Guide to the Unprotected in Every-day Matters Relating to Property and Income (1864): a machine-readable transcription

A Banker's Daughter (Emma Sophia Galton)

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Victorian Women Writers Project: an Electronic Collection

Perry Willett, General Editor.

Guide to the Unprotected in Every-day Matters Relating to Property and Income.

by A Banker's Daughter.
Second Edition, Revised. 143 p.
Macmillan and Co.

        The transcribed copy is from the private collection of Sally Mitchell.

        All quotation marks, hyphens, dashes, apostrophes and colons have been transcribed as entity references.

        All apostrophes and single right quotation marks are encoded as ’.

        Any hyphens occurring in line breaks have been removed; all hyphens are encoded as ‐ and em dashes as —.




1864. [The Right of Translation is reserved.]


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        MANY young people, and especially widows and single ladies, when they first possess money of their own, are in want of advice when they have commonplace business matters to transact. It is not always easy for them to find a friend who will listen patiently to their difficulties, and express no surprise at their ignorance, which has made me see how much a little Manual of this kind has been wanted. Numerous excellent works are published (see p. 121 for a list of them), but the mistake their Authors generally make is in supposing the Reader to know something of business. I write for those who know nothing. My aim throughout is to avoid all technicalities; to give plain and practical direc-
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tions, not only as to what ought to be done, but how to do it.

        Ladies rarely have any business to attend to before they attain the age of twenty-one. They are usually older when, through their father's or their husband's death, they find themselves possessed of money of their own, and are then first called upon to act. They naturally feel shy and awkward, at that time of life, in asking such a simple question as, How am I to draw a Cheque? How should I write to my Banker to send me some money? I want to sell out of the Stocks, what must I do? How am I to get a Power of Attorney? When once known, a person soon finds that all these things are very simple, and as soon forgets how difficult and strange they once appeared to her. I trust this little book will prove useful to many of those who have yet to learn.


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        WHEN an inexperienced person comes into possession of her fortune, and especially if it be a small one, her first inquiry is, "How can I invest my money so as to get the highest possible interest?" Let her rather seek to place it where her Capital will be safest. (By Capital and Principal is meant her fortune, or the whole sum she possesses.) The Duke of Wellington used to say "High interest is another name for bad
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security." In this country 4£ per cent. is generally the highest safe Interest you can receive: 4 per cent. more usually so. When 6, 7, 8, or more per cent. is offered by Banks, Mortgages, Loans, or Mines, beware of accepting it, as the probability is that you will lose both your Principal and Interest, as so many have done. Such an Interest cannot be given consistently with the safety of the concern.

        Good Mortgages, and the Debenture Bonds of the leading Railway and Canal Companies, are very convenient investments for persons of small means, because the investors will at the end receive back the same sum they originally put in, and in the meantime receive an unvarying amount of Interest paid regularly; also, in the case of a Railway or other Company not being wholly successful, the Interest of its Bonds, &c. is paid before the Dividends of the Shareholders.

        Joint-Stock Banks.--A lady should not on any account take any Shares whatever in a Joint-

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Stock Bank, Mine, Partnership, or any other joint trading concern, unless it be established under the new "Limited Liability" Act, as otherwise she is liable to lose her last penny if the Bank or speculation should fail. Even if "limited," they should not be invested in without the greatest possible caution, nor until after very careful inquiries have been satisfactorily answered.

        Shares in Railways, Canals, Gas and Water Works, may often prove good investments, but some risk necessarily attends them, as may be seen by the value of the Shares constantly rising and falling. The Interest or Dividend they pay is constantly changing, according to the state of trade, demand, &c.

        These sorts of investments pay from 3 to 9 per cent.--sometimes even more, and sometimes much less--to original Shareholders (that is, to those who took Shares at the beginning of the concern), and from 3 to 5 per cent. to those who purchase Shares. Where the Company is equally success-

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ful year after year, their Interest is steady and safe, as it arises from the regular and large demand for gas and water, or the traffic on the railway or canal.

        Guaranteed and Preference Shares are far safer investments than ordinary Shares. By the former are meant Shares which, if a certain fixed Dividend cannot be paid by the Company which guarantees them. They therefore cannot be paid less, but if the property be thriving they participate in the surplus. For Preference Shares, see Chap. IV.

        Do not put all your money into one concern. Put it into several. Then if one fails in value another probably rises, and so your income will keep more equal: if one of your investments unfortunately turns out a failure, you lose only a part and not the whole of your fortune. When you think you have placed your money in the

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safest way you can, do not alter its investment without some good reason. Every change costs money, and is attended with trouble and anxiety.

        In investing Capital, attend to the following suggestions:--

        1st. Bank.--Select a safe and respectable Bank for the deposit of your money.

        2dly. Asking advice.--Seek a sensible and upright Friend, who is a good man of business, to consult as to what concerns are safe or unsafe for investments. Many worthy men are bad men of business, and recommend investments because they think or hear they are good, without knowing anything of the matter: and for that reason seldom consult ladies, as usually they know little or nothing of business, and when that is the case it is much like the blind leading the blind. Men who are in business are in the habit of looking out for investments for their own money, and of hearing competent opinions upon

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them; and if they are upright in their dealings and are doing well in the world, it is fair to presume that their judgment is good. Having found one, be guided by him, and do not ask everybody's opinion, which only unsettles you.

        Imposition.--To show how easily an inexperienced man may be imposed upon, I may mention an anecdote I heard from a person who had been almost persuaded by a friend, who knew nothing of business, to take some Shares in a Company which promised extremely good interest. He went to the office, which was in the City, to make inquiries. The Manager tried much to persuade him to invest, assuring him of the safety of the concern. While C-- was hesitating, a man rushed in, and said in an eager tone, "Pray, Sir, have you any more Shares on sale? I have an order for fifty more, they are in such great request that I am afraid of their being all sold before I can get enough." His manner and words opened C--'s eyes, who suspected that

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this was a plan to entrap him to invest, and in quietly walked off. The Company failed in a very short time afterwards.



        Set up a neat tin box, or, what is better, a good fire-proof box, to hold your Deeds, Scrip, Bonds, Receipts, and Papers of all kinds connected with business. Keep this locked up in a safe place, or it may be deposited with your Bankers for safe custody during absences from home, or for longer periods if necessary. Keep all papers, letters, &c. relating to money and business transactions. Never burn any letter or paper on business; much trouble and loss is often occasioned by inexperienced persons doing this. In the course of three or four years, and not till then, you will learn what is necessary to keep and what is not.

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        Arrange your Papers under a few heads. Fold them up neatly of a size, and "docket" them; that is, write outside what they are, and the date of receiving them, thus--

1st March, 1863.
Midland Railway Coy.
Notice of Call, payable on 1st July, 1863.

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        Keep copies of all letters you write on business matters: it is often necessary to refer to them.

        In writing letters of business, they should be short, clear, and to the point. No superfluous words--no repetition. Each subject should be in a separate paragraph, and written on the full size sheet of note-paper. It is a great mistake to suppose that a long letter gets more attention; it is quite the contrary.

        Keep all receipted Bills six years, and then you may destroy them, because an unclaimed debt of more than six years' standing is not recoverable at law. Fold them up lengthways, and "docket" them as I have just described. Suppose you make a purchase of furniture from Mr. Richard Jones for £1 2s. 6d. on Jan. 5th 1863; then his Bill will be folded lengthways and docketed as follows:--

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Jan. 1863.
Jones, Richard, London. £1 : 2 : 6

        At the end of the year, the Bills that have accumulated are quickly arranged alphabetically and tied up. There is thenceforward no trouble in referring to a Bill. All this seems irksome at first, but it is wonderful how natural it becomes

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to fold them of one size and docket them before putting them away in your drawer. When unscrupulous tradespeople are aware you are methodical they seldom send in a Bill twice.

        Pay your debts regularly, though they be ever so ever so small. How many tradespeople are ruined by the thoughtlessness of their employers, and have to borrow money at a very high rate of interest, till it suits the convenience of their customers to pay their Christmas or Midsummer Bills! A poor person is not allowed by his creditors to run up a Bill.

        Time is money to the poor.

        The difference of being rich or poor.--A man is rich who lives upon what he has. A man is poor who lives upon what is coming. A prudent man lives within his income, and saves against "a rainy day."

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        No one should be satisfied without keeping regular accounts of what she receives and what she spends. She then knows what she has, and how it is spent; and if at the end of the year her expenditure has exceeded her income, she can refer to her books and see where to retrench. A person who keeps no accounts may be compared to a ship without a chart. She goes on without knowing where she is. There are many ways of keeping accounts which it would be beyond the limits of this book to go into, but the way you can easiest understand is the best to adopt. Once a month, transfer from your daily Account-book to another Book, called a Ledger, what you have spent during that month, and place the items under different heads. For instance, under the head "Dress" put all you have spent in dress; under "Amusements," all that you have
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spent in that way. Every year add these up, and then you will see at a glance how your income has gone, where you have exceeded and where you have saved. Have no Christmas Bills; pay all creditors once a week, and your servants once a month or quarter. You then know how you stand; you feel out of debt with everybody; you cannot easily be imposed upon, because you can readily look back a week to see that your Bills are correct, though you are perplexed in looking back for a year.

        Periodical Receipts and Payments.--It is a great convenience to rule two pages at the end of your Account-book into twelve columns for the twelve months: one to remind you when your Dividends become due; the other when Payments should be made. Some people have a page for a "Statement of Property and Incomings," and one for yearly expenses. I insert a few specimens which may be useful to some of my readers.

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£ s. d. £ s. d.
..... ... ... 3 per cent. Consols Jan. 5 ... ... ... July 5 ... ... ...
..... ... ... India Bonds, 4 per cent. Mar. 31 ... ... ... Sept. 30 ... ... ...
..... ... ... London and North Western Railway February ... ... ... August ... ... ...
..... ... ... Lambeth Waterworks May ... ... ... November ... ... ...
..... ... ... Bank Stock April ... ... ... October ... ... ...
..... ... ... Farm June ... ... ... December ... ... ...

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Jan. Feb. March. April. May. June. July. August. Sept. October. Nov. Dec.
1 Lambeth Lambeth
5 Consols. Bank Stock. Consols.
10 Bk.Stock
15 L.&N.W. Bond. L.&N.W. Bond.
24 Farm. Farm.

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Jan. Feb. March. April. May. June. July. August. Sept. October. Nov. Dec.
4 Fire Insurance.
8 Hospital. Taxes. Taxes.
11 S.P.C.K. Society.
15 Pew Rent.
24 Rent.
25 Rent. Rent.
28 Rent.
31 Wages. Wages. Wages. Wages.

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        Sharing Expenses.--In travelling with a friend on the Continent, it is sometimes difficult to divide the expenses correctly. I therefore insert an example. When the expenses of two or more persons are included in one account, their respective shares will be most readily separated by adopting the following form. We will suppose A. and B. to be at an hotel in France, and their landlord to have entered everything they have ordered, whether jointly or separately, into a single Bill. The Bill occupies the right-hand compartment of the table; in the left-hand compartment are the calculations of A. and B., which would probably be made on a separate bit of paper. The principle is to have three columns; one for A.'s peculiar expenses, one for B.'s, and one for common expenses. The sum of the common expenses is halved, and one of the halves is added to A.'s column and the other half to B.'s. Finally, A. and B.'s shares are added together to see that their sum tallies with the amount of the Bill.

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A. B. Common.
10.25 10.25 10.25
15.35 20.75



2 Dejeuners 3.00
1 Diner table d'hote 4.00
1 Diner part 5.00
2 Logement 6.00
2 Bougies 1.00
1 Bain 0.50
1 Luncheon 1.50
1 Marsalla 3.50
2 Dejeuners 3.00
Service 2.00
Voiture 4.00
Timbres de Poste 0.60
Omnibus et Bagage 2.00

        When the common expenses form the bulk of the Bill, it is hardly worth while to copy them out. In that case, subtract the sum of A. and B.'s private expenses from the total of the Bill;

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the remainder will of course be the sum of the common expenses; halve this, and proceed as before.

        Taking Stock.--Once a year some people "take Stock;" that is, calculate the value of all their Stock or Share property, by the help of a Share-list of that date, such as is published in every day's Times, or in a more complete form as a separate daily publication.

        Ready Reckoners.--Every one should possess "A Ready Reckoner." There is a very good one by Masters, edited by John Heaton; London, Routledge & Co., price 1s. Buy this latest edition. It is of use in many ways and contains Tables of Interest, Wages, Per-Centage, Weights and Measures, &c.

        Bank Notes.--When you receive Bank notes, either those of the Bank of England or of Country Bankers, write your initials on the back

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of each note, and insert a memorandum in your Pocket-book, or some other book, of the amount, number, place of issue, and date of each note. Should all or any of these notes be stolen, lost, or mislaid, immediately write to or call upon your Banker, supplying the above information, and measures will at once be taken to "stop" or refuse payment of them; and for another reason it is an excellent plan to write your name or your initials, with the date of receiving it, at the back of each note, in order to identify among others, in case of any misunderstanding after it has been received or paid away; thus--

F.M.S. May 3, 1863.



        Inexperienced persons should pause before they consent to sign their name to any Document, and particularly before signing and putting their
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finger on the seal and saying the cabalistic words, "I deliver this as my Act and Deed." Let them understand well what it is they are undertaking the responsibility of, and that by signing they may imperil their last shilling. But none need feel anxiety in witnessing a person's signature to a Deed. The act is one that cannot compromise him, and it is a social duty to perform, for he is sure at some time to have need of the same assistance in his own behalf. Considerable inconvenience is sometimes caused in country places by a friend declining to do this simple act of kindness.

        Signature.--Sign your name always in the same way in Cheques and business papers, that it may be recognised, and make it distinct as possible. Many whose writing is in other respects clear and legible, sign their names in such a manner that it is almost impossible to recognise them.

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        When you place any money in an investment be particular to send your full address, legibly written, to the Secretary of the Company, and inform him to what Banker he is to pay your Dividends. If you change your residence, immediately write to inform him of the fact. It is best to do this a little time before the money is due. Some people make their address still clearer by putting a line round it, thus--

Mrs. Lagton,

St. Mary's Cray,
Kent.To the Secretary of -- Company.
        Sir,--I request you to take notice that my address in future will be A. B. at -- Place, -- (Town), and to enter it accordingly in your books. I beg you will acknowledge the receipt of this letter.

(Here add your signature, address, and date.)

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        In transacting business, such as buying or selling Stocks, Railway Shares, and especially Land, or in any money affairs, even with the nearest relation, make it a rule that everything be transacted in the same formal business-like manner that would be adopted if he were a stranger. Were this rule attended to, frequent annoyances, much expense, and many family quarrels would be avoided. In disputed cases, resulting from the absence of a business-like understanding, friends and relations may become satisfied by mutual concessions and confidence in one another's integrity; but when they die, their Executors are bound to act by the hard judgment of the law.

        Saleable Title.--When Shares or Land are given or sold to you by a relation or others, ask your legal adviser to see that all necessary steps are taken for making your Title a saleable one, so

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that you can sell the property whenever you may desire to do so, without trouble or extra expense.

        Security.--If you lend money as an investment, always take every precaution to obtain a safe security for it from the Borrower--viz. a Mortgage of Land or other Property, worth at least, in the case of Land, one-third more, and in the other case, half as much again as the sum you lend.

        Receipts from Friends.--Always take a Receipt or Acknowledgment from a relation, as from a stranger, for borrowed money. Should your relation die, his Executors could not pay you unless you had a Receipt or some other proof of debt to show, or he had named it in his Will. Executors must act only on legal evidence or pursuant to (i.e. in accordance with) the directions of the Will: they cannot use their own discretion.

        If you have lent a person money, when he pays it back, you will have to return the Receipt

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he gave you. If this is done through the Post, or through another person, take the precaution of tearing or defacing the receipt before sending it.

        Do not lend a Deed or Map of your property to any person without the advice of your Attorney, and in any event desire the person who borrows it to give you a Receipt for it. An old Map of Land is often a most important document to determine boundaries.



        When you want to buy or sell Government Stocks, Exchequer Bills, &c. or Shares in any Railway, Canal, Gas, Water Works, or any other Company, it is necessary to employ a Broker, who charges a per-centage, or in other words, a Brokerage or Commission, upon the amount of Sale or Purchase. It is of course important that the Broker so employed, should be of high standing and respectability. Bankers also undertake to transact all business
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of this description, and they hold themselves responsible for the proper completion of the Sale or Purchase, and generally speaking, no extra expense is incurred by the buyer or seller; an understanding or arrangement subsisting between the Banker and Broker as to Commission.

        The Broker's charge rarely, if ever, exceeds 1/8 per cent. or 2s. 6d. for every £100 of Government Stocks. It varies considerably in Railway and other Shares, but is always in accordance with the regulations of the Stock Exchange.

        Always give your instructions in writing, it prevents many opportunities of mistake.

        Money on Deposit.--When you sell any Shares, &c., place the money in a Bank till you have found a new investment. If it is to lie in the Bank for any length of time (two or three months, or longer) it is better to deposit it in the Bank at interest, for which the Bank will pay small Interest. If it is a very large amount you can put it into the Funds or buy Exchequer Bills.

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        Never allow your name to be put down as a Director of a concern unless you attend personally to it, or you may be liable, by the acts of others, to lose the whole of your property. You also mislead, by making the public fancy you attend to the concern.

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        WHEN you have fixed upon a Banker, and placed some money in his hands, he will give you a book, called a Pass-book, or Bank-book.



        The Banker will enter on one side of this book all the money that is paid into the Bank by yourself or by others for you. These sums are called Credits, and that side of the book is called Cr., short for Creditor. On the other side he will put down from time to time the money you have drawn out of the Bank, by Cheques, or Orders.
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These sums drawn out are called Debits, and that side of the book Dr., or Debtor.

        Never write anything yourself in your Pass-book, for it should be entirely written up by the Banker from time to time from his Ledger, of which it considered to be a copy, and it is then legal evidence, as against him, of the state of your account. Every six months, or better still, once a month, your Pass-book should be sent to the Bank to be "made up," that is, to have all money paid into the Bank, and all money drawn out of the Bank, entered into it. The sums of the entries on each page are carried forward to the next corresponding page, until the time arrives for balancing the book, which is generally done at Midsummer and Christmas. This will show that all is entered properly, it enables you to know at a glance what money you have in the Bank, and prevents your "overdrawing your account" (this means, drawing a Cheque to a greater amount than you have money in the Bank). An account should never be overdrawn, unless there has been

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a previous arrangement with the Banker to that effect.

        When you want your Bank-book "making up," write to your Banker, enclosing it, or take it yourself, and ask him "to make it up." Bankers will, if desired, send a statement of your account on thin paper, which is especially convenient to persons travelling abroad. A Pass-book may now be sent by Book Post for one penny, if its weight is under four ounces.

        Sums of Money in a Banker's hands.--As a general rule, it is considered unhandsome to have less money in a Bank than a hundred pounds. The Bankers gain nothing for the trouble they take in receiving your money and paying your Cheques, and running the risk of fraud, except by the interest they obtain upon the sum you have placed in their hands.

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        Formerly it was not legal to draw a Cheque for a sum under One Pound, but there is now no restriction in this respect. It is better however not to be in the habit of drawing Cheques for very small amounts, say under £5. You can easily pay small sums yourself either in Cash or by Post Office Order; but when necessary, Bankers will not generally object to them.

        A halfpenny is never mentioned in a Cheque; no sum less than a penny.

        A Cheque on a Banker is merely an order on the Banker to pay money to A.B. or Bearer, or to A.B. or Order. It is usually written lengthways on a half sheet of note-paper, when a printed form is not used. Suppose your name is Catherine Neville, that you bank with Messrs. Coutts, and with to pay Mr. -- £15 2s. 6d. Write:--

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            London, Jan. 2, 1863.
Messrs. Coutts & Co.
        Please pay Mr. --, or Bearer, Fifteen Pounds Two Shillings and Sixpence.

£15:2:6 Catherine Neville.
        The signature or initials "Catherine Neville" is written across a penny receipt or draft stamp, not a penny postage-stamp. In some cases it is absolutely necessary to add the sum and date, i.e. on stamps required to be affixed to Foreign Bills of Exchange. I have inserted specimens of each kind in this book.

        Any person who may get possession of the Cheque in this form can procure its payment at Messrs. Coutts' Bank without question. This freedom is convenient to small tradesmen, who are unknown to Bankers.

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        Orders.--Suppose, however, you write--

            London, Jan 2, 1863.
Messrs. Coutts & Co.
        On demand please pay Mr. --, or Order, Fifteen Pounds Two Shillings and Sixpence.

£15:2:6Catharine Neville. C.N. Then the Cheque cannot be paid until Mr. -- has written his name on the back of it. Therefore, whenever you send a Cheque by Post, or Messenger, write it "or Order," and not "or Bearer;" this shields you from any fraud except direct forgery. Indeed, you will find it a safe precaution to make all your Cheques payable "to Order," as you will hereby retain evidence of the payment having been made, even if you lose your receipt.

        Crossed Cheques or Orders.--But there is yet a further precaution, if you write--

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            London, Jan 2, 1863.
Messrs. Coutts & Co.
        Please pay Mr. --& Co., or Order, Fifteen Pounds Two Shillings and Sixpence.

£15:2:6 Catharine Neville.2/1/63

        Then, not only must Mr. -- first "endorse it" by signing his name on the back, if it be an Order, but it will not then be paid by your Banker, unless it is presented for payment by some other Banker, or to a known customer; and for this reason, never cross a Cheque intended to be presented for payment at your own Bank, by the person in whose favour it is drawn. If a dishonest person stole the letter, and forged Mr. --'s name, he could not get the Cheque cashed, unless he happened to be in such good circumstances as to have an account of his own with a Banker. This reduces the risk of fraud very considerably. If instead of writing "and Company" or only "& Co." you write the name of Mr. --'s banker, the chance

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of fraud is still further reduced. Always adopt this or the last preceding form when you cannot obtain a receipt at the moment of writing the Cheque.

        Dating Cheques in advance of the day.--Never let a Cheque bear the date of a day after that on which you issue it. The penalty is £100 to the "Drawer" of the Cheque, as well as to the Banker who pays it knowingly. Any person taking it (knowingly) is liable to a penalty of £20.

        The "Drawer" is the person who signs the Cheque.

        Cheque, after a person's death.--A Banker must not pay a Cheque if he is aware the Drawer is dead. He is quite justified in paying the Cheque if he is ignorant of the fact. Also, a Cheque is invalid after the Drawer is a Bankrupt.

        Cheque, when presented for payment.--A Cheque

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should be presented for payment as soon as possible after it has been received, as in the event of any undue delay and failure of the Bank, the holder will have no claim on the drawer.

        Cheque, if dishonoured.--The Banker writes on it "No effects," or "Refer to Drawer," or he gives some other reason for not paying it.

        Writing distinctly.--Be careful in drawing a Cheque for eight pounds that the "t" at the end of the word "Eight" should join on the "P" of the word "Pounds." I believe no sum is so easily altered in a Cheque, if it should fall into the hands of a dishonest person. By simply adding a "y" it makes "Eight" "Eighty." The dots should be put very close to the figure 8 to prevent an 0 being added there. Also, it is advisable not to allow room for a dishonest person to add anything before the sum written down. Thus, if your Cheque is for £60, you must not leave space enough to add "Two Hundred" before the

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"Sixty." Another safeguard is as follows:--suppose your Cheque is for £82 15s. 6d., write across it in bold letters the words, "Under ninety pounds."

        Stamp.--All Cheques must have a Draft or Receipt (not a Postage Stamp) adhesive or impressed; also all Drafts or Orders for payment of money to Bearer on demand. When you write a Cheque on a piece of note-paper you must affix a Stamp, and cancel it by writing on it your name or initials. Each penny Stamp affixed to Cheques or Orders must be cancelled by writing your name across it, or your initials upon it. There are also Stamps which are required by law to be affixed to Foreign Bills of Exchange, when negotiated in England, and when these Stamps are used, they must be cancelled by writing your name across, adding also the date.

        Printed Cheque-book.--Ask your Banker for a Cheque-book ready stamped; it saves trouble.

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You will have to pay a penny for each Stamp: the most usual number is three dozen, which will therefore cost 3s. Your Cheque-book should be looked up, never left about. Before using any Cheque, see that the whole of the Cheques are numbered in a regular series. The same number should be printed or written on the Cheque, and in the margin or counterfoil, on the left-hand side of the Cheque-book.

        In the next page is a specimen of the Cheque-books ordinarily given.

        The margin on the left-hand side is for setting down the particulars of the Cheques that have been drawn and torn off.

        If the Cheque-book is made out "or order," the words "on demand" must accompany the word "pay," as required by the Act of Parliament permitting Cheques to be drawn to "Order," instead of only to "Bearer," as formerly.

        If your printed Cheque is to "Bearer," and you wish to make a Cheque to "Order," put your pen across "Bearer" and write "Order," as thus, Bearer.Order.

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        We will suppose Mrs. A. Bushe wishes to pay Mrs. Mary Collins, on May 4th, 1862, the sum of £27 6s. 8d. for Furniture, and that she banks with Messrs. Edwards in Newcastle:--


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        If your printed Cheque has no Stamp, you must procure and put on an adhesive one. The margin, or "counterfoil," of your Cheques is a useful reference, to know when, and to whom, they were severally paid.

        To procure money from your Banker for yourself.--Write a Cheque "to Self or Bearer;" cross it with the name of your Banker, and send it by post to him with the accompanying letter. Suppose your Banker is Messrs. Coutts--

To Messrs. Coutts.
        Please to send the amount of the enclosed Cheque of £20:0:0, in five-pound notes, in a registered letter to my address as below, viz.

(State address.)            London, March 13, 1863.
Messrs. Coutts & Co.
        Please pay to self, or bearer, Twenty Pounds. £20:0:0 Messrs. Coutts, London.

Ellen Strange.

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        Or it is sufficient to write a letter, without sending a Cheque, but a Stamp must be affixed to the letter and properly cancelled, as on a Cheque, thus:--

            London, March 13, 1863.
To Messrs. Coutts,
        Please to send Twenty Pounds (£20:0:0) in five-pound notes, in a registered letter to my address as below, viz.

        (State address.)

Ellen Strange.
        N.B.--Remember there must always be a Stamp to every Cheque, whether written on a sheet of paper or on a printed Form. Take Stamps with you when you go abroad. Always use the printed Form in preference to a written one.

        Transferring Money.--It is often convenient to write a note to your Banker, to transfer money you owe to another, who banks at the same Bank as yourself. In this case there is no possibility

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of fraud or loss from the miscarriage of your letter. You may write thus:--

            London, March 4th, 1863.
Messrs. Barclay & Co.
        Please transfer Six Pounds Five Shillings (£6:5:0) to Mr. Francis Mark's account with you, and charge it to my account.

Emily Wilson.
        It is better to send the letter as above, than to enclose a Cheque to your Bankers, requesting the amount mentioned to be placed to Mr. Mark's account.

        If the person in question does not bank at the same Bank as yourself, this is the form:--

            Norwich, 4th Sept. 1863.
To Mr. Henry Somerset, Manager of the Norwich Bank.
        Please to order the payment of Twenty Pounds (£20:0:0) to the account of Mr. Eli Smythe, with Messrs. Taylors and Lloyds, Bankers in Birmingham, charging it to my account.

Jane Gubbons.

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        When Interest has to be paid.--

            Banbury, March 26th, 1863.
To the Manager of the Banbury Bank.
        Please to transfer to Mr. Richard Norfolk's account with you the sum of Thirty-four Pounds, and also interest at the rate of five per cent. per annum on the same from January 1st to March 25th, charging the amount to my account.

Julia Edwards.
        Payment of Calls.--

            London, 1st December, 1861.
Messrs. Hoare.
        I request you to pay to Messrs. Attwoods in Birmingham, the sum of Sixty Pounds, in payment of the enclosed Call of the Chester Waterworks Company. When you receive their Receipt, I request you to forward it to me.

Emma S. Lagton.1/12/62
E.S.L. £60

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        For Annual Subscriptions through a Banker.--

            6th Jan. 1863.
Messrs. Hoare.
        Please pay Two Pounds (£2:0:0) to the account of the Derby Infirmary with Messrs. --, and continue the payment of the same on each succeeding January 1st until further notice.

Mary Green.
        To open an Account with a Banker.--It is often convenient to have a Banker in London as well as one in the country. If you wish "to open an account," that is, to begin banking with one, obtain an introduction, and write thus to the new Banker--say Messrs. Coutts:--

            (Put date and full address.)To Messrs. Coutts.
        Gentlemen,--Please to put the enclosed Cheque to the credit of an account, which I will, with your permission, now open with you.

Yours, Caroline Smith.

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            (Put date and full address)Messrs. Coutts.
        Gentlemen,--I have this day desired the Bath Bank, Messrs. James, to transfer Four Hundred Pounds to my credit with yourselves (£400), as I am desirous of opening an account with your House.

Yours obediently, Caroline Smith.

        Then you must write to your Old Banker, Messrs. James--

            (Put date and place.)To Messrs. James, Bath Bank.
        Please pay Four Hundred Pounds to my account with Messrs. Coutts in London.

Your obedient Servant, £400:0:0Caroline Smith.C.S.
        Money at Interest.--Many Bankers allow Interest on Deposit, and some also allow Interest on a

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large current account. If you have a large sum in your Bankers' hands, and wish some of it to be placed at Interest, write--

            (Date and place.)
        Gentlemen,--I shall be obliged by your informing me whether you allow Interest for money left on Deposit. What is your present rate, and what notice do you require for the withdrawal of the same?

Yours obediently, Caroline Smith.
        A Deposit Account means an Account kept by your Bankers of money left in his hands, on the understanding that he is to pay you a certain rate of Interest agreed upon, and requires you to give him a specified notice before the money is withdrawn.

        Address in Letters of Business.--It is always usual to write at the bottom or top of the letter the name of the person to whom it is addressed,

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as since envelopes have been used, it is seldom mentioned otherwise in the letter.

        Receiving Cheques.--When a Cheque is sent you, cross it with the name of your Banker--say Coutts--if it be not already crossed, and send it in a letter to them, which you should register if the Cheque be of much value, and write--

            April 6th, 1863.
Messrs. Coutts & Co.
        Please put the enclosed Cheque for £15:12:6 to the credit of my account.

Emma Gregson.
        N.B.--On receiving a Cheque, acknowledge its receipt by return of Post, specifying in your letter the amount. If your Banker lives near to you, and you intend paying the Cheque to him yourself, the crossing need not be made.

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        Cheques for Money lent.--If a friend borrows money from you, and afterwards repays you with a Cheque, you will naturally send it to your Banker to be cashed; but unless you give special instructions to the contrary, he will enter it on the Credit side of your Pass-book, where its appearance will swell the amount of your receipts, may embarrass your accounts, and make your income appear larger than it really is. To avoid this, tell your Banker "not to pass it through your account," but simply "to get it cashed for you," or, in other words, "To give cash for it, instead of placing it to your credit."

        Never destroy a Cheque.--If a Cheque is given you, and you do not wish to use it, tear off and destroy the signature, then enclose the Cheque (which, having no signature, is useless) to the person who drew it.

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        When a person is going to travel on the Continent he usually takes with him a Letter of Credit, or Circular Letters, generally both. In order to obtain the former, he deposits with his Banker the sum he wishes to have entered in his Letter of Credit, and names the towns where he may probably wish to draw money.

        Suppose Mr. A-- is going to Rome, and thinks he may possibly want £500, and may wish to draw money in Paris, Basle, Florence, Rome, and Frankfort. He writes to his London Banker (or else asks his Country Banker to write to their London Banker) to send him a Letter of Credit for £500 upon those places. Should he mention to him five towns, he must sign his name on five different slips of foreign or thin paper, and enclose them at the same time. If he mentions eight towns, then eight slips of paper must be sent, one for each place mentioned.

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        The London Banker writes to each of the towns specified, and encloses Mr. A--'s signature. Mr. A-- will see that those particular towns are mentioned in his Letter of Credit, and what Bankers he can go to; also the full sum he may draw for. If Mr. A-- finds he wants £50 in Paris, he refers to his Letter of Credit and takes it to the Banker mentioned, and asks for that sum in the coin of the country. He is requested to sign his name, and if the signature is like that on the slip of paper sent from Mr. A--'s London Banker, the money is immediately paid to him, and the Banker inserts in the Letter of Credit how much Mr. A-- has received from him, which enables other Bankers to see how much remains of the £500 when he asks for more money.

        On Mr. A--'s return to England, he send the Letter of Credit to his Banker, that he may know how much has been drawn.

        A Letter of Credit is worded much in this way:--

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Messrs. L--, Geneva.

Messrs. F--, Turin.

Messrs. M--, Vienna.             London, 9th July, 1862.
        We have the pleasure to establish a credit in favour of X.Y. Esq. who will present to you this letter, and we will thank you to supply him with Cash to the extent of One Hundred Pounds (£100 sterling), or such part thereof as may not have been previously paid upon this credit, writing off on the back of this letter the sum advanced, and taking his drafts on us in your favour for your reimbursement, which we engage duly to honour.

        This credit is to be in force for twelve months only from its date.

We are, Gentlemen, Your very obedient Servants, A.B. & Co.
        Circular Notes, for persons going to the Continent, from ten pounds and upwards, can be obtained from many London Bankers, and the intending traveller's own Banker will them for him.

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They have this advantage over a Letter of Credit; the traveller can receive his money at many different places, instead of one or two fixed towns, and even innkeepers will frequently cash them.

        "The traveller, having determined how much money he will require for his journey, pays in that sum to the Banker, and receives in exchange, without any charge except the Stamp duty, notes to the same amount, each of the value of £10 or upwards, together with a general letter or order, addressed by the House to its foreign agents, which serves to identify the bearer. The letter is addressed to nearly two hundred agents and correspondents in different parts of Europe, so that whatever the traveller may be, he cannot be very far removed from his supplies.

        "The value of the Notes is reduced into Foreign money, at the current usance of exchange on London, at the time and place of payment, subject to no deduction for Commission, or to any other charge whatever, unless the payment be required in some particular coin which bears a

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premium. They are drawn to Order, and the traveller will naturally, for his own security, not indorse them till he receives the money; besides which, such checks are so concerted with the agents as to render a successful forgery of his name scarcely possible." See Murray's "Handbook."



        Bank Post Bills.--The Bank of England issues Bills at seven days' sight, which require endorsement before they can be paid, and are therefore safe to send by post. Country Bankers also issue Bank Post Bills at various dates, not exceeding 21 days' date, but Cheques made payable to Order, are generally sufficient for the purpose of remittance.

        Bills of Exchange, and Promissory Notes, so seldom enter into the experience of the "Unprotected," that it is unnecessary, and perhaps useless,

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to explain the technicalities belonging to them in this work. The best plan is to take them to your Bankers at once. I add the respective form of each, and you will then obtain any explanation or information that may be required.



£100:6:0.             Bristol, 15th March, 1863.

        On Demand, or -- days, or -- months after date or sight, I promise to pay C.D. or order, the sum of One Hundred Pounds and Six Shillings, value received.

Jane Smith.
        This must be written on an indented Bill Stamp, according to the amount of the Bill. See Stamp Duties on Bills of Exchange in most Almanacs.

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£500:10:0.             Liverpool, 6th May, 1863.

        Three months after date (or any other period of time), pay to my Order Five Hundred Pounds, Ten Shillings for value received. Accepted, payable at -- C.D.


To Mr. C.D.(Stamp as for Promissory Note.)



        An I.O.U. is an admission that the signer thereof owes the money stated therein, to the person to whom it is directed, and may frequently be found convenient. For instance, if, in travelling abroad, one's money runs short, and a relation or friend lends a sum, it is the simplest way of acknowledging the debt. It can be written on a visiting card.

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            London, March 14th, 1863.
To Mr. --
        I.O.U. Two Hundred Pounds.

Anne Brown.
        An I.O.U. requires no Stamp and is admissible in evidence, because it merely affords evidence of debt, and is neither a Promissory Note nor a Receipt. Be careful to adhere strictly to this form, and not to add more words, for if a person goes on to state when it will be paid,--for instance, "I.O.U. £200, to be paid on July the 10th, 1863,"--the latter words amount to a promise to pay upon a particular day, and the paper must be stamped, as being a Promissory Note or an Agreement. It is better to take a Promissory Note when you can get it, as being more regular than an I.O.U.

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        Stocks or Public Funds.--Refer to the Daily Papers for the price of the Stocks or Funds. Two prices are often mentioned. The lowest, at which people might have sold. The highest, at which they might have bought. There is little difference from day to day, unless some great political or commercial event has occurred.

        "Consols," is an abbreviation of Consolidated Three per Cent. Annuities. If the Consols are quoted at 92 1/8 to £ it would mean that the public would sell £100 Stock at the rate of 92 1/8, that is, £92 2s. 6d., or but at £92 5s. 0d. Therefore £92 2s. 6d. buys £100 Stock, which always will

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produce 3 per Cent. to the holder of it; or in other words, for each £92 2s. 6d., or whatever it may be, she can get £3 a-year for ever.

        Remember no transaction in the Stock Market can be effected but through the medium of a Broker, whether it be in Government Funds, Railways, or other Securities. By his aid considerable trouble and time is saved, at a small expense. See Brokers and Bankers, page 34.

        Investing in the Stocks.--When you wish to invest any money in the Stocks, or other Securities, your easiest plan is to write to your Banker, who will employ his Broker. Suppose you wish to invest £250, write thus:--

To the Manager of the -- Bank.
        Please to invest in my name the sum of Two Hundred and Fifty Pounds in the Three per Cent. Consols, (or other security as the case may be,) and procure a Power of Attorney for dividends only (when a Power is necessary.)

£250:0:0.Anne Baxter.

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        Dividends are the half-yearly payments of Interest, on the different Government Shares and Stock. They are paid regularly, but generally three or four days after they become due. The transfer books are shut four or five weeks previous to the day on which the dividends become due, for the calculation of interest.

        You cannot receive your dividends at the Bank of England unless you go in person. If therefore you cannot go yourself, you obtain and sign a Power of Attorney for your Banker, or any one you can trust, to enable him to receive the dividends for you. After the first purchase, no new Power of Attorney or Letter of Attorneys for dividends is requisite.

        When you purchase Government Stock, a receipt is signed by a clerk in the Transfer Office at the Bank of England, and countersigned by your broker, and is termed a "Stock Receipt." This will be sent to you. When you buy Stock, you must keep the Seller's receipt, at least until you have received one dividend upon it; it is then

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of less consequence, as the receipt of a dividend shows that the Stock now belongs to you.

        Power of Attorney, or Letter of Attorney, is a stamped letter (if the sum to be received is above £3), to allow one Person on behalf of another to sell, transfer, or deliver Stock of any kind, or to receive dividends.

        To obtain a Power of Attorney, write to your Banker, who will procure and send it to you. You must sign the document with your name in full, or the usual way in which you write your signature, and there must be two witnesses to your signature. These also must sign their names in full, or their usual signatures, and add the places of their abode, quality, or occupation. No person under age can be a witness, nor can the husband or wife of the person signing the power.

        A Stamped Power of Attorney generally costs £1 1s.6d.; but for some Stocks--Bank Stock, East-India Stock, and some others, it is rather more. For sums below £3, it is 1s. 6d.

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        If you wish your Banker to receive your dividends, it is necessary for you to get a Power of Attorney for him, which is lodged in the Bank of England. It is well then to have it made out for dividends only, else he might sell out your Stock, if dishonest.

        When parties attend at the Bank, and execute their own Transfers for the disposal of Stock, a Letter of Attorney is not required.

        A Banker cannot act for any of his customers in the Stocks, without a Power of Attorney.

        For Selling out of the Stocks.--The most convenient plan, especially for the Ladies, is to write to their Banker, and for him to employ his Broker.

        Suppose you want to sell out Stock to produce £1,200, you can write thus:--

Messrs. -- & Co.
        I desire to sell as much of my Three per Cent. Stock as will produce Twelve hundred pounds. Please procure a Power of Attorney to sell sufficient Stock to realize that amount only, and cause the sale to be made.

Ellen Layton.April 3, 1863.

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        N.B.--Remember, whenever a fresh sale takes place, a fresh Power of Attorney is required, unless you are willing to run the risk of giving your Banker or others a Power of Attorney for the whole sum you have in the Stocks. (Not a wise plan.)

        In about two days afterwards, a printed letter will come, directed to you at your address, thus:--

            "Bank of England. --Date.

        "Application has been made for a Power of Attorney for a Transfer of Consols standing in your Name.

        "A Reply to this Communication is only required in case this Application has not been sanctioned by you.

Signed, A.B.Chief Accountant."
        This letter is sent to prevent fraud, and if you have authorized a sale, you need not take any

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notice of it. If, however, you receive such a letter, when no authority to sell has been given, you should communicate immediately with your Solicitor and Banker.

        Suppose the Consols are at 93 7/8, you will receive from the Broker (through your Bankers) a paper like this:--


London, 21, Threadneedle StreetDate.

        Sold for (Here the Banker's name will be put.)
£1,280 Consols 93 7/8 £1,201 :12 :0
Commission 1 :12 :0
£1,200 :0 :0

John Scott, Stock and Share Broker.To A.B.

        Personal Attendance.--In buying into the Government Funds many people (if in London) like to go themselves to the Bank of England. If you prefer to do so, then, after the Broker has given

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you the Purchase Memorandum, usually called Stock-receipt, you must go with him (even though you are a Lady) to the Transfer Office in the Bank of England, and see that the amount of Stock purchased is entered into the Bank books to your name. You must also sign your name in the Transfer books, by which means the clerks will know your signature. The signing your name is called "Accepting Stock." The Bank authorities prefer purchasers doing this personally, as it prevents fraud.

        Signature and Formalities.--In selling Government Stock, write down legibly for your Broker, your name, address, and quality, exactly in the same way as it was entered in the Bank books when you bought the Stock. Your must refer to the same address as, "late of --, --," if you have removed elsewhere.

        The Broker will undertake to see that the Transfer is all right. He will give you a plain account of how much Stock he has sold, and

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what you have to receive. You can then go with the Broker to the Transfer Office, to transfer that amount to the purchaser. It is the Broker's duty to see that all is done properly; and, if necessary, to identify you as having been the possessor of that amount of Stock.

        A Trustee can transfer Stock to another Trustee or to the person for whom he is Trustee, on his majority, without selling it.

        In transferring Stock, Brokers charge 1/8 per Cent.

        Advantages of investing in the Funds.--The convenience of putting money into the Funds is great, because small savings can be readily invested. If you buy in at £80 you will get 3£ per cent. on your money; if at £86, 3£ per cent.; if at 92, 3£ per cent.; and if at £100, 3 per cent. It is advisable to keep your papers secure and unseen by improper persons, to prevent them or their accomplices from applying in your name.

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        Certificates, payable to Bearer.--An Act has been lately passed, authorizing Stock to change their present title into Certificates, payable to Bearer. The transfer of these Certificates will require no Broker, and no formality. They will pass from hand to hand as simply as a Bank-note. Coupons are to be attached to each Certificate for the obtaining of Dividends. The Certificates are to be for £50, and multiples of that sum. Experience only will show the merits and demerits of this newly-proposed scheme. The Act refers only to 3 per Cent Consols, Reduced 3 per Cent, and the New 3 per Cent.

        Stock Loan.--In lending money to a friend, when you have yourself to sell Stock, in order to obtain the money you wish to lend, make an agreement that it should be a Stock Loan; viz. that the same quantity of Stock shall be replaced that you have had to sell out, in order to raise the money. You are thus quite independent of the rise and fall of Consols; otherwise, if the

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Stocks are low when you lend the money, and high when your friend returns it, you will lose materially.

        To ascertain the Value of Stock.--The price of £100 Stock is sometimes above, but more frequently below £100; if above, it is called above par; if below, below par.

        Rule to ascertain the value of Stocks or Shares: Multiply by the price per cent., and divide the product by £100.

        What is the value of £345 of Stock at the price of 81 per cent.?

        It is equal to 81 x 345 / 100 Pounds. The calculation may be made as follows:--
100 ) 27945 (£279 and £45/100;

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but £45 equals 45 x 20 shillings, or 900s., therefore £45/100 is the same as 900/100s., or 9s.. Hence the value required is £279 9s.

        If the price had been 81 3/8ths, we should be obliged to add to the above, 3/8ths of £345/100; or 3/8 x 345 x 20 / 100 shillings = 207 / 8 s. = nearly 26s. or £1 6s.
£279 9s.
1 6
and the required value would be £280 15s.

        Bank Stock is the Capital or Stock of the Bank of England. Dividends are due April 5th and October 10th. The cost of transfer under £25 is 5s.; above that sum, 9s. Power of Attorney, 31s. 6d. Broker's commission, 2s. 6d. per cent.

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        Annuities for Terms of Years.--Dividend due April 5th and October 10th, payable at the Bank of England. Letters of Attorney, 21s. 6d. Brokerage, 2s. 6d. per cent.

        Life Annuities payable at Reduction of the National Debt and Life Annuity Office, Old Jewry, London.

        Three per Cent Consols.--Dividend due January 5th and July 5th.

        Reduced Three per Cent Annuities.--Dividend payable at the Banks of England and Ireland; due April 5th and October 10th. Letters of Attorney, 21s. 6d. Brokerage, 2s. 6d. per cent.

        New Three per Cent Annuities, generally called "New Threes." Dividend payable at the Banks of England and Ireland, and due April 5th and Oct. 10th.

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        New Five per Cent Annuities, or "New Fives." Dividend due January 5th and July 5th.

        New Three-and-a-half per Cent Annuities.--Dividend due January 5th and July 5th.

        New Two-and-a-half per Cent Annuities.--Dividend due January 5th and July 5th.

        Exchequer Bills are Loans to Government for twelve months. They are issued annually, at which time the rate of interest is fixed. They are generally for sums of £100, £200, £500, and £1,000. They have the advantage of being easily converted into money at any time, and of bearing interest up to the day they were either bought or sold. Government generally calls in the Bills at the end of the year (due notice is always given), when the holder has the option of receiving either a new Bill or his £100 with interest. Holders must not neglect to present the Bills on the day appointed, either themselves or through their

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Banker, otherwise they will be deprived of the interest till the next opportunity of obtaining new Bills. Exchequer Bills for small amounts are dearer, in proportion, than those for large amounts. Broker's commission is 1s. per £100, now payable six months after the date of issue at the option of the holder.



        East Indian Stock.--Dividends due January 5, July 5: they are payable the following day. Letters of Attorney, 31s. 6d. Broker's commission, 2s. 6d. per cent. on the amount sold or bought.

        East India Four per Cent Debentures. 1858.--This loan of £8,000,000 was raised on account of the expenses occasioned by the Mutiny. Dividend due April 8 and October 8. Rate of commission, 2s. 6d. per cent. The Debentures have

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Coupons attached to them for the payment of the Dividends.

        East India Four per Cent Debentures. 1859.--This was a Loan for a further issue of Debentures. Dividend due February 16 and August 16. These debentures also have Coupons, or Interest Warrants, attached to them.

        East India New Five per Cent Loan.--A Loan of £5,000,000 raised in 1859 on account of the Mutiny. Interest payable at the Bank of England, due January 5 and July 5. Letters of Attorney, 31s. 6d. Broker's commission, 2s. 6d. per cent.

        East India Bonds are issued for £100, £200, £300, £500, and £1,000 each, payable when there is six months' interest due on them. The Bonds are readily marketable, and therefore a desirable investment, if one is likely to want to turn them into cash. They are transformed simply by a Bill, mentioning their letter, number, and amount,

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together with the premium and interest up to the day of transfer.

        If they should be at a discount, the discount would be deducted from the amount of the principal and interest. They are payable March 31 and September 30. The Broker's commission is 1s. 0d. per £100.

        Canadian Debt (Bonds and Debentures).--Dividend, due 1st January and 1st July, payable at Messrs. Glyn, Mills, & Co., or Messrs. Baring Brothers.

        Victoria Railway Loan (in Australia).--Debentures bearing 6 per cent. interest, in amounts of £1,000, £500, and £100 each. Redeemable October 1st, 1883. Dividend due 1st April and 1st October, at the London and Westminster Bank and London Joint-Stock Bank.

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        When you want to purchase, write to your Banker or Broker, state the Railway you wish to invest in, and the amount. He will send you a statement of all the expenses attending the entire transaction, such as the quantity of Shares or Stock, commission, transfer-fee, stamps, &c. Send him a Cheque for the amount at the date stated on the purchase-note. The Broker, having the money, will complete the purchase, and send you the transfer paper or papers, for you to sign in the presence of a Witness. Return them to him as soon as you can, that he may have them registered at the Railway Company's Office. When this is done, the Broker will supply you with vouchers, in proof of the Shares having been so registered in your name. Most of the Railway Companies now arrange that their Shares shall represent Stock (a certain number of Shares to £100 Stock). In this case, one document only is necessary for the whole amount.

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        If you want to sell any of your Railway Shares or Stock, write to your Banker or Broker, state what Railway, and the number of Shares or amount of Stock.

        Debenture Bonds, especially Railway Bonds, are generally issued for an agreed period, which terminates usually in three, five, or seven years, at a fixed rate of interest. It is a convenient kind of investment. The holder of the Bond has generally the option of renewing it, on the same or other agreed terms. The Secretary of the Company will always write to you some weeks before the Bond becomes due, asking whether you will renew on certain terms stated in his letter, or whether you desire to have it paid. If you are willing to renew it at the expiration of the term (even though it may bear a different rate of interest) no new stamp will be required. To the Debenture Bond are attached Coupons, or Interest Warrants, which are generally small pieces of paper a few inches in length: one has

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to be cut off every half-year and sent to your Bankers, and sign your name at the back. Some Companies require a Draft or Receipt Stamp on the back of the Coupon, and some do not. This will be arranged for you by your Banker. Write a note to your Bankers at the same time (unless you take it yourself). They will procure from their London Bankers the sum marked on the Coupon, after deducting the Income-tax.

        You can write thus--

To -- Bank.
        Gentlemen,--Please send the enclosed to be cashed, and place the amount to my credit. Have the goodness to acknowledge its receipt.

        Some people leave their Debenture Bonds, with the Coupons attached, in their Banker's hands, to cut off and present when severally due; but it is better to retain the Bond and send the detached Coupons only to your Banker.

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        Broker not essential.--Putting money into Railways, for a Bond or Debenture, does not necessarily require the assistance of a Broker. You can write direct to the Company. For instance, if you have two thousand pounds to invest, write thus--

To the Secretary of the -- Railway.
        Sir,--I have two thousand pounds which I wish to place on Mortgage in your Railway Company. I request you to inform me for how many years your Debenture Bonds run, and what rate of interest you will allow.

Yours, A.B.My address is --
        Then, if you are satisfied, you can write--

        Sir,--I have received your letter of the --. The two thousand pounds has this day been paid by my Bankers to the credit of your account at -- Bank.

Yours, A.B.
        N.B.--The Banker will give a receipt, pending the delivery of the Bond by the Company.

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        For renewing a Bond--

        Sir,--Please to inform me whether, and upon what terms, you are willing to renew my Bond of two thousand pounds in your Company.

Yours, A.B.
        Then, if you are satisfied with his reply, write--

        Sir,--I am willing to renew the Bond for £-- on the terms mentioned in your letter, viz. (here state the terms). I will send the security before the present term expires.

I am, Sir,Yours,A.B.
        N.B.--When you send the Debenture Bond, register it, and get a receipt and write, "Please send an acknowledgment by return of Post of the arrival of the Debenture Bond."

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        If you wish the Bond not renewed, write--

        Sir,--The Bond for £--, which I now hold, will be presented for payment when it becomes due.

I am, Sir,Yours, A.B.Please acknowledge the receipt of this letter.
        Just before the expiration of the term write--

        Sir,--Your Bond of two thousand pounds will be at my Bankers, Messrs. --, in London, who have instructions to give it up upon your paying the money I have lent you.

        Before sending the Bond to your Banker to present for payment, write the following receipt on the back of it:--

        Received the within-named principal sum of £--, together with all interest due thereon.


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        Debenture Stock.--This is created by Railway Companies to extinguish gradually the debt incurred on Railway Stocks, and ranks in point of security with Guaranteed or Preference Stocks, and is perpetual; that is, the principal is not to be paid back by the Company, but can be sold in the Market like other Shares or Bonds. The interest is payable half-yearly, and the security equally good with the Bonds.

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        WHEN a new undertaking, such as a Canal, Railway, Gas, Water-works, &c., is about to be commenced, the first thing is to raise money or Capital to meet it, which is generally done by offering Shares to the Public, say of £100 or £50 each. If £1,000 is wanted, the Company may offer ten Shares at £100 each, or twenty Shares at £50 each.

        At the end of each year, the sum which has been received (if a Canal or Railway, from the traffic on it), after paying all necessary expenses of management, keeping in repair, &c., is divided equally among the Shares. Suppose £500 is

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cleared at the end of one year, and there are one hundred Shares, that Dividend would be £5 on each Share. If the Company had much traffic, it might clear £6, £7, or £8 on each Share.

        As the traffic is not always the same, so the Dividends are not always the same, but vary; and should a second Canal or Railway be made, more convenient to the Public, it would, of course, materially reduce the traffic, and consequently the Dividend, of the first; and that would lower the value of the Shares. This is the reason why Shares are less safe than Bonds, Loans, &c. which do not vary in their value.

        The Shares are sometimes turned into Stock, which has this convenience:--You may buy any quantity, large or small, but you could not have bought a part of a Share.

        Premium.--If the Share-property is prosperous and the Dividends are good, the price of them will be regulated accordingly, and purchasers will give more than £100 for £100 of Stock--say

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£102; this is called being at 2 premium. If the market price was exactly £100, they would be "at par."

        Discount.--On the other hand, the Share-property may not pay a good Dividend, owing to the want of traffic, or want of confidence in the management of it, or the fear of a rival competition. The Shareholders may take fright, and wish to get out of the concern, and be willing to part with their Shares for an amount under the £100--say £97; this is called being at £3 discount.

        Shares are influenced by many other causes than the above. Shareholders should not therefore take fright, every time the Shares go down, and sell out, but be advised by some competent man of business before selling out at a loss.

        Preference Shares.--A Company sometimes wants to increase its Capital. Perhaps the Rail-

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way or Canal requires lengthening, to reach some other town, and wants money for the purpose. One plan is to create Preference Shares; thus, the Company may fix--viz. £10, or £20, or £50 Shares, and those they do not take are then offered to the Public. The Dividend upon these Shares is fixed, say 4£ or 5 per cent., and is paid in preference, i.e. before the ordinary Shareholders receive Dividend upon the original Stock.

        The advantage of these Preference Shares is, that even if the concern should not be flourishing, still the Dividend on them will be paid, as long as the net annual income is sufficient, even if there is nothing left to pay anything to the ordinary Shareholders.

        New Shares and Calls.--Another way adopted by a Company to increase its Capital is by creating new Shares. The Company, having an increasing traffic, wants increasing Capital. It

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offers to cash Shareholder as many new as he original Shares, or in such proportion as the Company may choose to offer them.

        Suppose you have two old Shares, it offers you two new ones of £20 each; on which it "makes a Call" of £2 a year, or at such intervals as it wants money, till the £20 is all paid up. You pay the £4 when called for, and for that you are paid at the same rate of Dividend as on the old Shares, unless otherwise agreed upon. Should the Company be remarkably prosperous, you may sometimes sell them immediately, at a good premium: there are cases when you may sell the Share on which you have paid only £2 for £5, viz. £3 premium. You should always accept these promising Shares when offered, if you hear they can be sold at a premium, because you may sell them and make money, or you can keep them yourself, and pay the Calls when they arise. These Calls are useful, to those who save money, as a mode of investment for small sums, both because they bring a better percentage than

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Shares, on which all the Calls have been paid, and because no expense attends the investment.



        Another way which Companies have of raising money is by Loans on Debenture Bonds. They want perhaps a large sum at once, to make some great improvement, which they hope by degrees to pay back. They then offer to receive Loans from anybody, for a certain term of years, paying a certain interest, which varies according to the then state of the Money Market, perhaps 3£ or 4 per cent., which careful people are glad to accept, because of the safety of their principal.

        The more unsafe the concern, the higher the interest it offers, in hopes of catching the reckless and unwary; but an inexperienced person should consider, that if money can be borrowed by safe concerns for 4 per cert. no one would offer 5 or more, unless they knew their credit was not good. This high interest is often paid out of the capital,

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as long as it lasts, and when that is gone the whole concern comes to an end, and the lender may be ruined. Where the concern is good, and the interest fair, a Loan on Debenture Bond is one of the safest ways of investing money; as at the end of the term you have the whole of your money back, and the interest on Loans is paid before Preference Shares or any Shares.



        A person wants, perhaps, to raise a sum of money. He does not like to sell his land, therefore he offers a Mortgage upon it. Say he wants £1,000. You, wanting to invest that sum, lend it to him, at the interest of the day--say 4 per cent.; and he gives you as security the Deeds of his Estate, which should be to the value of £1,500 at the least, so that, if he fails to pay you back your £1,000 at the time fixed, you can sell his Estate, and, after paying all the expenses of
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the sale, find a sufficient surplus to insure the repayment of what you lent.

        A good Mortgage is an excellent investment, like the Loans; but much care is necessary, and your own Attorney should always carry out the transaction, and should ascertain that there has not been a previous Mortgage raised upon the Estate, and that the person may be depended upon for paying the interest regularly, as you would naturally hesitate before having recourse to legal measures to obtain it. Here, as in Loans, where a higher percentage is offered than is given by the Money Market, you may be sure that there is some difficulty in borrowing, owing to the credit or security not being good, as no man will offer more interest than he is obliged. The Borrower always pays his own expenses, the expenses of the Lender, and the Lender's Attorney.

        Buildings, and especially trade buildings, are much less satisfactory securities than land.

        Lending money on Mortgage requires great

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caution as to the character of the person borrowing. Unsuspecting persons have often been victimised when all has previously appeared properly done.

        Suppose Lady A. lends money to Mr. B., on the understanding that the whole money is to be repaid, say at the end of seven years, and that 4 per cent. interest is to be paid Lady A. each year. Now suppose B. neglects to pay interest. Lady A. wants her money; but, too late, she finds that she cannot make a legal title to sell B.'s land. This may go on for years, till poor Lady A. is only too happy to sacrifice all interest due to her, so that she may get her principal again, which is just the fraud this Mr. B. has meditated upon all along.

        It may be suggested that the Lawyers should see to this. But, in practice, it often happens to Ladies to be quite indignant at the suggestion of their Lawyer, as to the substantial character of Mr. B., who may be a personal friend or a connexion of a deceased husband, and has attracted her partisanship by means of a persuasive tongue.

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        A Mortgage should always contain a power for the Lender to sell in the event of the interest falling into arrear.

        Title-Deeds of an Estate are the visible tokens of the ownership of the person in whose custody they are; and, when buying an Estate, if you always make a point of employing your own Attorney to carry out the purchase, he will be bound to see that they are either given up to you, or that the person entitled to the possession of the Deeds enters into proper convenants for their production.



        Inquiry about a proposed Investment.--

        M-- G-- presents her compliments to --, and wishes to put out about £-- in a Loan in the -- Company, and will be obliged to him to answer the following questions, and write them down in ink on this paper, and return it to her.

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        She has left a space for the answers, and enclosed a stamped envelope, ready directed to herself, to save unnecessary trouble.

        Can you receive the sum of £-- on Loan on Debenture Bond?


        What interest will you allow?

        When is it payable?

        Who are your Bankers?

        How can the money be sent from the -- Bank in --?

        Is notice required, and if so, how much, previous to withdrawing the money?

        Address to -- at --.

        If anything occurs necessary to mention, Miss G-- requests Mr. -- to do so.

(Add date.)

        When Dividends are in arrear, write--

        Gentlemen,--Not having received the Dividend due to me for the -- Share I hold in your Company, I shall be obliged by your forwarding it to Messrs. --, Bankers in London, to be placed to the credit of my account at the -- Banking Company in --.

(Sign name; add date and address.)

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        Useful forms of letters to your Broker:--

        (1.) Sir,--Please to sell for me Six Shares in the -- Company, at the market price (or not under -- Pounds). Please to pay the amount realized to my credit at -- Bank.

(Name, date, and address.)

        (2.) I beg you to inform me what sum I am to pay if I take one of the new Shares offered to me in the B-- Company.

        (3.) I have written by this Post to my Bankers, Messrs. -- in Derby, requesting them to remit to your London Banker, Messrs. Coutts, the sum of -- Pounds, for the (two) new Twenty-Pound Shares that are allotted to me as Proprietor in the -- Company.

        I request a receipt for the money.

        (4.) I beg that my Dividends may be paid to my account at Messrs. -- at Derby.

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        In purchasing a House, bear in mind that in calculating the interest you will receive on the money spent in buying it, you must deduct from the gross rent you expect to receive, not only the cost of repairs, the land-tax, the insurance against fire, but the money which would fail you if the House remained unlet for a time. If you employ a person to collect the rent, a certain amount of commission will be required by him, and will be the cause of further deduction.

        In hiring a House, it is customary for the Tenant to pay all taxes, rates, and charges, except

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the property-tax, land-tax, and public-drainage-tax, if there be any; these the Landlord pays.

        In selling a House, if you employ an Agent, come to an understanding beforehand what is his charge for commission, and have it written down, otherwise you are liable to an exorbitant demand.

        In hiring Furnished Lodgings or a House, be careful to have a written agreement. Have entered into it any window panes that are broken or cracked; the same with all china and table glass. Have written down (if any Servants are left in the House) how much attendance is to be given; how much firing, house-linen, and plate; what notice is required previous to leaving; whether there are any extra charges, and if so, what they are.

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        Useful Form:--

        Mrs. Jones agrees to let M -- a sitting-room and two bedrooms, for the sum of -- per week, from this day [or Monday, or Tuesday week]. This sum includes every expense of all kinds. No extras for use of House linen or plate, nor anything else, except for the washing of the House linen and for coals. The coals to be charged as follows: For Drawing-room fires, -- per day; Bedroom fires, -- per night when used.

        Either party can end this agreement when they please, giving three days' notice of their wish to do so. The proportion of rent up to the day of leaving is to be paid, and not to the end of the complete week.

Anne Jones.            Ryde, 27th August 1863.

        A Midsummer Let or Take is the taking of a House from Midsummer to Midsummer. When the Tenant wishes to leave, the notice must be given previous to Christmas Day--in short, six months before Midsummer.

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        A Lady Day Take requires notice to quit on or before Michaelmas Day.

        Notice to Quit.--When you wish to give notice to quit to a Tenant, the legal form is as follows:--

        I hereby give you Notice to quit and deliver up, on the -- day of -- next ensuing, or on such other day or time as your tenantcy shall expire, after the expiration of six calendar months from the service of this Notice, the peaceable and quiet possession of all that Messuage or Tenement, Garden and Premises, which you now rent of or hold under me, situate in --, in the Parish of --, in the County of --. Dated the -- day of --, One Thousand Eight Hundred and --.

To A.B.            (Name, date, and address.)
        Arrears of Rent.--When your Tenant does not pay, write to your Agent--

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        Sir,--I find that Mr. A.B. has not paid his Rent, which became due -- last. Please write to him on the subject, and inform him that for the future I shall be obliged by his paying it on the proper days, viz. -- and --.

To Messrs. E.F.            (Name, date, and address.)

        Sir,--I am much disappointed at my new Tenant having commenced so early to be in arrear. Please give him a month's notice, at the expiration of which time I expect the whole amount to paid, without fail, to the credit of my account.

To Messrs. E.F.            (Name, date, and address.)
        Insurance against Fire, for House, furniture, pictures, &c., is a precaution which should never be neglected or delayed. It must be paid when due, or you forfeit the benefit should a fire take place. If a stove is in or at any time added to the House, it must be mentioned in the Policy.

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Ascertain from your Attorney or Banker the name of a respectable Insurance Office, and then apply to the Agent, and he will relieve you of any further trouble.

        Appeals against Rates.--The grounds upon which parties may appeal are--inequality, unfairness, or incorrectness in the valuation of the Property rate. (See "Every Man his own Lawyer." Lockwood & Co. 7, Stationers' Hall Court, price 6s. 8d.)

        Liabilities of Tenants.--In taking a House, it is of great importance to know the many liabilities you incur, as from ignorance a person may be led into much unnecessary trouble and expense. As it is a subject of itself, and too long to describe in a work like this, I strongly recommend those intending to buy or rent, the latest edition of a little sixpenny book, called "Landlords, Tenants, and Lodgers," by James Bishop; Dean & Son, 11, Ludgate Hill, London.

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        GENERALLY consist of the lady's fortune, and a certain proportion of the gentleman's, which are placed in the hands of trustees, to secure a small but certain income for herself and children, in case of her husband's death or bankruptcy. No prudent woman should marry without this provision, as, if it is made before her marriage, however much in debt her husband may become, from extravagance, or misfortune, her settlement money cannot be made liable.

        The Trustees of a Settlement or Will are responsible for the loss or misapplication of the

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money entrusted to them, if any is lost through their gross carelessness, and they are liable to make it good. Any one accepting this Office should thoroughly understand what he undertakes, and never act without the advice of a lawyer, particularly when asked to give consent to a change of investment. He should never, on any account whatever, consent to any investment not authorized by the Will or Settlement. He must also recollect that, though entitled to be repaid all reasonable expenses incurred in his Trusteeship, or in taking advice, &c. he can never make any profit by his Office. A Trustee, or his co-Trustee, should have the Marriage Settlement and all Deeds, Share and Stock Certificates, &c. connected with the Trust, in his hands or in those of a lawyer, and never leave them in the husband's keeping. When so much responsibility is entailed with it, it is but fair that, on accepting the office, a Trustee should be made fully cognisant of what he undertakes, and what his duties are, and as little trouble should be given him as

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possible. He should be put to no expense of postage or otherwise. When sending him papers, &c. to sign, enclose the right number of postage-stamps on a proper-sized envelope, addressed to yourself, so that he has nothing to do, after signing, but to re-inclose the papers and send them. A Trustee's office is a burthensome and usually a thankless one, but it is a duty to accept it when appealed to by a near relation.



        The following instructions should be strictly followed in executing a Will. First, never make one if you can possibly help it, without the aid of a lawyer. Secondly, if there be none to be had, and the case is urgent, the following regulations must be attended to--

        1st. The date should be inserted.

        2d. You must then, in the presence of two witnesses, sign the Will on each sheet of the Will (if it is written on more sheets than one), at the

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bottom of the writing, and say, in the presence and hearing of the witnesses, "I publish and declare this to be my last Will and Testament."

        3d. The witnesses should then sign their names and add their addresses and qualities at the end of an attestation clause, which may be in the form following, viz.: "Signed by the Testator as his Will, in the presence of us present at the same time, who at his request, in his presence and in the presence of each other, have subscribed our names as witnesses." This must be done at one time, and you and the two Witnesses must continue together until every signature is completed. The witnesses must not be the husband or wife of the Testator or Testatrix, or interested in any way (directly or indirectly) under the Will.

        Executor to a Will is a person appointed to carry out the instructions in the Will.

        In making a Will, be careful to appoint two or more Executors, for if no Executor is appointed,

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your friends have to apply for Letters of Administration before they can execute the Will. This is expensive, and must be paid out of your estate. If one of your Executors should die in your life-time, immediately appoint another. If time admits, always get the promise of your friend to act as Executor before appointing him.

        Intestate.--That is, leaving no Will at your death. In this case, also an Administration becomes necessary, and the Government duty and other expenses are materially increased, to the loss of your family.

        Letters of Administration will be granted on application to the District Registrar of the Probate Court within which the deceased was resident at his death.

        Make a Will as soon as you have any property to dispose of. Make a point of reading it over once a year on a stated day--say your birthday.

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Circumstances are constantly changing which require a corresponding change in your Will. Much injustice may be avoided by attending to this rule. Marriage operates as a revocation of a Will previously made, so if you marry, bear this in mind, and write another as soon as you can.



        In all special matters of business in which you have to employ a third person, such as an Agent, Broker, Commissioner, &c. an inexperienced person should ascertain before employing him what his charges are. It saves annoyance on both sides when the agent's bill comes in, and prevents an overcharge being made, which it is difficult and disagreeable to settle satisfactorily afterwards. There is certainly the resource of the County Court, but it is not every one, especially when a lady, who likes to appear there to give evidence. Even if they do so, ladies have small chances in
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their favour, under a severe and ungenerous cross-examination.

        Servants' Characters.--Some people keep a small book, in which they enter the Servant's name, age, and qualification; where he lived last, and when he entered their service, &c. On the following pages, they write the receipt for him to sign. This is very convenient, as it is easy of reference when you are asked the character of a Servant. The character of a Servant should be carefully kept; if a good one, it may be of great consequence to him, as many employers object to give the same person a character twice.

        Servants' Wages, &c.--Much may be done by a little method, such as paying Servants their wages at stated times. Quarterly is generally preferred; for instance, if a Servant enters your employment in February, pay him or her up to the quarter at Lady Day, finding out by a wage table (which is in the Ready Reckoner, and also in most Almanacs)

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what you owe, and then continue to pay at the usual quarters.

        Each Servant should give a receipt with a stamp, if above £2, and sign a receipt like this:

        Received of C.D. the sum of £8 6s. 6d. in full payment of my wages, up to this -- day of --, 1863.

John Baring.
        Servants are entitled to be paid their wages monthly. In the event of Bankruptcy they are entitled to be paid a sum not exceeding three months' wages in full, and have the preference of other creditors.

        Hiring.--At the time of hiring, in order to avoid future disputes, it is necessary to come to a distinct understanding whether the Employer or Servant provide washing, and whether tea, sugar, and beer, are or are not included in the wages. Also, if perquisites are allowed or not.

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        Agreements in writing for the hire of Domestic Servants are exempt from duty.

        Book about Servants.--There is an excellent book published "On the Rights, Duties, and Relations of Domestic Servants and their Masters and Mistresses," by T. Henry Bailiss, M.A. Barrister-at-Law; published by Sampson Low and Son, price One Shilling.



        If called upon for a Vote to a Hospital or Bookclub, &c. write thus, unless a special form is sent:--

        I, A.B. give my vote to C.D. for the H-- Institution.

(Date and Residence.)

        I hereby depute C.D. to vote as my Proxy in favour of -- at the ensuing election of a (Surgeon at the -- Infirmary.)

A stamp of 6d. value must be attached.

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        Income Tax is frequently altered by Act of Parliament: the change generally takes place on April 5th. If charged for Income Tax when you are not liable for any, write to the Surveyor of Taxes thus:--"This whole of my income is derived from sources from which the Property Tax is deducted previous to the several amounts of which it consists being remitted to me." No person whose income is less than £100 a-year is liable to pay Income Tax, and any one who has an income exceeding £100, but less than £200 a-year, is relieved from all tax in respect of £60 of such income, i.e. if your income is £140 a-year, the tax is only payable in respect of £80. The Income Tax on Dividends is generally deducted by the Government or by the Company paying the same, and if you are not liable to pay, or if too much has been deducted, your way to recover the amount is to apply to the Surveyor of Taxes.

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        The Income Tax must, in the first instance, be paid by the Tenant, but the Landlord subsequently repays it to the Tenant on payment of the rent.

        Assessed Taxes are Taxes on Horses, Male Servants, Carriages, Dogs, Hair-powder, Armorial Bearings, Game Duty, Stage-coach Duties, &c. The Charges may be found in most Pocket-books, and any information you may require may generally be obtained by a written or personal application to the Assessor of Taxes, residing in the parish where the Tax is assessed or imposed.

        Easter Dues.--A clergyman can claim fourpence a head, but generally more is given.

        On receiving a Deed, acknowledge its receipt by return of post, specifying in your letter what it is you have received.

        Ground Rent, to Redeem.--Multiply the yearly rent by 30, for thirty years' purchase, add 10 per

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cent.; you will then find out the sum. When the Funds are low, it is a good thing to redeem it, because you may pay in Consols instead of in money.



        Thirty Years' Purchase.--In reckoning the value of land, people say, "It is worth so many years' purchase." Thirty years' purchase is an average value. The meaning of the phrase is, that the price asked or obtained for the property is thirty times its rental.

        To find the Interest of a Sum of Money--for a year, multiply the principal (which is the money you have invested) by the rate per cent.; divide the product by 100: the quotient is the interest for one year.

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        Example.--What is the interest of £425 for four years at 5 per cent. per annum?
5 (rate per cent.)
This, being divided by 100, is £21 and £25/100; or 500/100 shillings; or 5s. Therefore, the interest for one year is--
£ s. d.
21: 5: 0
4 (number of years).
£85: 0: 0 interest for four years at 5 per cent.

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