When Lily receives her first $1,000 check from Gus, the money restores her self-confidence, without raising any scruples. She appeases her creditors, but also places new orders. Gus’s wife, Judy, notices Lily’s developing friendship with her husband, but believes that Lily is keeping Gus in good humor to repay her hostess’s kindness. Lily does not trouble herself to investigate how Gus made money for her, assuming he borrowed on her securities. Since Gus places $4,000 on a new venture, from the $5,000 gained on Rosedale’s tip, Lily blithely tells herself that Gus is speculating with her own money.

While attending the lavish society wedding of her cousin Jack Stepney to Gwen Van Osburgh, Lily notices Percy in a neighboring pew. With renewed faith in her beauty and power to captivate men, Lily imagines that she may be able to win Percy back. The sight of Selden momentarily disturbs Lily as his presence reminds her of the worst mistake that she has made in her quest to marry a wealthy man. Selden’s cousin Gerty greets Lily with friendliness. Lily perceives Gerty as acquiescing in dinginess, typifying mediocrity with her ugliness and cheerful philanthropy. Gerty tells Lily that Selden joked that he had not married because he did not care for the nice girls and the other kind did not care for him.