part of all people
in the areas which they serve.
James J. Hill, great railroad
builder is quoted as having said to
a group of Harvard students:
“Young men, would you succeed
in life? The test is simple and in
fallible—can you save money? If
not, drop out. The seeds of success
are not in you.”
Former President William How
ard Taft, speaking of the impor
tance of thrift to family units said,
“The family which has no nest egg
of savings is not and cannot be a
free family. It is a slave because
the working members of the fam
ily have no power of job selection.
The family unit with a nest egg of
savings sufficient to handle all liv
ing expenses for a period of six to
twelve months is a free family
unit, because its working mem
bers can employ selectivity in the
jobs they take”.
The remarkable growth in home
ownership in America since set
ting up of the Savings and Loan
statute attests to the success of
the second mission of the associa
tions.
Under the statute, the associa
tions must always and everywhere
make loans on homes. They can
not be fairweather lenders like
some of the institutions of this
country who go in and out of the
home loan business when they can
not use their money to better ad
vantage elsewhere.
The Federal Savings and Loan
industry, on the other hand, is not
allowed to make any other use
of its money than to put it in first
mortgages on homes—except that
they are allowed to put 15 per
cent of their assets in well-selected
business real-estate and, of course,
purchase government bonds in
connection with maintaining their
required liquidity. Perhaps that is
why these institutions make 41
per cent of all home loans.
It is probable that a major de
pictured on this page are
the present directors of Perry
Federal Savings and Loan As
sociation. They are local busi
ness men who over the years
have contributed much to the
progress and growth of this in
stitution. This group is charged
with the responsibility of set
ting the policy of the associa
tion. Others who have served
in this responsible position are
noted in the story on page one.
Questions Most Asked
About Perry Federal
Specializing in thrift and home
financing, savings and loan insti
tutions are vital to a strong com
munity and provide services that
this area wants and needs. Perry
Federal’s Secretary-Treasurer,
Malcolm Reese answered a num
ber of questions pertinent to Sav
ings and Loan Associations.
WHAT IS THE PURPOSE OF
A SAVINGS AND LOAN ASSO
CIATION?
Perry Federal is restricted by
law to doing only two things. We
handle savings accounts and make
loans on homes and business
buildings. We are not a private
corporation owned by stockhold-
G WHO OWNS PERRY FEDER
AL THEN?
You own Perry Federal if you
have a savings account here. Per
ry Federal is owned by the peo
ple who save here. The money we
earn on interest received from
home loans is distributed to the
savers in the form of dividends?
WHO MANAGES HOME FED
ERAL?
A board of directors, all local
men, and the administrative of
ficer, in this case, Malcolm Reese,
secretary-treasurer.
HOW ARE THESE MANAGERS
CHOSEN?
The directors are elected by the
shareholders and set the policies
upon which Perry Federal oper
ates. The directors hire the exe
cutive officer.
HOW MUCH WILL I EARN IF
I SAVE WITH PERRY FEDER
AL?
Perry Federal at this time pays
the highest dividend on savings
available from any insured insti
tution in this area . . . currently
four per cent per annum, com
pounded semi-annually on June 30,
and December 31, each year. Each
account is insured up to $10,000.00
WHAT DO YOU MEAN BY IN
SURED SAVINGS?
It means that your account is
(Continued on Back Page)
ment in the growth of Federal
Savings and Loan Associations is
the fact that these institutions
must at all times stimulate home
ownership.
Many people start savings ac
counts with these institutions with
the sole purpose of creating a nest
egg which can later be turned
into a home of their own.
Savings Accounts
Varied !o Suit You
You can set up a savings pro
gram to meet your every need at
your local savings and loan asso
ciation.
The United States Savings and
Loan League, nationwide trade or
ganization for the savings and
loan business, reports that since
the end of World War II, the na
tion’s 6,000 savings and loan as
sociations have so broadened their
savings services that savings ac
counts are available to provide
“cradle to the grave” security.
For instance, you can open up
a savings account for a new baby,
complete with pass book, and with
regular earning of dividends. Or,
you can open up special retire
ment accounts planned to provide
you with sufficient funds to make
your last years on earth comforta
ble and pleasant.
A Variety of Accounts
In between these two extremes
are a variety of accounts to meet
almost every human need.
For instance, thousands of fam
ilies open up Christmas savings
funds at the beginning of each
year to do away with the strain
on the family budget that gener
ally arises at Christmas time. Whe
ther your goal is $50 or $500, you
will find these clubs helpful in
building up a nice spending fund
for use the following December.
Still another widely used thrift
plan is that for meeting the ex
penses of a planned vacation. This
adds to the enjoyment of a fam
ily vacation by taking the strain
off the budget that usually arises
when adequate funds have not
been saved.
College Savings Plan
Many associations also offer
special college savings plans de
signed to accumulate funds for
paying for a full four year col
lege course.
Some institutions have even put
into effect special “Save for a
Down Payment” programs, where
by prospective home buyers save
a specified sum each month in or
der to have a certain-sized down
payment when they are ready to
buy.
Most savings associations offer
three basic types of accounts, of
regular sayings accounts which
permit you to put in or take as
much out as you wish whenever
you desire; bonus accounts for
saving certain amounts regularly
and leaving it untouched over a
specified period; and investment
accounts, where you purchase paid
up shares in specified amounts.
Available are joint savings ac
counts which can be opened by
husband and wife or any two per
sons, and trustee accounts to pro
vide for the future security of
Home Improvement
Loans Available
Perry Federal makes FHA Title
I home improvement loans.
These loans may be made to
improve a home, even though
there is an outstanding mortgage
on the property. These loans are
made at five per cent discount and
may be extended for as much as
$3,500.00 and for as long as five
years.
Many people find after living
in their home for several years
that they need to improve, mo
dernize, or repair their home, but
do not wish to disturb their pre
sent loan. The home improvement
loan is made for this purpose to
those who can qualify under the
standards set up under the regu
lations of the Federal Housing
Administration, and may be made
for any improvement authorized
under the program, such as, paint
ing, adding a room, adding a bath,
central air-conditioning and heat
ing, repairing the structure, and
many other home improvements.
children, wife, parents, or any oth
er beneficiaries.
Insured Up to $10,000
All accounts are insured by the
Federal Savings and Loan Insur
ance Corporation in an amount up
to $10,000.
The League points out that sav
ing regularly at savings associa
tions not only enables you to build
up substantial funds to meet spe
cial needs in the future, but that
it also enables you to make a
profit through the regular pay
ment of dividends by the associa
tion for use of your funds.
At the same time, adds the
League, having money gives a per
son or family a sense of security,
often eliminates a feeling of in
feriority, and strengthens confi
dence to face life and make im
portant decisions.
G. F. NUNN
Director
MALCOLM REESE
SecretayTreasurer
MAYO DAVIS
Director
W. K. WHIPPLE
Director
ALBERT PRATT
Director
C. E. ANDREW
Director
S. A. NUNN
President
J. MEADE TOLLESON
Vice President
MARION L. BROWN
Vice President