"Half of that hundred people would not stay through to the end, and somebody would get left," he objected, well pleased with himself. "Precisely," agreed Mr. Wallingford. "That is just what our company obviates. Every man who drops out helps the man who stays in, by not having any claim upon the redemption fund. The redemption fund saves us from being a lottery. When you have paid in two hundred and fifty dollars your bond matures and you get your money back." "Out of--" hesitated Mr. Wright, greatly perplexed. "The redemption fund. It is supplied from returned loans." Again the bright Mr. Wright saw a radical objection. "Half of those people would not pay back their loans," said he. "We figure that a certain number would not pay," admitted Wallingford, "but there would be a larger proportion than you think who would. For instance, you would pay back your loan at the end of four years, wouldn't you, Mr. Wright?" Mr. Wright was hastily sure of it, though he became thoughtful immediately thereafter. "So would a large majority of the others," Wallingford went on. "Honesty is more prevalent than you would imagine, sir. However, all our losses from this source will be made up by lapsation. _Lapsation!_" Mr. Wallingford laid emphatic stress upon this vital principle and fixed Mr. Wright's mild blue eyes with his own glittering ones. "A man who drops a payment on his bond gets nothing back--that is a part of his contract--and the steady investor reaps the benefit, as he should. Suppose you hold bond number ten; suppose at the time of maturity, bonds number three, five, six, eight and nine have lapsed, after having paid in from one-fourth to three-fourths of their money; that leaves only bonds one, two, four, seven and ten to be paid from the redemption fund. I don't suppose you understand how large a percentage of lapsation there is. Let me show you." From his pocket Mr. Wallingford produced a little red book, showing how in industrial and fraternal insurance the percentage of lapsation amounts to a staggering percentage, thus reducing by forfeited capital the cost of insurance in those organizations. "So you see, Mr. Wright," concluded Wallingford, snapping shut the book and putting it in his pocket, "this, in the end, is only a splendid device for saving money and for using it while you are saving it." On this ground, after much persuasion, he sold a bond to the careful Mr. Wright, and quit work for the day, well satisfied with his two dollars' commission. At a fifteen-dollar dinner that evening Mr. Merrill found him a good fellow, and, being interested not only in Wallingford's "lottery" but in Wallingford himself, gave him the names of a dozen likely members. Later he even went so far as to see some of them himself on behalf of the company. Two days after that Mr. Wallingford called again on his careful carpenter, and from that gentleman secured a personal recommendation to a few friends of Mr. Wright's particular kind.