- Unfortunately, the horse Fred buys turns out to have temper problems, and it gives itself a bum leg by kicking at the groom and catching its foot in a rope.
- So now the horse is worthless, and Fred only has fifty pounds towards repaying the debt.
- He decides that the only thing he can do is to go and confess everything to Mr. Garth, and then go and tell Mary himself.
- (He knows his father will be too angry to lend him any money, so he doesn't bother asking.)
- Mr. Garth isn't at his office, so Fred goes to his house.
- Mrs. Garth is there, working in the kitchen while teaching two of the younger children at the same time.
- Mrs. Garth is an intelligent and serious woman, but she feels motherly towards Fred in spite of his occasional stupidity.
- She doesn't know anything about the debt that her husband had co-signed, though.
- She's happy to see Fred, and invites him to sit and wait for Caleb to come home.
- While Fred waits, Mrs. Garth tells him about their plan to send Alfred, the oldest of the boys, to school for a good education. They've been saving money for it, and have just scraped 92 pounds together for the purpose.
- Fred winces when he hears this – all that money is going to have to go to pay the debt.
- He tells them both when Mr. Garth comes home, and Mrs. Garth immediately realizes that they'll have to give up Alfred's school money, and borrow money from Mary, besides.
- Fred leaves them to discuss it by themselves.
- Mrs. Garth tells Caleb that he'll have to stop working for free so often.