To

 

Chairman

_THE STUDENT LOAN FUND COMMITTEE

(Usually a Subcommittee of the Community Service Committee)

The student loan fund committee is
composed of a chairman who is a mem-
ber of the community service commit-
tee, and such other members as the
needs of the local club may require.
In a small club it may consist of but
one member, whereas in a large club
it may have several.

The student loan fund committee
devises ways and means of increasing
the assets of the student loan fund and
supervises the operation of the fund.

As a guide to the student loan fund
committee, Rotary International has
published a pamphlet (No. 42) “Stu-
dent Loan Funds,” a copy of which
should be found in the club secretary’s
office. Additional copies can be secured,
if desired, from the secretariat.

Specific information concerning the
work of student loan fund committees
in various communities is obtainable
from the central office of the secretariat.

A Few Questions and Answers Con-
cerning Student Loan Funds

The following questions suggest
some of the important decisions to be
made in relation to student loan funds.
These topics are discussed more fully
in Pamphlet No. 42.

1. Is it worth while to operate a

student loan fund?

The vast majority of Rotary clubs
which are maintaining and administer-
ing student loan funds are finding this
work to be extremely worth while. The
investment as a rule is paying splendid
dividends in the contributions that the
young men and young women, who
have ‘been assisted, are making to so-
ciety in various fields, literature, arts,
science, and business.

2. Should there be a separate stu-

dent loan fund committee?

The experience of many Rotary clubs
indicates the advisability of having a
separate committee to administer the
student loan fund.

3. What are the best methods of

raising money for a student loan

fund?

Voluntary donations from members
appears to be the most popular method
of raising funds. Birthday funds, etc.,

are also successfully used.

4. What requirements should a stu-
dent meet to be eligible for a
loan?

Most successful funds require the
following qualifications: high scholar-
ship, good character, a third or fourth
year rank in college, willingness to
work for approximately one-half of the
expense of attending college, and resi-
dence within the territorial limits of

the club.

5. What security should be de-
manded from the student?

Most successful funds require the
student to sign a promissory note en-
dorsed by one or more responsible par-
ties and also protected by a life insur-
ance policy with the local fund named
as beneficiary.

6. Should parents sign the student’s
note?

There is a division of opinion on this
question. Several highly successful
loan funds require that the parents
endorse the student’s note if he is a
minor. Others require that parents
sign only when they are real property
holders. It seems advisable under the
circumstances to require the endorse-
ment of at least one non-relative in
addition to the parents’ signature, since’
a student who borrows from a club

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