lUuHtratiou :  On  a  loan  of  $200  on  one  share  at  a  monthly  preminm
of  25  cents  and  at  5  per  cent  interest,  the  payments  each  month  daring
the  first  year  are  as  follows:  Dues,  $1;  interest  at  5  per  cent  per
annum,  83^  cents;  premium,  25  cents;  total,  $2.08^.  Payments  each
month  during  the  second  year  are:  Dues,  $1;  interest  on  $185  at  5  per
cent  per  annum,  77^  cents;  premium,  25  cents;  total  payments  each
month,  $2.02yV;  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  i>eriodically  reduced  by  the  amount  of  the  dues  paid  in  duriug
the  preceding  term,  plus  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.
PI.A17  34.
This  plan  is  in  every  respect  similar  to  plan^l,  except  that  the  prin-
'"^  periodically  reduced  by  the  amount  of  the  dues  paid  in  during


CHAPTER   HI. PREMIUM    PLANS.  407

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:
LooAX. — Ohio,  18;  Pennsylvania,  1;  Wisconsin,  1;  total  local  asso-
ciations, 20.
PLAN  35.
This  plan  is  in  every  respect  similar  to  plan  31,  except  that  the  prin-
cipal is  periodically  reduced  by  the  amount  of  the  dues  and  interest
paid  in  dunng  the  preceding  term,  and  interest  is  charged  on  the  bal-
ance only.
