THE WAR LOAN.

New Zealand Herald, Volume LIII, Issue 16310, 17 August 1916, Page 4

THE WAR LOAN.

Sir. — think every business firm should > take up war bonds according to its status, i because it is really an advance against ii an assured asset bearing interest at 4£ - • per cent, free from income tax, which ': makes it 5 per cent. Most firms have i ' accommodation from their bankers, and ; ; may think by taking up bonds it would > I reduce it. How could it?—as the Do- ■ : minion's note issue is guaranteed by the ' Government, and I know no banker would ■ , be so unpatriotic and short-sighted as to l ] refuse, when it is his guarantor's paper • j and for the country's weal. Probably >; some may demur as to what they may I , lose between bond and bank rates, but i to a patriotic firm the difference would ;; be infinitesimal. No effort in this ini stance can be too great tp make the loan la huge success. P. Virtte. j August 16, 1916. I . I Sir,As many persons may not have [ j had brought home to them the great imI portance of the £8.000.000 issue of the Government war loan being fully sub- , , scribed, and the disadvantages which ] would accrue to ever}" body in the • Dominion were it not so subscribed, we I would ask you to be good enough to pub- • lish this letter • containing briefly our view? on the subject. On all grounds the ! success of the loan is to be desired: those , of patriotism and the proper treatment of our soldiers, having been well expressed , ■ by those in authority, need not be dwelt upon by us. but there are other reason* affecting the people in a more or less I direct manner. It would appear that it ■ the necessary money be not raised by the i j loan it must be got by further heavy i I taxation, in which all classes must. e ™?® r ' ! directly or indirectly, share; also the F 'credit of the Dominion would suffer, which ) j in manv ways would affect the welfare ' of the people. Subscription to the loan I , does not- mean a sacrifice or loss. The " investment has never been equalled in i j New Zealand as a safe and remunerative I one. and the return to normal condition? i ! of the moner market in a few years would f i cause it to command a substantial P rt " ? mium. The interest will be distributed in 1 i the Dominion, and will be available lor ' investment in and development ol = country In about sixteen years tne i interest compounded will amount to me t original principal, leaving the inyestmen 1 intact. Firmly believing that lull sbd- » scription of the loan will be no le#s_oej' 1 ficial to the individual inhabitants 01 - * 5 Zealand (with whose welfare that of l ~ s institution in which we have the no:n 1 to represent the ondinarv shareholder r bowid tin) than to the Dominion as t of the Empire. we strongly urfe ail 1 hive the means idle or within VI6% T, * , t tpplv for as much of the_ ioan as 3 can afford Martin Kenned*t ' W. 'VVfTSOK. » t Directors representing the sharenoineis on the board of the Bank of - c 5 Zealand.