PACIFIC STARR-BOWKETT BUILDING SOCIETY

Evening Star, Issue 12647, 30 October 1905, Page 8

PACIFIC STARR-BOWKETT BUILDING SOCIETY

Owing to the advene weather, only about twenty persons attended the public meeting held at the Caveraham Hall on Friday evening in connection with the above society. The Chairman (Mr R. Wilson) opened the meeting with an expression of regret at the small attendance. Doubtless* the inclemency of the weather and the several City attractions were the accounting factors. Mr J. H. Hancock, chairman of directors, said that for the formation of the society the large number of people living in the suburbs in homes they coaid not call their own, {laying rentals they could 'not afford and. for which they were receiving practically no return, was sufficient justification. The Pacific StarrBowkett Building Society offered to help such residents to buy,- build, or pay oif a mortgage over a house or other property, and allow them to repay the loan, without interest, by fortnightly instalments amounting to less than the ordinary rental. Such a society was a boon to any community. Did it achieve no other purpose than that of forcing people to save money, it justified its existence. He (Mr Hancock) knew of a mechanic who beyond bis weekly earnings had not a shilling to bless himself with. Tbe man's wife came to him -Mr and asked whether she could get some shares in a building society. He replied affirmatively, took her money, purchased two shares, and at tbe very first ’ballot that mechanic and his wife drew £2OO. When last heard of they were living on a suburban property, purchased for £240, for winch they were paying the society 6s 2d per week loan and 2s share subscriptions. In a short time they would own their property, receive back the share money (2s per week) paid in for fifteen years, and a substantial dividend from the profits of the society. Of coarse all shareholders could not be so ini mediately fortunate. Still, all would eventually draw their loans, and the last to do so was in reality no worse oft* than the apparently fortunate first. When, at the expiration of twelve and a-half years, the last shareholder drew his loan, he will have already paid into the society a substantial sum, and thus have only about six and a-half years’ repayments to make. In addition, shareholders trad always tbe opportunity of purchasing £SOO at the premium ballot: and in this particular he woiild point out the distinct advance made by the Pacific Society. Shareholders were not required to bid against each other for tho £SOO purchase, and, as is frequently the case, end by paying as much as 4 and 6 per cent, for their leans. The directors had definitely fixed the interest at 2 per cent, per annum, and all shareholders wishing to purchase the loan, were required to ballot. As to the life of the society, this was not an everlasting, indefinite affair, as many people imagined. Tbe Pacific StarrBcwkctt Society would he wound up, and a dividend declared, in fifteen years’ time. The greater proportion of tho first allotment of 1.000 shares bad been disposed of, and the remainder, he believed, would be as quickly taken up. The first £SOO ballot was to take place on November 24, and all who took up shares prior to that date would participate in the ballot.

In reply to questions, Mr Hancock explained that after u period of five years any shareholder could, upon giving three months’ norice in writing, retire from the society, drawing all moneys paid in. The working expenses of tho society would be met by a levy of 2s per shareholder per annum. The amount to be paid back by way of instalments for loan was 3s Id per week per £IOO. The shareholder continued his subscription of Is per £IOO share after drawing his loan, such Is constituting tho funds wherewith the society conducted its operations. Still, a member could, did he choose, cease faying his subscription and return only tho loan money; but in that event would forfeit his righi to participate in the profits of the society at its wind-up at the expiration of fifteen years. Mr W B. Taverner (secretary), for the information of the meeting, explained the origin of the term Starr-Bowefctt. Dr Bowkett, a medico in the West End, and Mr Starr, keeper of a coffee shop in Black Marta road, London, were the founders of the first building society in England, hence the appellation. ... , , A vote of thanks to the chairman closed the meeting.