V ^^ > IMAGE EVALUATION TEST TARGET (MT-3) 1.0 1.1 11.25 i5.o ^^^ MMIB Ui M 12.2 ^ no 12.0 i Ml V] 7; /: /A r o / Photographic Sciences Corporation 23 WIST MAIN STREET WEBSTER, N.Y. 14580 (716)S72-4S03 ^B ^4, M CtHM/ICMH Microfiche Series. CIKM/ICMH CoHection de microfiches. Canadian Instituta for Historical Microraproductiono / Institut Canadian da microraproductions historiques ^ ^ Technical and Bibliographic Notat/Notas tachniquas at bibliographiques Tha instituta has fittamptad to obta'n tha baat original copy available for filming, ^'eaturea of this copy which may be bibliographically unique, which may altar any of tha imagea in tha reproduction, or which may significantly change the usual method of filming, are checked below. Coloured covers/ Couvsrture de couleur . 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This item is filmed at the reduction ratio checked below/ Ce document est filmA au taux de reduction indiqu* ci-dessous. 10X 14X 18X 22X 28X 30X ■J 12X 16X 20X 24X 28X 32X ^^ Th« copy filmed h«ra hat b««n rtproduetd thiinkt to th« g«n«roaity of: L'oMOmplairo fiimA fut roproduit grico k la ginAroalt* da: Ltgiilature du Quebec Qutbec Tha imagaa appaaring hara ara tha baat quality poaaibia eonaldaring tha condition and laglbillty of tha original copy and in icaaping with tha fllnting contract •pacificadona. L^islature du QuMmo QuMmc Laa imagaa auhi'antaa ont dtA raprodultaa avae la plua grand aoin, compta tanu da la condition at da la nattatA da I'axamplaira flim4, at an conformity avac laa conditiona du contrat da flimaga. Original copiaa In printad papar covara are filmad beginning with tha front covar and anding on tha laat paga with a printad or iiluatrto:?** Impraa- sion. or tha back covar whan approprlat i. 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IMeps, plataa, charta, etc., may be filmed at different reduction ratioa. Thoae tco lerge to be entirely included In one expoaure are filmed beginning in the upper left hand comer, left to right and top to bottom, aa many frames aa required. The following diagrama iiluatrata the method: Lee cartea, planchea, tableaux, etc., peuvent Atre filmis A dee taux de reduction diff Arents. Loraqua le document eat trop grand pour Atre reprodult en un aaul cllchA, ii eat filmA A partir de I'angle aupAriaur gauche, de gauclw A droite, et de haut en baa, an prenant le nombre d'imegea nAceeaalre. Lee diagrammas sulvanta illuatrant la mAthoda. 1 2 3 1 2 3 4 5 6 1 CREDIT FONCIER FRANCO-CANADIEN. CAPITAL, PAID UP, $8,000,000. 1,280,000 PARIS OFFICE, QUEBEC OFFICE, MONTREAL OFFICE, TORONTO 0FFIC2, 3 RUE D'ANTIN 56 ST. PETER STREET 114 ST. JAMES STREET - MAIL BUILDING iisTZPORns^^A-Tioisr RflBPKCTINO THE OPERATIONS OF THE COMPANY iQontceal : 1881. fA iS> I. K,- ( CREDIT FONCIER FEANCO-CANADIEN. CAPITAL, PAID UP, $8,000,000. 1,280,000 ''-:r- PARIS OFFICE, QUEBEC OFFICE, MONTREAL OFFICF, TORONTO OFFICE, 3 RUE D'ANTIN 56 ST. PETER STREET 114 ST. JAMES STREET - MAIL BUILDING IlSriFORDN^J^TIOIT RESPECTING THE OPERATIONS OF THE COMPANY. iHontteal ; 1881. ;n it •( J' K BOARD OF MANAGMENT. I I « Paris Committee. Brice, RENfe, Deputy, Censor of the Credit Fonder de France. Brolemann, Georges, Director of the Sociiti Ginirale, the Credit Lyonnais and the Banque Hypothicaire de France. Hentsch, Albert, of the firm of Hentsch, Lutcher & Cie. DucLERC, EuGfeNE, Sc.'ator, late Vice-President of the Senate, Director of the Banque de Paris et des Pays-Bas. HuARD, , Director of the Cridit Fonder Egypt ien, late Director of the SociHi Ginirale. M ANNBERGUER, FRfeofeRic, of the firm of Pirierfreres db Cie. MoLiNARi, GusTAVE DE, Corresponding Member of the Institut, late Chief Editor of the ''^ fournal des Debats " Renault, Le:on, Deputy, late Prefect of Police, Director of the Banque Hypothecaire de France. Thors, Joseph Henri, Assistant-Manager of the Banque de Paris et des Pays-Bas. ( f* JJ Canadian Directors. Beaudet, Elisee, M. P. P., Director Banque Nationale, (Quebec). Chapleau, Hon. J. A., Q. C, Premier of the Province of Quebec. Paquet, Hon. E. T.. M P. P., Provincial Secretary. Thibaudeau, Hon. Isidore, President Banque Nationale, {Quebec^. Workman, Thomas, President Molson's Bank Wurtele, J. S. C, Q. C, M. P. P., Officer of Public Instruction of France. Ill Censof 8. Drolet, Gustave a., Advocate, Chevalier de la Legion d'ffon- neur, (^Montreal). Von Hemert, Charles Auguste, Banker, {Paris). OFFICERS. Fresidmt Hon. E. Duclerc, {Paris). Vice-President Hon. J. A. Chapleau, {Montreal)^ Delegate in Canada J. S. C. Wurtele, {Montreal). Delegate in France J. H. Thors, {Paris). MANAGERS. Montreal Division. Barbeau, Edmond J., Director of the Savings Bank, of the London and Liverpool and Globe Insurance Company, and of the Sun Mtttual Assurance Company. Quebec Division^ Beaudet, Elise:e, M. P. P., Director 0/ the Banque Nationale. Ontario Division. Walter Gillespie, late Commissioner of the Trust and Loan Company of Canada. \ . SOLICITORS. Montreal Division : Dfismfe Girouard, Q.C, M.P. Quebec Division : Come A. Morisset, Q. C, and J. E. A. de Sainte George. Ontario Division : William H. Beatty, of Beatty, Miller, Biggar & Blackstock. a. y OPERATIONS OF THE COMPANY. The purposes of the Credit Foncier Franco-Canadien are : I Hypothecary or mortgage loans, either for a long term with payment by annuities, or for a short term without amortization. II. Loans on security of hypothecary or privileged claims, or of mortgages, either for a long term with payment by annuities, or for a short term without amortization. III. Loans, for long or short term, to municipal or school cor- porations, or to fabriques. IV. V^e acquisition, by way of transfer or subrogation, of hypo- thecary r privileged claims or of mortgages on real estate. V. The purchase of bonds and debentures issued by municipal or school corporations, and by incorporated companies doing business in the Dominion. VI. The purchase of public funds. The operations which the Company principally favors are hypo- thecary or mortgages loans redeemable by annuities. il / CONDITIONS OF LOAN. t,i> * 1 ..■ •' "• GENERAL CONDITIONS. The amount of a loan must not exceed the half of the estimated - value of the real estate given as security. The valuation is made on the double basis of net revenue and market value. The Company only lends on first hypothec or mortgage. It does not accept as security :— mines and quarries, .wood lands. undivided properties, nor properties of which the usufruct and the ownership are not combined. A loan by means of which registered claims are to be repaid is considered as made on first hypothec or mo* tgage. If among the claims there are some which cannot be imme- diately repaid, this circumstance will not prevent the realization of the loan. The contract of loan makes mention of the fact and a sufficient sum remains deposited in the hands of the Com- pany till the moment when the registered claims can be repaid. The sum thus retained yields for the profit of the borrower interest at the rate of five per cent, per annum. First hypothec or mortgage may be assured to the Company : I St. By subrogation. 2nd. By grant of priority, or the cession of hypothecary rank conferred by the prior creditor. Hypothecated or mortgaged real estate which is liable to des- truction by fire must be insured at the cost of the borrower; and the indemnity due in case of loss must be transferred to the Company. The insurance must be effected with an approved company show- ing guarantees of soundness ; it must be maintained during the continuance of the loan. The Company reserves the right of paying the annual premiums itself; and in such case the amount is added to the annuity, or is re-paid half-yearly with the interest. The borrower may pay before the stipulation term by paying an indemnity on the capital repaid in advance of one and a-half per cent. He profits by the reduction effected at the time by means of his payments of the annuity. Every partial payment causes a corresponding reduction in the annuity or half-yearly interest, The Company leaves to the borrower the choice of the notary, so as to avoid any change in professional services. This rule is departed from only in exceptional circumstances. §11 LONG TERM LOANS. The duration of these loans varies from 1 1 to 50 years, as the borrower may desire. + r \ ( ci. They are redeemable by annuities, comprising : the interest and the amortization to be determined, according to mathematical rule,, by the rate of interest and the duration of the loan. They are made at an interest of six per cent, per annum. The annuity is payable half-yearly, on the 1st of June and the- 1st of December. The annuity must not be greater than the net revenue which the property appears capable of yielding. The interest only is due from the contracting of the loan to the expiration of the first half-yearly term ; the first half-yearly pay- ment of the annuity is paid at the expiration of the secorid tertn. The distinctive character of loans of this nature is, that the suc- cessive payment of annuities progressively extinguishes the capital of the debt. In this way, after having paid during the period agreed upon, the stipulated annuity the borrower is absolutely iree from debt, while his annual payments have been but little more than the amount of the interest. The borrower owes only the amount of the annuities. As long as he pays regularly, the Company cannot ask him for the repayment of the capital ; but he has the option, if he desires it, to repay at any time either the whole or a part of what remains due. IN A word: the capital can never be demanded; — THE DEBT IS progressively DIMINISHED ; — THE BORROWER HAS ALWAYS THE PRIVILEGE OF PAYING IN ADVANCE. In all these cases, the interest of the borrower is considered, while that of the Company is subordinate. The following tables of annuities, and of the progress of the amortization complete the explanations which have been given. «*% 6 ..V- ,;' . TABLE ^ /./■' Of annuities, calculated at the rate of six per cent, per annum, according to the number of years fixed upon for ■ the extinction of the debt. ? Duration of Annuity per Duration of Annuity per Loan. $100.00. • Loan. $100.00. $ c. $ c. 1 1 yrs. 12 68 31 yrs. 7 18 12 " 11 93 32 " 7 10 13 " 11 30 33 " 7 03 14 '* 10 76 34 " 6 96 15 " 10 30 35 " 6 90 16 " 9 90 36 " 6 84 17 " 9 55 37 " 6 79 18 " 9 24 38 " 6 74 19 «' 8 96 39 " 6 69 20 " 8 72 40 " 6 65 21 " 8 50 41 " 6 61 2J " 8 31 42 " 6 57 23 8 13 43 " 6 53 24 7 97 44 " 6 50 25 " 7 82 45 '• 6 47 26 " 7 69 46 " 6 44 27 " 7 57 47 " 6 42 28 " 7 48 48 -' 6 39 2;> " 7 36 40 " 7 37 30 " 7 27 [ 50 " 1 6 35 v mai t 1 '. 7 V \^ 4 TABLE Of the progress from year to year of the amortization on $100, borrowed for 15 years. Years 1 Amount ^^^^^•\ paid off. Amount remaining due. Years. Amount paid off. Amount remaining due. 1 $4 30 2 8 85 3 13 68 4 18 79 5 24 22 $95 70 91 15 86 32 81 21 75 78 11 12 13 14 * 15 $64 32 72 48 81 12 90 29 100 00 $35 68 27 52 18 88 9 71 6 7 8 . 9 10 29 97 36 06 42 52 49 37 56 63 70 03 63 94 57 48 50 03 i 43 37 • ■■■••• J TABLE Shewing the progress from year to year of the amortization on $100, borrowed for 20 years. Y^ara. Amount paid off. Amount remaining due. Years. Amount paid off. Amount remaining due. 1 2 3 4 5 $2 72 5 60 8 65 11 89 15 32 $97 28 94 40 91 35 88 11 84 68 11 12 13 14 15 16 17 18 19 20 $40 70 45 86 51 33 57 13 63 27 $59 30 54 14 48 67 42 87 36 73 6 7 8 9 10 18 96 22 82 26 91 31 24 35 83 81 04 77 18 73 09 68 76 64 17 69 79 76 70 84 02 91 77 100 00 30 21 23 30 15 98 8 23 I SP J \ ^ D .c'- TABLE Shewing the progress from year to year of the amortization on $100, borrowed for 25 years. Years. Amount paid off. Amount remaining due. Years. 1 Amount paid off. $46 79 51 42 56 33 61 53 67 05 Amount remaining due. 1 2 3 4 2 $1 82 3 75 5 80 7 97 10 27 $98 18 96 25 94 20 92 03 89 73 16 17 18 19 20 $53 21 48 58 43 67 38 47 32 95 6 7 8 9 10 12 71 15 30 18 04 20 94 24 02 87 29 84 70 81 96 79 06 75 98 21 22 23 24 25 72 89 79 09 85 66 92 62 100 00 27 11 20 91 14 34 7 38 11 12 13 14.^ 15 27 29 30 75 34 42 38 30 42 42 72 71 69 25 63 58 61 70 57 58 • • • • • • • • • • • • 10 ( TABLE Showing the progress from year to year of the amortization on $100, borrowed for 30 years. Years. Amount paid off". Amount remaining due. 1 Years. Amount paid off. i Amount remaining due. 1 2 3 4 5 $1 27 2 61 4 03 5 53 7 13 $98 73 97 39 1 95 97 1 94 47 92 87 16 17 18 19 20 $32 47 35 69 39 09 42 70 46 53 $67 53 64 31 60 91 57 30 53 47 6 7 8 9 10 8 82 10 62 12 52 14 54 16 67 91 18 89 38 87 48 85 46 83 33 21 22 23 24 25 50 59 54 89 59 44 64 28 69 40 49 41 45 11 40 56 35 72 30 60 11 12 13 14 15 18 94 21 34 23 88 26 58 29 44 81 06 78 66 16 12 73 42 70 56 26 27 28 29 30 74 83 80 58 86 68 93 15 100 00 25 17 19 42 13 32 6 85 4 ( ( J 11 ly f' [ J; TABLE , , Shewing the progress from year to year of the amortization on $100, borrowed for 35 years. 4 ( -; ? I Years. ; Amount paid off. Amount remaining due. 1 ! Years. 1 Amount paid off*. Amount remaining due. 1 2 3 4 5 $0 90 1 85 2 86 3 93 5 06 $99 10 98 15 i 97 14 96 07 94 94 21 ! 22 23 24 25 035 89 38 94 42 17 45 60 49 23 $64 11 61 06 57 83 54 40 50 77 6 7 8 ' 9 10 6 26 7 53 8 88 . 10 31 11 i-3 93 74 92 47 91 12 89 69 88 17 26 27 28 29 30 53 09 57 17 61 50 66 08 70 94 76 10 1 81 56 i 77 35 93 49 100 00 46 91 42 83 38 50 33 92 29 06 11 12 13 14 15 13 44 15 14 16 94 18 86 20 89 86 56 84 86 83 06 81 14 79 11 31 32 33 34 35 23 90 18 44 12 65 6 51 16 17 18 19 20 23 04 25 32 27 73 30 30 33 01 76 96 74 68 72 27 69 70 66 99 ! i 1 • 1 h 12 TABLE Shewing the progress from year to yeai- of the amortization on $100, borrowed for 40 years. Years. Amount paid off. Amount remaining due. Years. Amount paid off. Amount remaining due. 1 2 3 4 5 $0 65 1 33 2 06 2 83 3 64 699 35 98 67 97 94 97 17 96 36 21 22 23 24 25 $25 84 28 04 30 37 32 83 35 45 $74 16 71 96 69 63 67 17 64 55 6 7 8 9 10 4 51 5 42 6 40 7 43 8 52 95 49 94 58 93 60 92 57 91 48 26 27 28 29 30 i 38 22 41 16 44 28 47 58 51 08 61 78 58 84 55 72 52 42 48 92 11 12 13 14 15 9 67 10 90 12 20 13 58 15 04 90 33 89 10 87 80 86 42 84 85 31 32 33 34 35 54 79 58 73 62 90 67 32 72 00 45 21 41 27 37 10 32 68 28 00 16 17 18 19 20 16 59 18 23 19 97 21 81 23 77 83 41 81 77 80 03 78 19 76 23 36 37 38 39 40 76 97 82 23 87 81 93 73 100 00 23 03 17 77 12 19 6 27 1 ,?^. » ' pi 13 '^■.ii \ TABLE • Shewing the progress from year to year of the amortization on $100, borrowed for 45 years Years. \ Amount paid oti. Amount remaining due. Years. Amount paid off. Amount remaining due. 1 2 3 4 5 00 47 97 1 50 2 06 2 65 898 53 98 03 98 50 97 94 97 35 26 27 28 29 30 $27 81 29 94 32-21 34 61 37 16 $72 19 70 06 67 79 65 39 62 38 6 8 9 10 3 28 3 95 4 65 5 40 6 20 96 72 96 05 95 35 94 60 93 80 31 32 33 34 j 35 39 86 42 72 45 76 48 97 52 38 60 U 57 28 54 24 51 03 47 62 11 12 13 14 15 7 04 7 93 8 88 9 88 10 94 92 96 92 07 91 12 00 12 89 06 36 37 38 39 40 55 99 59 82 63 85 68 18 72 75 44 01 40 18 36 15 31 82 27 25 16 17 18 19 20 12 07 13 26 14 53 15 87 17 29 87 93 86 74 85 47 84 13 82 71 41 42 43 44 45 77 58 82 70 88 14 93 90 100 00 22 49 17 30 11 86 6 10 21 22 23 24 25 18 80 20 40 22 09 23 89 25 79 81 20 79 60 77 91 76 11 74 21 ( 1 * ■ • • • • • M , TABLE Showing the progress from year to year, of the amortization on 0100, borrowed for 50 years. Cb vh r :-.■-.: ,^ -,■■> .:■ -l^ Tears. Amount paid ofif Amount ' remaining due. Years. Amount paid off Amount remaining due. 1 2 3 4 5 $0 35 71 1 10 1 51 1 94 099 65 99 29 98 90 98 49 98 06 26 27 28 29 30 020 37 21 94 23 60 25 36 27 23 079 C3 78 06 76 40 74 64 72 77 6 7 8 , 9 10 2 40 2 89 3 41 3 06 4 54 97 60 97 11 96 59 96 04 95 46 31 32 33 34 35 29 21 31 30 33 53 35 88 38 38 70 79 68 70 00 47 64 12 61 62 11 12 13 14 15 5 16 5 81 6 40 7 24 8 02 94 84 94 19 93 50 92 76 91 98 „ 36 37 38 39 40 41 03 43 83 46 81 49 96 53 30 58 97 56 17 53 19 50 04 46 70 16 17 18 10 20 8 84 9 72 10 64 11 63 12 67 91 16 90 28 89 36 88 37 87 33 41 42 43 44 45 56 85 60 60 64 58 68 80 73 27 43 15 39 40 35 42 31 20 26 73 21 22 23 24 25 13 77 14 94 16 19 17 59 18 90 86 23 85 06 83 81 81 20 81 10 4<) 47 48 49 50 78 01 83 04 88 37 94 01 100 00 21 99 16 96 11 63 5 99 1 •)n §111 - -/si SHORT TERM LOANS. • The duration of these loans does not exceed ten years. ,/ ,» The rate of intends! is six per cent, per annum. The interest is payable half-yearly, on maturity, on the 1st of June and the 1st of December. The borrower may, at the expiration of the erm, if the condi- tion of things is not changed, demand that the original contract be replaced by a long term contract, with amortization. " r ' ' ' LOANS TO PUBLIC CORPORATIONS. These loans are made, with or without hypothec or mortgage, for a long term with amortization, or for a short term without amortization. The rate of interest is, as in the other cases, six per cent, per annum. Applications for loans must be accompanied by the following documents : In the Case of Municipal Corporations. I St. A copy of the by-law authorizing the loan. 2nd. A copy of the approval of the Lieutenant-Governor in Council. 3rd. A copy of the valuation roll. 4th. A certified statement of its debts. ' In the Case of School Corporations. I St. A copy of the by-law or resolution authorizing the loan. 2nd. A copy of the authorization of the Superintendent of Public Ins* "ction. 3rd. A copy 01 r valuation roll. 4th. A certified statement of its debts. In the Case of Church Corporations I St. A copy of the resolution of the Fabrique relative to the loan. 16 2nd. A copy of the Bishop's authorization. 3rd. A copy of the resolution of the meeting of parishioners giving their consent. If the corporation offers an hypothec or a mortgage, the title- deeds and the registrar's certificate must also be produced. i 111 FOBUAUTIES ON AFFUOATIONS. A person wishing to effect a loan must address to the Company an application, setting forth : his name and domicile, and his civil status ; — the amount, duration and nature of the loan which he desires to effect; — the description of the real estate offered as security, its situation, area, value and hypothecary status ; — and the name of his notary. The Company will furnish, on application to the Manager, all the necessary printed forms. In support of his application, the intending borrower must produce : 1 . The titles of the property in his own person and in that of his authors ; and an abstract of title running back, if possible, for thirty years. 2. The leases, if any exist, or a statement of the rents, with indication of the rents paid in advance. 3. A declaration of revenue and charges. 4. A certificate from the secretary-treasurer of the municipal valuation ; and a statement of arrears of municipal and school taxes, if there are any, or, if there are none, a certificate stating the fact. 5. A certificate from the registrar showing the hyi)othecary status. 6. The policy of insurance against fire, if any exists. 7. A declaration of the civil status of the borrower. 8. If married, his marriage certificate ; and the marriage contract, if any exists. 9. If it is proposed to build, the plans and estimate of the build- ings projected. * ( f • 17 The abstract of title should contain an analysis of the titles under which the borrower possesses the real estate that he offers as security, and of such charges and servitudes as may affect it. It is desirable that this document should be pr>^pared by the solicitor or notaiy of the borrower. As soon as the documents have been received, the manager pro- , ceeds, if he deems proper, to the valuation of the property offered as security. This valuation is made with the utmost care. The result, as well as the visit, is kep^ secret from third parties. If the Board of Management is satisfied with the value of the security, the examination of the title is pioceeded with. The Company's solicitor verifies the right of i)roporty, the hypothecary ' . status of the real estate and the civil status of the borrower. ' ) • When the security is deemed sufficient and the title is found to be perfect, the Board of Management determines what amount may be loaned and the conditions on which the loan can be made, and authorises the manager to effect it. In case of acceptance by the borrower of the amount offered to him, the execution and registration of the contract of loan, or of the mortgage, is proceeded with. A certificate is furnished, establishing the registration of the contract and the hypothecary status from the date of the certifi- cate produced with the application. If no entry precedes that of the company, except those for the claims which ate to be repaid with the loan, the loan is advanced. If entries appear which change the position, the contract of loan or the mortgage is annulled and its registration is cancelled. Applications made by public corporations for loans without hypothecary or mortgage security are first referred to the inspector for verification of their position and sufficiency ; and then to the solicitor of the Company for examination and verification of their powers. IV EXPENSES ON LOANS. To recoup the Company in part for the outlay for the valuation and the examination of titles, the borrower will pay the sum"* men- tioned in the following tariff : • 18 TARIFF OF CHARGES TO BE BORNE BY BORROWERS. Charges. Loans 8250 to 81000 Loans 81001 to 82000 Loans 82001 to 85000 Loans 85001 to 810000 Loans 810001 to 820000 Loans 820001 to 840000 Valuation Examination ) of titles ) Total 82 00 4 00 84 00 8 00 86 00 12 00 88 00 16 00 810 00 20 00 812 00 24 00 86 00 812 00 818 00j824 00 830 00 836 00 When the sum exceeds $40,000 the charges are arranged by special agreement. Besides these charges, the borrower will have to pay the necessary travelling expenses of the valuator. If the title should not be satisfactory, the charge for examina- tion will be only half the usual fee. The borrower must pay the notarial fees and the registration charges. * ' . >• . In presenting his application the borrower must deposit the amount indicated by the above tariff. When the property is in the country, he must also deposit a sum sufficient for the valuator's travelling expenses. If, before the examination of titles, the value or goodness of the security should be deemed insufficient, the valuation fee and travelling expenses of the valuator are retained and the remainder is returned to the borrower.