Death of $1 Down

In the name of controlling inflation the Federal Reserve Board last week put an end to easy credit for U.S. installment buyers.

From 60% to 80% of such consumers' goods as automobiles, radios, refrigerators are financed on installments. With down payments as low as 4%, maturity limits up to 48 months, a modest rise in national income on top of a growing scarcity of consumer goods can mean a fantastic increase in time sales. Consumer credit last month hit an all-time high of $8,800,000,000, 7 1/2% above the record of 1929's boom.

So last week Marriner Eccles published the terms on which Americans can henceforth buy 17 consumers' products, from automobiles to toilet fixtures. On all installment contracts covered by the list he fixed a time limit of 18 months. Down payments required:

>On automobiles,*airplanes, motorcycles, motorboats: 33 1/4% of the purchase price.

> On gas and electric refrigerators, radios, washing machines, vacuum cleaners, other household gadgets: 20%.

> On furnaces, hot-water heaters, air conditioners, plumbing fixtures: 15%.

No down payments are required on repairs and alterations of property, if the balance is not over $1,000 and none of the other products listed is included in the bill.

* In the case of automobiles, a buyer can trade in his old car, get credit for all or part of the down payment. The regulations apply to secondhand as well as new machines, include taxicabs as well as pleasure vehicles.

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