TIME-PAYMENT SYSTEM

Dominion, Volume 11, Issue 199, 11 May 1918, Page 9

TIME-PAYMENT SYSTEM

(. ALLEGED CAUSE OF MUCH DISTRESS. There is evidence of much distress caused in the community through the failure of peoplo to carry out contracts entered into, either in respeot of loans or the supply of goods on extended payment systems (states the Melbourne 'Age"). In one of the large suburbs, moro than 500 distress warrants weio issued last year, and the complainants were money-lenders or time-payment firms in about two-thirds of the cases. The records of the courts show the tendency of peoplo to buy beyond their means, and how much borrowing and purchasing on credit goes on in private, how much anxioty is borne in eilenoe. how many desperate fights are made to stave off disaster, it is impossible to conjecture. The desire to possess certain comforts, something to brighten the home and make the domestio life moro oheerful, may be so strong :'s io n.ake reI sistanco of tho seeming advantages of | nortain credit systems ,'ory difficult indeed, but thrift is the true way of economy in tho end. Thrift nruluces no troubles or anxieties, and is ruoh moro effective in brightening tho homo. By waiting and saving, interest is gi.ined; by giving way to the leiupfnt.ion to purohase, building on tho hoped-fov ability to pay, interest is lost. In tho eourso of dealings with the great number of soldiers' dependants who seek assistance from tho Stato War Council, officers employed by that council have become impressed with tho largo proportion involved in borrowings or in timcipayment purchases. Applications for relief are frequent. In a few cases attempts on the part of money-lenders to obtain exorbitant interest have beon noticed, and representatives of the council deputed to visit tho "financiers" concerned. However, tho experience of the council in. dealing with money-lenders and time-pnyment firms has not been nnbappy. Tho officers havo found'them open to reason in the great majority of oases, and in ono instance a total remission of an interest claim was agreed to readily, when- tho difficulties jf (ho borrower's position wero pointed out. 'Many of theso tronbled people may havo brought down difficulties upon their own shoulders through no fault of tlieir own, but no ono can entertain sympathy for those who .become involved through mero vanity and °xtravaganre. Indubitably, n large number of people are inclined to adopt the easy wav to '..rocure funds, some of them no doubt for (ho foolish indulgence of oxpensivo tastes. But tho easy way proves hard indeed in tho long run.