Uncle Joe mentions investing in the stock market and Kate reminds him about the bad stock he had her invest in once before. Meanwhile, the hot water heater in the hotel springs a leak. They'll need to buy a new one. Joe suggests selling stock in the Shady Rest Hotel Corporation to pay for it. Sam is willing to sell Kate a heater at cost for $97.50. Kate doesn't have that much. She also gets turned down for a loan at the Pixley Bank. Joe sells stock to Sam, Charley and Floyd to cover the cost of the water heater. They do this because they know Kate wouldn't accept a loan from them. Kate is not happy and still considers it charity. She comes up with a plan to teach Joe a lesson. Mr. Guerney, from the bank, brings Kate some good news.

Kate has a lot of outstanding debts, plus she hasn't made a mortgage payment in six months. Mr. Guerney, the President of the Pixley Bank, informs her that there is a new majority shareholder of the bank. Because of this, she has two weeks to pay $138 on her mortgage or the bank will have to foreclose. Mr. Guerney didn't tell Kate that the majority shareholder is Homer Bedloe, who hopes to ruin Kate. The girls say they will get part time jobs to help raise the money. Kate gets a job as a short order cook, but she doesn't last long at it. Kate and the girls do come up with the amount needed, but some of it's in I.O.U.s. Bedloe says that isn't good enough and still wants to foreclose. Mr. Guerney comes up with a way to give Kate a little more time.

Music Professor Lieberschmit recommends that would-be singer Bobbie Jo go to New York City for three months to take singing lessons. Kate barely manages to borrow $300 for Bobbie Jo's trip from Mr. Guerney at the bank. Billie Jo announces that her secretarial school is giving her a chance for a secretarial job at a Hollywood studio. Along with the job there is also the possibility of a screen test. Kate is able to get an extra $100 from Mr. Gurney. Then Betty Jo announces that she has received a Phys-Ed scholarship at a school in New Hampshire. Kate figures that only one girl can go and now has to decide which one. Before Kate can, the girls decide Billie Jo should be the one. Billie Jo says she has fallen for a boy and that Bobbie Jo should go. Bobbie Jo says it will cost too much in New York and that Betty Jo should go. Betty Jo says she found out it's an all girl school and doesn't want to go.

Bobbie Jo is entering an upcoming spelling bee, but it may be a losing battle against stuck up but excellent speller Henrietta Watson. Cora Watson, Henrietta's equally stuck up mother, protests Sam's appointment as judge since she feels he will be biased in favor of Bobbie Jo. As such, Oliver Douglas, is appointed the new judge. Bobbie Jo doesn't have the confidence to win, until she finds a scarab ring. Now it seems she is flooded with good luck. Slowly, the family begins to believe in the power of the ring when they too get what they want when wearing it. Uncle Joe loses the ring and buys another one. After winning the spelling bee, Bobbie Jo realizes it wasn't because of the ring.