ANNUAL REPORT

OF THE

Federal D eposit In su r a n c e C o r p o r a t io n

FOR THE YEAR ENDED

DECEMBER 31, 1956

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L E T T E R OF TR AN SM ITTA L.

F e d e r a l D e p o s it In s u r a n c e C o r p o r a t io n

Washington, D. C., July 25, 1957

SIRS: Pursuant to the provisions of Section 17(a) of the Federal 

Deposit Insurance Act, the Federal Deposit Insurance Corporation 

is pleased to offer its annual report. Part One of the report, separately 

submitted earlier in the year, is included in this volume.

Respectfully,

H. E. C o o k , Chairman

T h e P r e s id e n t of t h e Se n a t e

T h e Sp e a k e r o f t h e H o u se o f R e p r e s e n t a t iv e s

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FEDERAL DEPOSIT INSURANCE CORPORATION

IV

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Federal Reserve Bank of St. Louis
FEDERAL DEPOSIT INSURANCE CORPORATION

N a t io n a l P r e s s B u il d in g — W a s h in g t o n 25, D. C,

BOARD OF DIRECTORS

Chairman................................................................................H. E. Cook

Comptroller of the Currency................................................... R a y M . G id n e y

Director................................................................................... M a p l e T. H a r l 1

OFFICIALS—July 25, 1957

Assistant to Chairman (Acting) .............................................Neil G. Greensides

Secretary..................................................................................Miss E. F. Downey

General Counsel, Legal Division............................................Royal L. Coburn

Chief, Division of Examination.............................................Neil G. Greensides

Deputy Chief, Division of Examination................................Edward H. DeHority

Chief, Division of Liquidation...............................................A. E. Anderson

Chief, Division of Research and Statistics.............................Edison H. Cramer

Chief, Audit Division.............................................................Mark A. Heek

Controller................................................................................ William G. Loeffler

Director of Publications and Information.............................Forbes Campbell

1 Deceased April 17, 1957

V

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Federal Reserve Bank of St. Louis
D IS T R IC T O F F IC E S

D is t . S u p e r v is in g

No. E x a m i n e r

1. Lundie W. Barlow

2. Philip C. Lods

3. Gilbert E. Mounts

4. Robert N. McLeod

5. John E. Freeman

6. Charles M. Dunn

7. Raby L. Hopkins

8. Darrell E. Wilkins

9. Charles F. Alden

10. George M. Hirning

11. Lloyd Thomas

12. David A. Linder

A d d r e s s

Room 1365, No. 10 P.O. 

Square, Boston 9, Mass.

Room 1900, 14 Wall Street, 

New York 5, N. Y.

City National Bank 

Building, 20 East Broad 

Street, Columbus 15, Ohio

200 The Bank of Virginia 

Building, Fourth and 

Grace Streets,

Richmond 19, Va.

Fifth floor, 114 Marietta 

St., N. W., Atlanta 3, Ga.

1059 Arcade Building,

St. Louis 1, Mo.

715 Tenney Building, 

Madison 3, Wis.

164 W. Jackson Blvd., 

Chicago 4, 111.

1200 Minnesota Building,

St. Paul 1, Minn.

1201 Federal Reserve Bank 

Building, Kansas City 6, 

Mo.

Federal Reserve Bank 

Building, Station K, 

Dallas 13, Texas

Suite 1120, 315 Montgomery Street, San 

Francisco 4, Calif.

St a t e s in D is t r ic t

Maine, New Hampshire, 

Vermont, Massachusetts, 

Rhode Island, Connecticut

New York, New Jersey, 

Delaware, Puerto Rico, 

Virgin Islands

Ohio, Pennsylvania

District of Columbia, Maryland, Virginia, West Virginia, North Carolina, 

South Carolina

Georgia, Florida, Alabama, 

Mississippi

Kentucky, Tennessee, 

Missouri, Arkansas

Indiana, Michigan,

Wisconsin

Illinois, Iowa

Minnesota, North Dakota, 

South Dakota, Montana

Nebraska, Kansas, 

Oklahoma, Colorado, 

Wyoming

Louisiana, Texas,

New Mexico, Arizona

Idaho, Utah, Nevada, 

Washington, Oregon, California, Alaska, Hawaii

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V ll

FEDERAL DEPOSIT INSURANCE CORPORATION DISTRICTS

DISTRICT 2 Includes PUERTO RICO a VIRGIN ISLANDS 

DISTRICT 4 Includes DISTRICT OF COLUMBIA 

DISTRICT 12 Includes HAWAII a ALASKA

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Summary.

CONTENTS

Page

xv

PART ONE 

OPERATIONS OF THE CORPORATION

Deposit insurance coverage..................................................................................... 3

Supervisory activities.............................................................................................. 3

Disbursements to protect depositors...................................................................... 9

Finances of the Corporation................................................................................... 13

Legal developments................................................................................................. 17

Organization and personnel..................................................................................... 18

PART TWO 

BANKING DEVELOPMENTS

Number of banks and their insurance status........................................................ 25

Bank assets............................................................................................................... 27

Bank deposits........................................................................................................... 33

Bank capital............................................................................................................. 36

Income of insured banks.................................................................................... 38

PART THREE 

STATE DEPOSIT INSURANCE SYSTEMS, 1908-1930

Character and extent of insurance......................................................................... 49

Banks in financial difficulties.................................................................................. 51

Methods used in paying depositors of banks in financial difficulty.................... 52

Assessments on participating banks....................................................................... 53

Insolvency of the insurance funds........................ ...................................... 54

Disbursements to depositors and unpaid obligations of the funds...................... 61

Inadequacies and factors responsible for failure of the State deposit insurance

systems......................................................................................................... 64

Detailed tables and sources of data....................................................................... 65

PART FOUR 

LEGISLATION AND REGULATIONS

Federal legislation.................................................................................................... 77

Rules and regulations of the Corporation.............................................................. 83

State banking legislation......................................................................................... 84

PART FIVE

STATISTICS OF BANKS AND DEPOSIT INSURANCE

Number, offices, and deposits of operating banks................................................ 88

Assets and liabilities of operating banks................................................................ 102

Earnings, expenses, and dividends of insured banks............................................ 114

Deposit insurance disbursements............................................................................ 142

ix

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LIST OF CHARTS

Page

Organization chart of the Federal Deposit Insurance Corporation..................... iv

Federal Deposit Insurance Corporation districts (map)...................................... vii

A. Location of the 431 banks requiring disbursements by the Corporation

to protect depositors, 1934-1956................................................................ 10

B. Amount and distribution of assets, all banks in the United States (continental U. S. and other areas), annually, December 31, 1947-1956. ... 28

C. Amount and distribution of loans, all banks in the United States (continental U. S. and other areas), annually, December 31, 1947-1956.... 30

D. Amount and distribution of “ other loans to individuals” , insured commercial banks in the United States (continental U. S. and other areas), 

annually, December 31, 1947-1956............................................................ 31

E. Maturities of direct marketable obligations of the United States Government owned by operating insured commercial banks in the United 

States (continental U. S. and other areas), December 31, 1946, and 

December 31, 1956..................................................................................... 32

F. Amount and distribution of deposits, all banks in the United States

(continental U. S. and other areas), annually, December 31, 1947-1956. 35

G. Percentage change in total deposits and in adjusted deposits, all banks

in the United States (continental U. S. and other areas), by half-year 

periods ending June 30 and December 31, 1947-1956......................... 36

H. Ratio of capital to total assets, insured commercial banks in the United

States (continental U. S. and other areas), December 31, 1936, 1946, 

and 1956....................................................................................................... 37

L IS T OF T A B L E S

PART ONE

OPERATIONS OF THE CORPORATION

S u p e r v is o r y a c t i v i t i e s :

1. Bank examination activities of the Federal Deposit Insurance Corporation

in 1955 and 1956.......................................................................................... 4

2. Unsafe or unsound banking practices and violations of law charged against

seven banks by the Corporation during 1956........................................ 6

3. Actions to terminate insured status of banks charged with unsafe or

unsound banking practices or violations of law or regulations, 1936-1956 7

4. Applications from banks acted upon by the Board of Directors of the

Federal Deposit Insurance Corporation during 1956............................... 8

D is b u r s e m e n t s t o p r o t e c t d e p o s it o r s :

5. Analysis of disbursements to protect depositors, and recoveries and losses

of the Federal Deposit Insurance Corporation, 1934-1956...................... 11

6. Protection of depositors of insured banks requiring disbursements by the

Federal Deposit Insurance Corporation, 1934-1956............................. 12

F in a n c e s o f t h e C o r p o r a t io n :

7. Income and expenses of the Federal Deposit Insurance Corporation and

changes in the deposit insurance fund for the year ended December 

31, 1956...................................... ................................................................. 13

8. Administrative and operating expenses of the Federal Deposit Insurance

Corporation for the year ended December 31, 1956............................. 14

9. Determination and distribution of net assessment income of the Federal

Deposit Insurance Corporation for the year ended December 31, 1956. 14

10. Assets and liabilities of the Federal Deposit Insurance Corporation,

December 31, 1956...................................................................................... 15

11. Insured deposits and the deposit insurance fund, 1934-1956........................ 16

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O r g a n iz a t io n a n d p e r s o n n e l :

12. Number of officers and employees of the Federal Deposit Insurance Corporation, December 31, 1956.......................................................................... 18

13. Audit report of the Federal Deposit Insurance Corporation for the fiscal

year ended June 30, 1956........................................................................... 19

PART TWO

BANKING DEVELOPMENTS

N u m b e r o f b a n k s a n d t h e i r in s u r a n c e s t a t u s :

14. Number and changes in banking offices in the United States (continental

U. S. and other areas), 1946-1956. ............................................................ 25

15. Analysis of changes in the number of banking offices in the United States

(continental U. S. and other areas), 1947-1956...................................... .. 26

16. Number and deposits of all banks in the United States (continental U. S.

and other areas), December 31, 1956........................................................ 27

B a n k a s s e t s :

17. Distribution of assets of all banks in the United States (continental U. S.

and other areas), by type and insurance status of banks, December 

31, 1956........................................................................................................ 29

B a n k d e p o s it s :

18. Deposits of all banks in the United States (continental U. S. and other

areas), by type and insurance status of banks, December 31, 1956, 

and percentage changes from 1946 to 1956............................................. 33

19. Number of insured commercial banks in the United States (continental

U. S. and other areas) in which deposits declined between June 30,

1954, and June 30, 1956.............................................................................. 34

20. Total deposits, adjusted deposits, and other deposits of all banks in the

United States (continental U. S. and other areas) December 31, 1947- 

1956, with annual percentage changes.................................................... 36

I n c o m e o f in s u r e d b a n k s :

21. Sources and disposition of total income, insured commercial banks in

the United States (continental U. S. and other areas), 1947 and 1952- 

1 9 5 6 ........................................................................................................... 38

22. Sources and disposition of total income, insured mutual savings banks

in the United States (continental U. S. and other areas), 1947 and 

1952-1956............................................................................................... 39

23. Average rates of income, insured banks, 1947-1956..................................... 40

24. Expense ratios and interest paid on deposits, insured banks, 1947-1956... 41

25. Reserves for losses on loans and on securities, insured commercial banks

in the United States (continental U. S. and other areas), 1948-1956... 42

26. Selected operating ratios of insured commercial banks in the United

States (continental U. S. and other areas), 1947-1956........................... 43

21. Selected operating ratios of insured commercial banks operating throughout 

the year 1956 in the United States (continental U. S. and other areas), 

banks grouped according to amount of deposits...................................... 44

PART THREE

STATE DEPOSIT INSURANCE SYSTEMS, 1908-1930

T e x t t a b l e s :

28. Participation of operating banks in State deposit insurance systems, 

December 31, 1908-1930.......................................................................... ............... 49

29. Deposits in banks insured under State deposit insurance systems, December

31, 1908-1930......................................................................................... . 50

LIST OF TABLES xi

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Pa.ge

30. Failed banks among participants in State deposit insurance systems,

1908-1930...................................................................................................................... 51

31. Bank failure rates among participants in State deposit insurance systems,

1908-1930...................................................................................................................... 52

32. Assessment rates in State deposit insurance systems, 1908-1930................ 55

33. Insured deposits and obligations to depositors of failed banks, State deposit

insurance systems, 1908-1930................................................................................ 61

34. Income and expenditures of State deposit insurance systems, 1908-1930.. 62

35. Assessments relative to losses, State deposit insurance systems, 1908-1930. 63

D etailed tables:

36. Number of banks, and number participating in State deposit insurance

systems, 1908-1930.................................................................................................... 66

37. Total deposits of all banks, and of banks participating in State deposit

insurance systems, 1908-1930.............................................................................. 67

38. Participation in State deposit insurance systems, 1908-1930......................... 68

39. Number and deposits of failed banks participating in State deposit insurance

systems, 1908-1930.................................................................................................... 69

40. Insured deposits and their ratio to total deposits in banks that failed while

participating in State deposit insurance systems, 1908-1930.................... 70

41. Recoveries on insured deposits in banks that failed while participating in

State deposit insurance systems, 1908-1930................................................. 71

42. Losses on deposits and other liabilities in banks that failed while participating in State deposit insurance systems, 1908-1930............................... 72

43. Assessment rates and collection by State deposit insurance systems,

1908-1934...................................................................................................................... 73

PART FIVE

STATISTICS OF BANKS AND DEPOSIT INSURANCE

N umber, offices, and deposits of operating banks:

Explanatory note..................................................................................................................... 88

101. Changes in number and classification of operating banks and branches

in the United States (continental U. S. and other areas) during 1956. . 90

102. Number of operating banking offices in the United States (continental

U. S. and other areas), December 31, 1956

Grouped according to insurance status and class of bank, and by State

and type of office................................................................................................ 92

103. Number and deposits of operating banks in the United States (continental

U. S. and other areas), December 31, 1956

Banks grouped according to insurance status and by district and State.. 100

Assets and liabilities of operating banks:

Explanatory note...................................................................................................................... 102

104. Assets and liabilities of operating banks in the United States (continental

U. S. and other areas), June 30, 1956

Banks grouped according to insurance status and type of bank............. 104

105. Assets and liabilities of operating banks in the United States (continental

U. S. and other areas), December 31, 1956

Banks grouped according to insurance status and type of bank............. 106

106. Assets and liabilities of operating banks in the United States (continental

U. S. and other areas), December 31, 1956

Banks grouped by district and State................................................................ 108

107. Assets and liabilities of operating insured banks in the United States

(continental U. S. and other areas), December 31, 1956, June 30, 1956,

and December 31, 1955.......................................................................................... 110

Xii FEDERAL DEPOSIT INSURANCE CORPORATION

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E a r n in g s , e x p e n s e s , a n d d iv id e n d s o f in s u r e d b a n k s :

Explanatory note..................................................................................................... 114

108. Earnings, expenses, and dividends of insured commercial banks in the

United States (continental U. S. and other areas), 1948-1956.............. 116

109. Ratios of earnings, expenses, and dividends of insured commercial banks

in the United States (continental U. S. and other areas), 1948-1956. . 118

110. Earnings, expenses, and dividends of insured commercial banks in the

United States (continental U. S. and other areas), 1956 

By class of bank....................................................................................... 120

111. Ratios of earnings, expenses, and dividends of insured commercial banks

in the United States (continental U. S. and other areas), 1956

By class of bank....................................................................................... 122

112. Earnings, expenses, and dividends of insured commercial banks operating

throughout 1956 in the United States (continental U. S. and other 

areas)

Banks grouped according to amount of deposits..................................... 124

113. Ratios of earnings, expenses, and dividends of insured commercial banks

operating throughout 1956 in the United States (continental U. S. 

and other areas)

Banks grouped according to amount of deposits..................................... 126

114. Earnings, expenses, and dividends of insured commercial banks in the

United States (continental U. S. and other areas), by State, 1956. ... 128

115. Income, expenses, and dividends of insured mutual savings banks,

1951-1956..................................................................................................... 138

116. Ratios of income, expenses, and dividends of insured mutual savings

banks, 1951-1956........................................................................................ 140

D e p o s it in s u r a n c e d is b u r s e m e n t s :

Explanatory note..................................................................................................... 142

117. Depositors, deposits, and disbursements in insured banks requiring disbursements by the Federal Deposit Insurance Corporation, 1934-1956 

Banks grouped by class of bank, year of deposit pay-off or deposit assumption, amount of deposits, and State.......................................... 144

118. Assets and liabilities of insured banks requiring disbursements by the

Federal Deposit Insurance Corporation, 1934-1956............................. 146

119. Insured banks requiring disbursements by the Federal Deposit Insurance

Coiporation during 1956........................................................................... 147

120. Recoveries and losses by the Federal Deposit Insurance Corporation on

principal disbursements for protection of depositors, 1934-1956.......... 148

LIST OF TABLES xiii

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S u m m a r y

About 95 percent of the banks of deposit in the United States were 

insured by the Federal Deposit Insurance Corporation at the end of 

1956. Deposits in insured banks totaled $219 billion; an estimated $121 

billion was insured under the insurance limit of $10,000 for each depositor. 

(Pp. 3, 16.)

During 1956 the Corporation brought charges against seven banks 

for continuing to engage in unsafe or unsound practices or violations of 

law. Disbursements were made to protect depositors in two insured 

banks, bringing to 431 the total number of banks whose depositors have 

been so aided by the Corporation since its beginning in 1934. (Pp. 5, 9.)

The deposit insurance fund amounted to $1,742 million at the end of 

1956. This was equal to 0.79 percent of total deposits of insured banks, 

or 1.44 percent of insured deposits. (Pp. 13, 16.)

Assets of all banks increased $9 billion during 1956, reaching a total 

of $252 billion. Deposits amounted to $229 billion, and capital accounts exceeded $19 billion. (Pp. 27, 36.)

Total income of insured commercial banks rose 13 percent in 1956. 

Almost two-fifths of current operating earnings remained after payment 

of current expenses. Net profits after taxes were 5 percent greater than in

1955 and represented a return of 7.8 percent on total capital accounts. 

The ratio of total capital accounts to total assets averaged 7.4 percent 

at the year-end. (Pp. 38, 42, 43.)

A study of results of the eight State deposit insurance systems operating 

between 1908 and 1930 indicates that they were less successful than the 

six State insurance systems which operated between 1829 and 1866. 

Each of the eight systems became insolvent, following varied degrees of 

success in protecting depositors. (P. 47.)

During 1956 Federal deposit insurance was extended to Guam. The 

Corporation raised to 3 percent, effective January 1, 1957, the maximum 

permissible rate of interest payable on time and savings deposits. 

(Pp. 17, 77, 83.)

xv

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Federal Reserve Bank of St. Louis
PART ONE

OPERATIONS OF THE CORPORATION

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D e p o s it I n s u r a n c e C o v e r a g e

The Federal Deposit Insurance Corporation was created by the 

Banking Act of June 16, 1933, to pay depositors of failed banks the 

amount of their insured deposits. By making such deposits readily 

available, it has strengthened confidence in the banking system and 

thereby exerted a stabilizing influence upon the economy of the nation.

Insurance was initially limited to $2,500 for each depositor. The limit 

was raised to $5,000 on July 1, 1934, and continued at that amount until 

September 21, 1950, when it was increased to $10,000 per depositor.

Participation o f banks in Federal deposit insurance. From the 

beginning of deposit insurance most banks in the United States have been 

insured. The proportion insured has increased nearly every year from 

an initial 90 percent to almost 95 percent at the end of 1956, when there 

were 13,441 insured banks.

In 12 States and the District of Columbia all banks of deposit were 

insured on December 31, 1956. This was the same number of States 

with 100 percent of the banks participating in insurance as a year earlier; 

the addition of California to that category was offset by deletion of Utah 

when a long dormant bank charter was reactivated and the business of 

banking was resumed without deposit insurance. In 24 other States 95 

percent or more of the banks of deposit participated in Federal deposit 

insurance. Only in four States, all in New England, was the proportion 

less than three-fourths, and this was due chiefly to the fact that relatively 

few of the considerable number of mutual savings banks in those States 

have applied for Federal deposit insurance.

Deposits o f insured banks. At the end of 1956 insured banks held 

deposits of over $219 billion. An estimated 55 percent of these deposits, 

or approximately $121 billion, were insured. However, approximately 98 

percent of all accounts had balances of less than $10,000 and were therefore fully protected.

S u p e r v is o r y A c t iv it ie s

Bank examinations. As an insurer of deposits the Corporation has 

a substantial interest in the sound operation of banks participating in 

Federal deposit insurance. Accordingly, the Corporation regularly 

examines insured banks not members of the Federal Reserve System 

and reviews reports of examinations of national banks and State banks 

members of the Federal Reserve System.

3

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4 FEDERAL DEPOSIT INSURANCE CORPORATION

It is the policy of the Corporation to make an annual examination of 

each insured bank not a member of the Federal Reserve System. More 

frequent examinations are made when special problems or unusual 

conditions exist; and under special circumstances the Corporation 

examines an insured bank normally examined by another Federal supervisory agency. Examinations of trust departments and branches are 

conducted separately, and the results consolidated with the report of 

examination of the bank. In addition, the Corporation investigates 

such matters as proposed new banks and branches, and conducts formal 

follow-up conferences where difficulties are encountered. As indicated 

in Table 1, during 1956 the Corporation conducted a total of 10,227 

examinations and investigations.

T a b l e 1 . B a n k E x a m in a t io n A c t iv it ie s o p t h e

F e d e r a l D e p o s it I n s u r a n c e C o r p o r a t io n i n 1955 a n d 1956

Activity

Number

E xam inations and investigations— t o ta l........................................................

E xam in ations o f m ain o ffices .........................................................................

Regular examinations of insured banks not members of Federal Reserve

System................................................................................................................

Re-examinations; or other than regular examinations...................................

Entrance examinations of operating noninsured banks.................................

Exam inations o f departm en ts and b ra n ch es...........................................

Examinations of trust departments...................................................................

Examinations of branches...................................................................................

In v estigation s........................................................................................................

New bank investigations:

Banks members of Federal Reserve System..................................................

Banks not members of Federal Reserve System...........................................

New branch investigations...................................................................................

Miscellaneous investigations...............................................................................

Review o f reports o f exam ination of insured banks— to ta l...............

National banks.....................................................................................................

State banks members of Federal Reserve System......................................

State banks not members of Federal Reserve System...............................

10,227 10,226

6,935 6,896

6,699 6,686

15 U 222

82 88

2,503 2,422

8U2 810

1,661 1,612

789 908

51 58

117 176

198 176

U28 U98

13,422 13,520

5,019 4,862

1,692 1,901

6,711 6,757

The information on the condition of banks provided through examinations forms the basis of most of the Corporation’s decisions with respect 

to individual banks. Through examination the Corporation seeks to 

determine the net worth or sound capital of a bank and the degree of 

protection thus afforded depositors or other creditors; the quality of 

the bank’s assets; the existence of practices likely to lead to financial 

difficulties; and whether there are any indications of violations of law.

A report of examination covers many specific items. The condition of 

the loan portfolio usually provides the most occasion for comment. In

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SUPERVISORY ACTIVITIES 5

general, Corporation examiners are instructed to classify for further 

attention the following types of loans: those involving undue risk; those 

representing an over-extension of credit or undue concentration in a 

single line of credit; those not adequately supported by credit information 

on the borrower; and loans which do not conform to statutory provisions. 

Banks are urged to take their losses currently and to make regular 

provision for losses which may develop.

Because of the importance of securities in a bank’s asset structure, 

the Corporation urges the adoption by each bank of a carefully formulated 

investment program. An effort is made by examiners to determine the 

suitability of the individual bank’s securities portfolio to its own needs 

from the standpoint of both liquidity and quality. Banks are encouraged 

to limit their commitments to high grade bonds of short to medium term 

maturity, and to give due consideration to diversification, marketability, 

and income.

The adequacy of capital, which is the depositors’ first line of protection, 

is always of major concern. The examiner also scrutinizes the effectiveness 

of internal controls, the use of sound accounting procedures, and the 

adequacy of fidelity bonds. Finally, the quality of the bank’s management 

is carefully appraised.

All reports of examination are reviewed in the Washington office and 

an analysis made of each bank. For each examination which exhibits 

an unusual insurance risk a detailed memorandum is prepared analyzing 

the bank’s weaknesses. Through constant scrutiny and follow-up of 

such banks, unfavorable developments are corrected in most cases before 

they reach serious proportions.

Citations for unsafe and unsound banking practices and

violations of law. When examination of a bank reveals unsafe or unsound banking practices or a violation of law or regulations, the Corporation has the authority and duty under Section 8(a) of the Federal 

Deposit Insurance Act to institute proceedings for the involuntary 

termination of the insured status of such bank. Proceedings are initiated 

only after a diligent effort has been made to obtain satisfactory corrective 

action by the bank itself.

At the start of 1956 formal proceedings were pending against nine 

banks; during the year proceedings were initiated against seven additional banks. Unsafe practices and violations of law cited against the 

seven banks included self-serving or hazardous management, operating 

with an impairment of capital, and holding excessive amounts of substandard assets. Specific charges against the banks are presented in 

more detail in Table 2.

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6 FEDERAL DEPOSIT INSURANCE CORPORATION

T a b l e 2 . U n s a f e o r U n s o u n d B a n k in g P r a c t ic e s a n d V io l a t io n s o f

L a w C h a r g e d A g a in s t S e v e n B a n k s b y t h e C o r p o r a t io n D u r in g 1956

Type of practice or violation

Number 

of banks 

charged

C apital:

Impaired capital or surplus.............................................................................................................

Inadequate capital or surplus.........................................................................................................

Loans and in vestm en ts:

Concentration of bank’s funds in non-conforming lines of credit in an amount exceeding the bank’s capital structure.........................................................................................

Continued carrying of a large amount of overdue loans.........................................................

Excessive volume of loans in relation to total assets...............................................................

Further extension of credit to borrowers whose lines of credit have been previously

adversely classified........................................................................................................................

Large amount of adversely classified assets...............................................................................

Lax credit, lending, and collection policies.................................................................................

Loans and advances to builders made without adequate collateral security or credit 

information.....................................................................................................................................

M an agem en t:

Abuse of bank’s credit facilities by bank’s president...............................................................

Creation of shortages in the assets of the bank........................................................................

Dissipation of the bank’s funds in worthless overdrafts.........................................................

Failure of Board of Directors to direct and supervise lending and collection policies.. 

Failure to comply with corrective recommendations of supervisory authorities and

their respective examiners...........................................................................................................

Failure to maintain adequate credit files and supporting instruments on loans...........

Unauthorized disposition of collateral without application of proceeds to loan...........

Use of bank’s credit facilities by officers and directors or by principal stockholders for 

their personal benefit or for enterprises in which they have a substantial financial

interest.............................................................................................................................................

Weak, self-serving and hazardous management.......... .............................................................

V iolation s o f law :

Change of location of main office of bank without consent of the Corporation...............

Diversion to own use by bank’s officers of earnings and commissions due bank as a

result of construction loans.........................................................................................................

Failure to maintain legally required reserves.............................................................................

Illegal loans.........................................................................................................................................

Violation of other specific State laws...........................................................................................

After a bank is cited under Section 8(a) it is allowed a further period 

of time as prescribed by statute to make the required corrections. If at 

the end of such period, or possible extension of such period, the necessary 

corrections have not been made, a hearing is held at which time the bank 

is afforded an opportunity to show cause why its insured status should 

not be terminated. No such hearings were held during 1956.

Of the 16 cases active in 1956, 9 were dismissed during the year when 

the banks involved made the required corrections. One case was closed 

when the bank concerned was absorbed by another bank. Six cases were 

still pending at the end of 1956. The disposition or status of all Section 

8(a) cases in 1956 and during the Corporation's existence is shown in 

Table 3.

Admission to insured status. Banks that become members of the 

Federal Reserve System are insured without application to the Corporation. National banks located outside the 48 States and the District 

of Columbia which are not members of the Federal Reserve System may 

become insured upon application by the bank and certification by the

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SUPERVISORY ACTIVITIES 7

Table 3. A c t io n s t o T e r m in a t e I n s u r e d St a t u s o f B a n k s C h a r g e d

w i t h U n s a f e o r U n s o u n d B a n k in g P r a c t ic e s o r V io l a t io n s

o f L a w o r R e g u l a t io n s , 1936-1956

Disposition or status 1936-19561

Pending 

Jan. 1,

1956

Started

during

1956

T otal banks against w h ich a ction was ta k en .........................

Cases c lo s e d ...........................................................................................

Corrections made................................................................................

Banks absorbed or succeeded by other banks.............................

With financial aid of the Corporation..........................................

Without financial aid of the Corporation....................................

Banks suspended prior to setting date of termination of

insured status by Corporation....................................................

Insured status terminated, or date for such termination set

by Corporation, for failure to make corrections.....................

Banks suspended prior to or on date of termination of insured

status..............................................................................................

Banks continued in operation*......................................................

Cases n o t closed D ecem ber 31, 1956............................................

Correction period not expired.........................................................

Action deferred pending analysis of examination.......................

177

171

59

68

62

32

12

1 No action to terminate the insured status of any bank was taken before 1936. In 5 cases where 

initial action was replaced by action based upon additional charges, only the latter action is included.

8 One of these suspended 4 months after its insured status was terminated.

Comptroller of the Currency. Other banks of deposit may apply to the 

Board of Directors of the Corporation for admission to insurance. In 

the case of a new State nonmember bank, the Board acts upon an application for admission to insurance only after the bank has obtained a 

charter, or a commitment for one, from the appropriate State banking 

authority.

During 1956 the Board acted upon 136 applications for admission 

to insurance; 72 were from new banks and 64 from operating banks. All 

but 15 of the applications were approved.

Of the 58 new banks approved for admission to insurance, there were 

10 each in Illinois and Texas, with the remainder scattered among 21 

States. Forty-six of the 63 operating banks admitted to insurance were 

in Kansas.

Other applications from banks. In addition to the applications 

for admission to insurance, the Board of Directors in 1956 acted upon 

451 other applications from banks. These included petitions to operate 

branches, change the location of banking offices, retire capital, and 

engage in other types of business. The various types of applications 

acted upon by the Board in 1956, and its decisions, are presented in 

Table 4.

Reports from banks. All insured banks were required to submit 

statements of their assets and liabilities as of June 30 and December 31,

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8 FEDERAL DEPOSIT INSURANCE CORPORATION

T a b l e 4 . A p p l ic a t io n s f r o m B a n k s A c t e d U p o n b y t h e B o a r d o f D ir e c t o r s

o f t h e F e d e r a l D e p o s it I n s u r a n c e C o r p o r a t io n D u r in g 195 6 1

Type of application

Total

acted

upon

Approved

Disapproved

All applications*................................................................................... 587 556 31

Admission to insurance— total............................................................. 136 121 15

New banka............................................................................................. 72 58 U

Operating banks.................................................................................... 6U 68 1

Continuation of insurance of banks withdrawing from F R S . . . . 15 14 1

Change in type of business— total...................................................... 34 32 2

To engage in trust business................................................................ 88 81 2

To engage in commercial banking..................................................... 1 1

Assumption of deposit liabilities— total............................................ 26 26

Of another insured bank...................................................................... 1U 1U

Of a noninsured bank.......................................................................... 6 6

Of a financial institution not a bank................................................ 6 6

Operation of branches— total. . . ; ....................................................... 181 176 5

New branch offices................................................................................ 1U9 11*6 8

New facilities........................................................................................ 8 8

Conversion of absorbed bank or financial institution..................... 22 22

Continue operating existing branches............................................... 7 5 2

Change of location of offices— total.................................................... 146 144 2

Main offices. ......................................................................................... 1 U 112 2

Branches............................................................................................... 82 82

Retirement of capital— total................................................................ 41 40 1

Held by R FC ........................................................................................ 1 1

Held by others....................... ............................................................... w 89 1

Other capital adjustments.................................................................... 3 3

Service of persons convicted of breach of trust............................... 5 5

1 Excludes applications from banks for financial assistance under Section 13 of the Federal Deposit 

Insurance Act.

* Tabulations are on the basis of final action taken by the Board of Directors. Excludes six actions 

taken during prior years which were either confirmed or rescinded during 1956.

1956, and statements of their earnings, expenses, and dividends for the 

calendar year 1956. As required by law, national banks and all banks in 

the District of Columbia submitted the reports to the Comptroller of 

the Currency; State banks belonging to the Federal Reserve System 

sent their reports to the respective Federal Reserve banks; all other 

insured banks made their reports to the Federal Deposit Insurance 

Corporation. Each of the Federal agencies tabulates and summarizes 

the data reported to it and makes the results available to the other 

agencies.

Supplementing the reports from insured banks, the Corporation, by 

inter-agency agreement, gathers and prepares statistics of assets and 

liabilities of noninsured banks and trust companies, and provides the 

only tabulation covering assets and liabilities of all operating banks. 

Reports relating to noninsured banks as of June 30 and December 31, 

1956, were obtained through the assistance of State banking authorities 

and of officials of unincorporated banks or other banking institutions 

not under supervision of Federal or State banking authorities.

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SUPERVISORY ACTIVITIES 9

The data on assets and liabilities, and on earnings and expenses of 

banks, are discussed in Part Two of this report, and shown in the statistical tables of Part Five. Tabulations of the reports of assets and liabilities 

of all banks and of insured banks classified by State and class of bank 

are published by the Corporation in separate reports.

D is b u r s e m e n t s to P r o t e c t D e p o s it o r s

Disbursements in 1956. During 1956 disbursements were made by 

the Corporation to protect depositors in two insured banks. In both 

cases financial irregularities were responsible for the difficulties.

One of the banks, the River Oaks State Bank, Fort Worth, Texas, 

was involved in a check kiting operation. It was placed in receivership 

by the State banking authority, and the Corporation paid the bank’s 

depositors up to the insurance limit of $10,000. Additional recoveries 

by those depositors having balances greater than $10,000 depend upon 

the results of liquidation of the assets taken over by the Corporation 

in its separate capacity as receiver.

The other bank was The Home National Bank of Ellenville, Ellenville, 

New York, which was also closed because of a large shortage. As required 

by law, the Comptroller of the Currency appointed the Corporation as 

receiver. Instead of paying the insured deposits directly, however, as is 

usually the procedure in a receivership, the Corporation assisted a newly 

organized national bank in assuming the total deposits of the closed 

bank. This assistance by the Corporation took the form of a loan to the 

receivership which, with the acceptable assets of the closed bank, equalled 

the amount of the liabilities assumed by the new bank.

These two banks requiring assistance in 1956 had a combined total 

of over 15,000 depositors with deposits totaling almost $12 million. 

Disbursements by the Corporation in these cases amounted to over 

$3 million as of December 31, 1956. It is expected that a substantial 

part of this amount will eventually be recovered from the proceeds of 

liquidation of the assets of the two banks.

Disbursements, 1934-1956. During the 23 years of Federal deposit 

insurance ending December 31, 1956, the Corporation made disbursements to protect depositors of 431 banks. The location of the banks 

involved in these cases is shown in Chart A.

The 431 banks together had more than 1.4 million deposit accounts 

and $583 million of deposits. Deposits were paid up to the insurance 

maximum in 250 cases; deposit assumptions were arranged in the remaining 181 cases.

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10 FEDERAL DEPOSIT INSURANCE CORPORATION

C h a r t A . L o c a t i o n o f t h e 431 B a n k s R e q u i r i n g D is b u r s e m e n t s 

b y t h e C o r p o r a t i o n t o P r o t e c t D e p o s i t o r s , 1934-1956

In fulfilling its responsibility to depositors in these cases, the Corporation had disbursed or provided for disbursements of $340.1 million 

by the end of 1956. Except for certain liquidation costs absorbed by 

the Corporation, amounting to $1.1 million, these disbursements are 

subject to recovery from the proceeds of liquidation, insofar as may be 

possible. The different types of disbursements and related data concerning 

recoveries and losses by the Corporation are presented in Table 5.

In payoff cases the depositors who are paid by the Corporation assign 

to it equivalent claims against the receiver of the bank. These entitle 

the Corporation to receiver’s dividends on a parity with similar claims. 

From liquidation of assets acquired in deposit assumption cases the 

Corporation is entitled first to recover its liquidation expenses and 

advances made to protect the value of assets awaiting liquidation. 

Further proceeds are next applied to recovery of the principal disbursement. From any further proceeds the Corporation retains an amount 

equal to interest or a return on investment of 4 percent on the amounts 

advanced.

At the end of 1956 the Corporation had recovered $305.7 million. 

Expected additional recoveries of $4.4 million, if realized, will reduce 

losses on total disbursements to $30.0 million. Allowing further for 

interest collected on loans and allowable return received on purchased 

assets, together amounting to $9.0 million, the Corporation’s net loss 

of funds through 1956 is estimated at $20.9 million.

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DISBURSEMENTS TO PROTECT DEPOSITORS 11

Table 5. A n a l y s is o f D is b u r s e m e n t s t o P r o t e c t D e p o s it o r s , a n d R e c o v e r ie s

a n d L o s s e s o f t h e F e d e r a l D e p o s it I n s u r a n c e C o r p o r a t io n , 1934-1956

(In thousands)

Item

All

disbursements

Principal

Advances

and

expenses

Total

principal

disbursements

Loans and 

assets 

purchased1

Insured

deposits

paid3

D isbu rsem en ts ..................................

To December 31, 1956:

Potentially recoverable *.............

N ot recoverable............................

$340,051

338,524

1,099

320

108

310,100

305,683

4,417

29,951

28,744

1,207

9,005

20,946

$292,238

291,918

$197,769

197,769

$94,469

94,149

$47,813

46,606*

1,099*

108

46.606

46.606

1.207

.........1,207

1.207

Estimated additional:

Potentially recoverable8.............

N ot recoverable............................

320 320

R ecoveries............................................

To December 31, 1956...................

Estimated additional6.....................

D eposit insurance losses................

On recoverable disbursements.. . . 

On nonrecoverable disbursements.

Interest and allow able retu rn 

c o lle cte d ...........................................

N et loss o f fu n d s ...............................

263,494

259,077

4,417

28.744

28.744

184,399

182,547

1,852

13.370

13.370

79,095

76,530

2,565

15.374

15.374

9,005

19,739

8,658

4,712

347

15,027

1 In 181 deposit assumption cases.

2 In 250 deposit payoff cases.

* A potentially recoverable disbursement is a disbursement for which the Corporation acquires 

a claim against a receiver or liquidator.

* This item comprises $32,490 thousand advances for asset protection and $14,116 thousand liquidation expenses.

* Includes $941 thousand field payoff expenses, and $158 thousand other nonrecoverable expenses.

8 This figure excludes transactions to facilitate termination of liquidations of closed banks, and

for this reason differs from the balance shown for “ Assets acquired in receivership and deposit assumption 

transactions," in Table 10.

Transactions to facilitate termination o f liquidations. Aside 

from the above disbursements, the Corporation has purchased at public 

sale the last assets remaining in several bank liquidations in order to 

facilitate their termination. For such assets the Corporation paid $1.6 

million and, as outright owner, is entitled to all proceeds on them. Profits 

and income on these transactions, which amount to $0.6 million, are a 

partial offset to the deposit insurance losses noted above.

Losses of depositors. Of the two cases arising in 1956, depositors 

of one of the banks, The Home National Bank of Ellenville, experienced 

no loss. Their deposits were transferred to and made available at the 

newly established and insured Ellenville National Bank.

Deposit claims of about nine-tenths of the depositors of the River 

Oaks State Bank were paid or made available in full by the Corporation. 

Most of the remaining depositors did not suffer any loss because their 

claims were offset in full against their indebtedness to the bank. A 

relatively few depositors had balances in excess of the insurance maximum. 

They received $10,000 each in the deposit payoff, and on their excess

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12 FEDERAL DEPOSIT INSURANCE CORPORATION

deposits will participate with the Corporation and other creditors in 

dividends from the liquidation.

Losses to depositors of insured banks since establishment of the 

Corporation have amounted to 0.5 percent of their deposits; and only 

0.3 percent of the depositors have experienced any loss. All depositors 

of the 181 banks whose deposits were assumed by another insured bank 

were fully protected. In the 250 banks where payoffs occurred, 97.4 

percent of deposits have been paid or made available; and full recovery 

has been received or made available to 99.1 percent of the depositors. 

The sources of these payments and their respective amounts are shown 

in Table 6.

T a b l e 6 . P r o t e c t io n o f D e p o s it o r s o f I n s u r e d B a n k s R e q u ir in g

D is b u r s e m e n t s b y t h e F e d e r a l D e p o s it I n s u r a n c e C o r p o r a t io n , 1934-1956

Item

All cases 

(431 banka)

Deposit payoff 

cases 

(250 banks)

Deposit 

assumption cases 

(181 banks)

Number or 

amount

Percent Number or 

amount

Percent Number or 

amount

Percent

N u m ber o f depositors or a ccou n ts— to ta l1........................ 1,425,735 100.0% 396,258 100.0% 1,029,477 100.0%

Full recovery received or available 1,421,974 99.7 392,497 99.1 1,029,477 100.0

From F D IC .................................. 1,381,931

34,558

2.742

2.743

96.9 352,4512

34,558

2,742

89.0 1,029,477 100.0

By offset3.........., ........................... 2.4 8.7

Through security or

preference4................................. 0.2 0.7

From receiver5........................ 0.2 2,743 0.7

Full recovery not received as of 

Dec. 31, 1956............................... 3,761

2,771

990

0.3 3,761

2,771

990

0.9

Terminated cases......................... 0.2 0.7

Active cases................................... 0.1 0.2

A m o u n t o f deposits

(in th ou san ds)— t o ta l............. $583,192 100.0% $120,795 100.0% $462,397 100.0%

Paid or made available.................. 580,070

556,721

7,035

6,541

9,773

3,122

1,777

1,345

99.5 117,673

94,324*

7,035

6,541

9,773

97.4 462.397

462.397

100.0

B y F D IC ....................................... 95.5 78.1 100.0

By offset7....................................... 1.2 5.8

By security or preference8......... 1.1 5.4

By receiver9.................................. 1.7 8.1

N ot paid or available as of Dec. 

81, 1956.......................................... 0.5 3,122

1,777

1,345

2.6

Terminated cases......................... 0.3 1.5

Active cases................................... 0.2 1.1

1 Number of depositors in deposit payoff cases; number of accounts in deposit assumption cases.

* Includes 55,262 depositors who failed to claim their insured deposits.

* Includes only depositors with claims offset in full; most of these would have been fully protected 

by insurance in the absence of offsets.

4 Includes only depositors whose total balances were more than the insurance maximum.

5 The insured portions of these depositors’ claims were paid by the Corporation.

5 Includes $175 thousand insured deposits, available but unclaimed from Corporation (see note 2).

7 Includes all amounts paid by offset.

8 Includes all secured and preferred claims paid by receiver; excludes secured and preferred claims 

paid by Corporation.

9 Includes unclaimed deposits paid into trusts by receivers.

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FINANCES OF THE CORPORATION 13

F in a n c e s o f t h e C o r p o r a t io n

Sources o f income. Regular assessments upon insured banks are 

the primary source of income of the Corporation. The statutory assessment rate is one-twelfth of 1 percent annually of total deposits less 

certain authorized exclusions and deductions. Against current assessments 

the banks are allowed a credit amounting to 60 percent of net assessment 

income for the prior year; i.e., assessment income remaining after deduction of the Corporation’s insurance losses and operating expenses. The 

remaining 40 percent of net assessment income is retained by the Corporation, along with other funds received, and invested principally in United 

States Government securities. Interest on these obligations constitutes 

an important secondary source of income. The Corporation also receives 

some incidental income from assets acquired from closed insured banks.

T a b l e 7 . I n c o m e a n d E x p e n s e s o f t h e F e d e r a l D e p o s i t I n s u r a n c e 

C o r p o r a t i o n a n d C h a n g e s in t h e D e p o s i t I n s u r a n c e F u n d 

f o r t h e Y e a r E n d e d D e c e m b e r 31, 1956

i n c o m e a n d e x p e n s e s

N et in com e for th e year ended D ecem ber 31, 1956:

Income:

Deposit insurance assessments................................................

Less net assessment income credit due insured banks 

(see table 9 )............................................. ...................................

Net income from U. S. Government securities.................... ..

Other incom e...................................................................................

Total incom e...................................................................

Expenses and losses:

Administrative and operating expenses (see table 8 )-----. . .

Provision for reserves for insurance losses...............................

Other insurance losses and expenses..........................................

Total expenses and losses............................................

N et in com e (addition to the deposit insurance fun d) 

for th e year ended D ecem ber 31, 1956...........................

DEPOSIT INSURANCE FUND

D eposit insurance fu n d , D ecem ber 31, 1955............................

Adjustments applicable to periods prior to January 1, 1956 

(increasing the fund):

By reduction of reserves for insurance losses (net):

Applicable to net assessment income....................................

Not applicable to net assessment incom e............................

B y additional assessments (n et).................................................

Total adjustments.........................................................

D eposit insurance fu n d , D ecem ber 31, 1955 as a d ju s te d ..

Net income for the year ended December 31, 1956 (see above)— 

addition to the fund..................................................................

D eposit insurance fu n d , D ecem ber 31, 19561...........................

$155,382,810

87,310,642

68,072,168

43,673,817

75,434

$ 9,066,942 

1,221,144 

13,320

436,333

1,631

$ 437,964 

530,240

$ 111,821,419

10,301,406

$ 101,520,013

$1,639,588,832

968,204

$1,640,557,036

101,520,013

$1,742,077,049

1 See footnote 2, Table 10.

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14 FEDERAL DEPOSIT INSURANCE CORPORATION

Income and expenses in 1956. Net income of the Corporation was 

$101.5 million in 1956. Total income for the year, amounting to $111.8 

million, consisted of $68.1 million of insurance assessments retained by 

the Corporation, $43.6 million of net income from investments in United 

States Government securities, and $0.1 million of other income. Income 

and expenses of the Corporation in 1956 are shown in Table 7.

Expenses and losses of the Corporation totaled $10.3 million in 1956. 

Administrative and operating expenses, classified by major items in 

Table 8, amounted to $9.1 million. Reserves provided for insurance 

losses and expenses amounted to $1.2 million.

Table 8. A d m in is t r a t iv e a n d O p e r a t in g E x p e n s e s o f t h e F e d e r a l D e p o s it

I n s u r a n c e C o r p o r a t io n f o r t h e Y e a r E n d e d D e c e m b e r 31, 1956

Personal services........................................................

Travel...........................................................................

Transportation of things.........................................

Communication services..........................................

Rents and utilities.....................................................

Printing and reproduction......................................

Supplies and materials.............................................

Equipment..................................................................

Other contractual services.......................................

T o ta l...................................................

Less: Recoverable expenses and other credits..,

N et adm inistrative and operatin g expenses

$6,474,061

1,645,188

14,180

78,902

422,541

75,694

42,624

74,417

246,269

$9,073,876

6,934

$9,066,942

Table 9. D e t e r m in a t io n a n d D i s t r ib u t io n o f N e t A s s e s s m e n t I n c o m e

o f t h e F e d e r a l D e p o s it I n s u r a n c e C o r p o r a t io n f o r t h e

Y e a r E n d e d D e c e m b e r 31, 1956

D eterm in ation o f n et assessm ent in com e:

Total assessments which became due during the calendar 

year................................................................................................

Less:

Administrative and operating expenses....................................

Net additions to reserves to provide for insurance losses:

Provided in 1956........................................................................

Adjustments to provisions for reserves made prior to 

1956 (reduction).....................................................................

Other insurance losses and expenses..........................................

Total deductions............................................................

Net assessment income for 1956.....................................................

D istribution o f n et assessm ent in com e, D ecem ber 31, 

1956:

Net assessment income for 1956: <

40 percent transferred to deposit insurance fund...................

Balance credited to insured banks.............................................

T otal.................................................................................

A llocation o f n e t assessm ent in co m e credit a m on g in ­

sured ban ks, D ecem ber 31, 1956:

Credit for 1956.....................................................................................

Adjustment of credits for prior years....................................

T otal.................................................................................

$155,382,810

$ 9,066,942

$ 1,221,144

436,333 784,811

13,320

$ 9,865,073

$145,517,737

$ 58,207,095 

87,310,642

$145,517,737

$87,310,642

27,401

Percent of total 

assessments becoming due in 1956 

56.19% 

.02

$87,338,043 56.21%

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FINANCES OF THE CORPORATION 15

Assessments due the Corporation in 1956 totaled $155.4 million. 

Net assessment income for the year was $145.5 million. Forty percent 

of this amount, or $58.2 million, was retained by the Corporation. The 

balance, amounting to $87.3 million, was credited and allocated among 

insured banks in proportion to their assessments which became due in 

1956, and becomes available to them on July 1, 1957, for use in paying 

current deposit insurance assessments. The current credit is equal to 

56.21 percent of the 1956 assessment of each insured bank, approximately 

the same percentage as in each year since the credit was first provided in 

1950. A statement showing the determination and distribution of net 

assessment income in 1956 is presented in Table 9.

T a b l e 1 0 . A s s e t s a n d L i a b i l i t i e s o f t h e 

F e d e r a l D e p o s i t I n s u r a n c e C o r p o r a t i o n , D e c e m b e r 3 1, 1956

ASSETS

Cash............................................................................................................

U . S. Government obligations:

Securities at amortized cost (face value $1,830,000,000;

market or redemption value $1,757,519,391)..........................

Accrued interest receivable..............................................................

Assets acquired in receivership and deposit assumption transactions:

Subrogated claims of depositors against closed banks..........

Net insured balances of depositors in closed banks, to be

subrogated when paid— contra...............................................

Loans to insured banks.................................................................

Loan to receiver for closed bank................................................

Assets purchased under agreements to return any excess

recovery to selling banks..........................................................

Other purchased assets..................................................................

Less reserves for losses..................................................................

Deferred charges and sundry assets...............................................

Furniture, fixtures, and equipment................................................

T otal assets...............................................................

LIABILITIES1

Accounts payable and miscellaneous accrued liabilities...........

Earnest money, escrow funds, and collections held for others.

Accrued annual leave of employees...............................................

Due insured banks:

Net assessment income credits available July 1, 1957.........

Other..................................................................................................

Deferred credits...................................................................................

Net insured balances of depositors in closed banks— contra. . 

Reserve for deposit insurance expenses.........................................

T otal lia b ilities .......................................................

DEPOSIT INSURANCE FUND

Fund (see table 7)*............................................................................

T otal liabilities and fu n d ...................................

$1,825,165,990

6,071,880

3,442,589

320,466

2,085,169

463,022

6,739,213

13,456

13,063,915

8,638,669

87,338,043

8,432,733

4,221,686

1,831,237,870

4,425,246

124,1451

$1,840,008,948

494,924

189,534

1,043,586

95,770,776

4,891

320,466

107,722

$ 97,931,899

1,742,077,049

$1,840,008,948

1 Capital stock was retired by payments to the United States Treasury in 1947 and 1948, pursuant 

to the Acts of August 5, 1947, (61 Stat. 773) and June 29, 1948, (62 Stat. 1092).

8 The Deposit Insurance Fund represents the cumulative net income (surplus) of the Corporation 

from its inception to December 31, 1956. For the protection of depositors, in addition to this Fund, the 

Corporation is authorized to borrow up to three billion dollars from the United States Treasury when 

In the judgment of the Board of Directors such funds are required for insurance purposes.

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16 FEDERAL DEPOSIT INSURANCE CORPORATION

Assets and liabilities, December 31, 1956. The assets of the Corporation on December 31, 1956, totaled $1,840 million. Of this amount, 

$1,831 million was represented by holdings of United States Government 

securities, including accrued interest thereon. Assets held which had been 

acquired in deposit payoff and deposit assumption cases were valued at 

$4 million, after provision for losses. Cash held at the year-end amounted 

to $4 million.

Liabilities totaled $98 million on December 31, 1956. Nearly all of 

this amount represented net assessment income credits due insured 

banks. The excess of the Corporation’s assets over its liabilities, amounting at the end of 1956 to $1,742 million, constitutes the deposit insurance 

fund. Assets and liabilities of the Corporation on December 31, 1956, 

are given in Table 10.

The insurance fund and insured deposits. The ratio of the deposit 

insurance fund to deposits has increased slightly in the last few years. 

At the end of 1956 the fund amounted to 0.79 percent of deposits in 

insured banks. The relationship of the insurance fund to deposits in 

insured banks and to estimated insured deposits for each year-end date 

since 1934 is shown in Table 11.

Table 11. I n s u r e d D e p o s it s a n d t h e D e p o s it I n s u r a n c e F u n d , 1934-1956

Year 

(Dec. 31)

Deposits in 

insured banks 

(in millions) Percent

of

deposits

insured

Deposit

insurance

fund

(in

millions)

Ratio of deposit 

insurance fund to—

Total Insured1 Total

deposits

Insured

deposits

1956.............................................. $219,393 $121,008 55.2% $1,742.1 .79% 1.44%

1955.............................................. 212,226 116,380 54.8 1,639.6 .77 1.41

1954............................................... 203,195 110,973 54.6 1,542.7 .76 1.39

1953.............................................. 193,466 105,610 54.6 1,450.7 .75 1.37

1952............................................... 188,142 101,842 54.1 1,363.5 .72 1.34

1951............................................... 178,540 96,713 54.2 1,282.2 .72 1.33

1950............................................... 167,818 91,359 54.4 1,243.9 .74 1.36

1949..................... ......................... 156,786 76,589 48.8 1,203.9 .77 1.57

1948...................... ....................... 153,454 75,320 49.1 1,065.9 .69 1.42

1947................... ........................... 154,096 76,254 49.5 1,006.1 .65 1.32

1946.............................................. 148,458 73,759 49.7 1,058.5 .71 1.44

1945.................................... . . . . 158,174 67,021 42.4 929.2 .59 1.39

1944............................................... 134,662 56,398 41.9 804.3 .60 1.43

1943........................................ .. 111,650 48,440 43.4 703.1 .63 1.45

1942............................................ . 89,869 32,837 36.5 616.9 .69 1.88

1941............................................... 71,209 28,249 39.7 553.5 .78 1.96

1 9 4 0 ..................... ..................... 65,288 26,638 40.8 496.0 .76 1.86

1939............................................... 57,485 24,650 42.9 452.7 .79 1.84

1938............................................... 50,791 23,121 45.5 420.5 .83 1.82

1937............................................... 48,228 22,557 46.8 383.1 .79 1.70

1936............................................... 50,281 22,330 44.4 343.4 .68 1.54

1935............................................... 45,125 20,158 44.7 306.0 .68 1.52

1 9 3 4 ...................... ..................... 40,060 18,075 45.1 333.0 .83 1.84

1 Estimated by applying to the deposits in the various types of account at the regular call dates the 

percentages insured as determined from special reports secured from insured banks.

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FINANCES OF THE CORPORATION 17

Audit. As required by the Federal Deposit Insurance Act, the Comptroller General of the United States makes an annual audit of the Corporation. The short form of the audit report for the year ended June 30, 

1956, as furnished to the Corporation by the Comptroller General, is 

given in Table 13, on pages 19-21.

L e g a l D e v e l o p m e n t s

Federal legislation. The Federal Deposit Insurance Act was amended 

by Section 3 of Public Law 896, 84th Congress, approved August 1, 1956, 

to extend Federal deposit insurance to Guam. The National Bank Act 

and all other acts of Congress relating to national banks were also made 

applicable to Guam by Section 2 of Public Law 896.

The Bank Holding Company Act of 1956, to define bank holding 

companies, control their future expansion, and require divestment of 

their nonbank interests, was approved May 9, 1956 (Public Law 511, 

84th Congress).

These enactments are given in Part Four of this report.

Rules and regulations o f the Corporation. A proposed amendment 

of Section 329.6 of the Corporation’s rules and regulations, which relates 

to the maximum rates of interest payable on time and savings deposits 

by insured nonmember banks, to permit compounding of interest monthly, 

instead of quarterly, at maximum permissible rates was published in the 

Federal Register of February 25, 1956 (21 F.R. 1275), but was not 

adopted.

Section 329.6 of the Corporation’s rules and regulations was amended 

effective January 1, 1957 (21 F.R. 9693, Dec. 7, 1956). This amendment 

changed the maximum permissible rate of interest payable on time and 

savings deposits of 23^ percent in paragraph (a) of Section 329.6 to 3 

percent, and the maximum permissible rate of 2 percent in paragraph 

(b) of Section 329.6 to 23^ percent. No change was made in the maximum 

permissible rate of 1 percent in paragraph (c) of Section 329.6. The 

amendment also eliminates provisions as to maximum rates payable 

under deposit contracts entered into before specified dates in 1936, 

since with the passage of time these provisions have become obsolete 

and of no significance. The amended Section 329.6 is given in Part Four 

of this report.

State legislation. A summary of State banking legislation enacted 

in 1956 is given in Part Four of this report.

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18 FEDERAL DEPOSIT INSURANCE CORPORATION

O r g a n iz a t io n a n d P e r s o n n e l

Directors and employees. The management of the Federal Deposit 

Insurance Corporation is vested in a three-member Board of Directors. 

There were no changes in the membership of the Board during 1956.1 

The directors and other Corporation officials are listed on page v, and 

an organization chart of the Corporation is shown on page iv. Names of 

the Corporation’s supervising examiners and locations of the district 

offices are given on pages vi and vii.

The Corporation had 1,144 employees on December 31, 1956, an 

increase of 13 over the previous year-end. About three-fourths of the 

Corporation’s personnel are employed in the Division of Examination. 

A distribution of the Corporation’s employees according to Division 

and location is presented in Table 12.

T a b l e 1 2 . N u m b e r o f O f f i c e r s a n d E m p lo y e e s o f t h e 

F e d e r a l D e p o s i t I n s u r a n c e C o r p o r a t i o n , D e c e m b e r 3 1 , 1950

Division Total Washington

office

District 

and other 

field offices

Total.................................................................................................... 1.144

3

289 855

Directors......................................................................................... s

Executive Offices........................................................................... 16 1$

Legal Division.............................. ................................................ 24 24

Division of Examination...................... ...................................... 818 46 772

Division of Liquidation............................................................... 60 18 42

Division of Research and Statistics......................................... 41 41

Audit Division................................................... ....................... 59 18 41

Office of the Controller................................................................ 123 | 128

During the last 10 years employment has ranged from a low of 1,002 

to a high of 1,160. Turnover in 1956 amounted to 17 employees per 100, 

exclusive of temporary personnel engaged in field liquidation activities. 

Competing employment opportunities have made it difficult to attract 

and retain examiner personnel; at the end of 1956 there were 57 vacancies 

in the authorized field examiner staff.

Employee benefits and programs. Benefits available to Corporation 

employees include vacation and sick leave, retirement annuities, life 

insurance, and medical benefits. At the end of 1956, 98 percent of the 

Corporation’s employees were included in the United States Civil Service 

Retirement System; the remaining 2 percent were covered under the 

retirement provisions of the Social Security Act. Also on that date, 96 

percent of the eligible employees had availed themselves of the group 

life insurance benefits provided under the Federal Employees’ Group

i Mr. Maple T. Harl, who had been a director of the Corporation since January 5, 1946, died on 

April 17, 1957.

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ORGANIZATION AND PERSONNEL 19

Life Insurance Act of 1954. Employees are eligible for benefits in case of 

disabling injuries under terms of the Federal Employees' Compensation 

Act, and for unemployment benefits under terms of legislation extending 

such benefits to Federal employees on January 1, 1955.

Since 1952 the Corporation has provided hospitalization, surgical 

benefits and in-hospital medical benefits for its employees. The Corporation bears the cost of this program for its employees, who may individually extend it to cover dependents by paying the additional cost. The 

Corporation provides facilities for an employees’ credit union, which is 

particularly helpful to examiners, who are prohibited by law from borrowing from insured banks.

The Corporation encourages examiners and auditors to participate 

in a somewhat formalized educational program. At the end of 1956 

about half of the examiners were enrolled in courses of study whose costs 

are paid by the Corporation. During the eleven years the program has 

been in operation, over 2,000 formal courses of study have been completed by examiners. The program consists principally of correspondence 

courses given by the American Institute of Banking and special graduate 

courses in banking at three universities. In addition, Corporation examiners participate in the Inter-Agency Bank Examination School 

sponsored by the Federal bank supervisory agencies and conducted by 

the Board of Governors of the Federal Reserve System. Further educational purposes are served by the District conferences of Corporation 

examiners; these are held every other year, and are a valued medium 

for instruction and appraisal.

Table 13. A u d it R e p o r t o f t h e F e d e r a l D e p o s it I n s u r a n c e

C o r p o r a t io n f o r t h e F is c a l Y e a r E n d e d J u n e 30, 1956

C o m p t r o l l e r G e n e r a l o f t h e U n it e d St a t e s

W a s h in g t o n 25

B-11483 December 14, 1956

Board of Directors

Federal Deposit Insurance Corporation

Gentlemen:

The General Accounting Office has made an audit of F e d e r a l D e p o s it I n s u r a n c e

C o r p o r a t io n , an independent Government agency, for the fiscal year ended June 30,

1956, in accordance with section 17(b) of the Federal Deposit Insurance Act (12

U.S.C. 1827).

This audit included an examination of the balance sheet of Federal Deposit Insurance Corporation as of June 30, 1956, and the related statement of income and

deposit insurance fund for the year then ended. The examination was made in accordance with generally accepted auditing standards and included such tests of the

accounting records and such other auditing procedures as were considered necessary

in the circumstances and appropriate in view of the effectiveness of the system of

internal control, including the work performed by the Corporation's internal auditors.

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20 FEDERAL DEPOSIT INSURANCE CORPORATION

Table 13. A u d it R e p o r t o f t h e F e d e r a l D e p o s it I n s u r a n c e

C o r p o r a t io n f o r t h e F is c a l Y e a r E n d e d J u n e 30, 1956— Continued

In the opinion of the General Accounting Office, the accompanying balance sheet

(exhibit 1) and statement of income and deposit insurance fund (exhibit 2) present

fairly the financial position of Federal Deposit Insurance Corporation at June 30>

1956, and the results of its operations for the year then ended, in conformity with

generally accepted accounting principles applied on a basis consistent with that of

the preceding year and with applicable Federal laws.

Sincerely yours,

/ s / J o s e p h C a m p b e l l

Comptroller General of the United States

Exhibit 1. F e d e r a l D e p o s i t I n s u r a n c e C o r p o r a t io n ,

B a l a n c e S h e e t , J u n e 3 0, 1956

ASSETS

$ 2,562,146

U. S. G overn m en t oblig a tion s:

Securities, at amortized cost (face value, $1,815,200,000;

market or redemption value, $1,778,666,328)........................

Accrued interest receivable..............................................................

$1,810,140,116

6,707,097 1,816,847,213

Assets acquired in deposit assu m ption and receivership 

tra n saction s:

Subrogated claims of depositors against closed insured banks. 

Net balances of depositors in closed insured banks, to be

subrogated when paid— contra...................................................

Loans to insured banks.....................................................................

Equity in assets acquired under purchase agreements.............

Assets purchased outright.................................................................

1,265,926

18,971

2,233,479

7,745,212

13,415

Less estimate for losses......................................................................

11,277,003

8,346,249 2,930,754

A ccou n ts receivable, deferred ch arges, an d su n dry assets. 122,098

F u rn itu re, fixtures, and eq u ip m en t, less accumulated 

depreciation of $602,460............................................................... 1

LIABILITIES AND DEPOSIT INSURANCE FUND

$1,822,462,212

A ccou n ts payable and accrued liabilities ................................. $ 552,758

E arnest m on ey, escrow fu n d s, and collection s h eld for 

o th e rs ............................................................................................... 164,230

E m ployees' accru ed an n u al leave................................................. 1,101,734

D eferred cr e d its .................................................................................... 8,446

N et balances o f depositors in closed insured banks— contra 18,971

N et assessm ent in co m e credits d u e insured banks (note 1):

Available July 1, 1956.......................................................................

Estimated amount available July 1, 1957, from net assessment income for 6 months ended June 30, 1956....................

$ 85,409,716 

44,387,963 129,797,679

Total liabilities............................................................... 131,643,818

D eposit insurance fu n d , representing accumulated income 

from inception to June 30,1956, available for future deposit 

insurance losses and related expenses (note 2 and exhibit 2). 1,690,818,394

$1,822,462,212

The notes following exhibit 2 are mn Integral part of this statement.

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AUDIT OF THE CORPORATION 21

T a b l e 1 3 . A u d it R e p o r t o f t h e F e d e r a l D e p o s it I n s u r a n c e

C o r p o r a t io n f o r t h e F is c a l Y e a r E n d e d J u n e 3 0, 1956— C o n tin u e d

E x h i b i t 2 . F e d e r a l D e p o s it I n s u r a n c e C o r p o r a t io n , S t a t e m e n t o f I n c o m e

a n d D e p o s it I n s u r a n c e F u n d f o r t h e F is c a l Y e a r E n d e d J u n e 30, 1956

Deposit insurance assessments............................................................

Deduct net assessment Income credits due insured banks (note 1)

$ 155,141,790 

87,741,613

Income from U. S. Government securities.......................................

Other income............................................................................................

67,400,177

41,517,468

33,578

Deduct:

Administrative and operating expenses:

Salaries..............................................................................................

Travel................................................................................................

Rents and utilities..........................................................................

Other..................................................................................................

$6,273,334

1,607,925

421,416

570,691

8,873,366

103,593

108,951,223

Nonrecoverable deposit insurance expenses................................. 8,976,959

Add reduction in estimate for deposit insurance losses on acquired banking assets:

Reduction in loss estimate on prior year cases...........................

Loss estimate on case acquired during the year.........................

448,232

144,769

99,974,264

303,463

Net income for year transferred to deposit insurance fund.........

Deposit insurance fund, June 30, 1955.............................................

Deposit insurance fund, June 30, 1956 (note 2 and exhibit 1 )...

100,277,727

1,590,540,667

$1,690,818,394

The notes on the following pages are an integral part of this statement.

N o t e s t o t h e F i n a n c i a l St a t e m e n t s— J u n e 30, 1956

1. Section 7(d) of the Federal Deposit Insurance Act (12 U.S.C. 1817(d) ) provides that, as of 

December 81, 1950, and as of December 31 of each year thereafter, the Corporation shall credit pro 

rata to the insured banks 60 percent of the net assessment income (as defined by the act) for the calendar 

year, the credit to be applied toward the payment of assessments becoming due for the semiannual 

period beginning the next July 1 and any excess credit to be applied to the assessment of the following 

period.

At June 30, 1956, the net amount due the banks for credits computed on the net assessment 

income for calendar year 1955 and on adjustments of such income for prior years was $85,409,716. The 

actual amount of credit due the banks from calendar year 1956 net assessment Income is not determinable 

until after December 31, 1956. However, an estimated credit for the first 6 months of 1956 has been 

computed to be $44,387,963.

2. At June 30, 1956, the deposit insurance fund of $1,690,818,394 was equivalent to 1.48 percent 

of the insured deposits in all banks, estimated by the Corporation at 114.6 billion dollars. This fund, 

however, is not a measure of the deposit insurance risk, and its adequacy to meet future losses will 

depend on future economic conditions which cannot be predicted. From its inception to June 30, 1956, 

the Corporation disbursed about $338,000,000 In protecting depositors of 429 insured banks and facilitating the termination of liquidations, on which incurred losses amount to $28,083,613, including 

estimated losses of $8,346,249 on cases not terminated.

Existing law does not specify either the amount or the ratio of insured deposits to which the 

insurance fund is to be accumulated.

The Corporation may borrow from the United States Treasury, at interest, such funds as in the 

judgment of the board of directors of the Corporation are required from time to time for insurance

E

urposes, not exceeding, in the aggregate, three billion dollars outstanding at any time. The Corporation 

as never used this borrowing power.

8. In accordance with the law, the Corporation has not borne the Government's share of the cost 

of providing retirement, disability, and compensation (including unemployment) benefits for the employees of the Corporation. These costs are estimated to be approximately $285,000 for the fiscal year 

1956.

4. The securities owned by the Corporation at June 30, 1956, with a face value of $1,815,200,000, 

were held In safekeeping by the Treasurer of the United States ($1,157,700,000) and by the Federal 

Reserve Bank of New York ($657,500,000). The cash balance ($2,562,146) of the Corporation at that 

data included $2,353,439 deposited with the Treasurer of the United States.

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Federal Reserve Bank of St. Louis
PART TWO

BANKING DEVELOPMENTS

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N u m b e r o f B a n k s a n d T h e ir I n s u r a n c e S t a t u s

Changes in number of operating banks and branches. At the

end of 1956 there were 22,314 banking offices in the United States. The 

number of banks has decreased annually since 1947, but the opening of 

additional branches has resulted each year in an increase in the number 

of banking offices. Table 14 shows the number of banks and branches 

at the end of each year, and the changes occurring annually, from 1946 

to 1956.

Table 14. N u m b e r a n d C h a n g e s i n B a n k in g O f f ic e s in t h e

U n it e d S t a t e s (C o n t in e n t a l U . S. a n d O t h e r A r e a s ), 1946-1956

Year

Number at end of year 

or period Change in number Percentage change

or

period Total

banking

offices

Banks Branches1

Total

banking

offices

Banks Branches1

Total

banking

offices

Banks Branches1

1946-1956.. 22,314 14,208 8,106 3,335 -551 3,886 17.6% -3 .7 % 92.1%

1956 22,314 14,208 8,106 639 -76 715 2.9 -.5 9.7

1955........ 21,675 14,284 7,391 515 -125 640 2.4 -.9 9.5

1954 . . 21,160 14,409 6,751 381 -143 524 1.8 -1.0 8.4

1953........ 20,779 14,552 6,227 329 -65 394 1.6 -.4 6.8

1 9 5 2 .... 20,450 14,617 5,833 295 —44 339 1.5 -.3 6.2

1951........ 20,155 14,661 5,494 304 -32 336 1.5 -.2 6.5

1950 19,851 14,693 5,158 251 -43 294 1.3 -.3 6.0

1949 19,600 14,736 4,864 234 -17 251 1.2 -.1 5.4

1948 19,366 14,753 4,613 191 -14 205 1.0 -.1 4.7

1947 

1946 , .

19,175

18,979

14,767

14,759

4,408

4,220

196 8 188 1.0 .1 4.5

1 Includes “ facilities’* at military installations.

In recent years the relative number of banks and branches has been 

altered by an increased number of deposit assumption transactions 

and of new branches opened. On December 31, 1946, there were 1,194 

banks operating branches, with a total of 4,220 branches; ten years 

later the numbers had risen to 2,060 banks and 8,106 branches. During 

the 10-year period 90 percent of the banks which ceased operations 

were absorbed by other banks, and more than four-fifths of that group 

were converted into branches. Of the new banking offices opened during 

the period 79 percent were branches. The number of branches opened 

increased in each of the ten years. The number of absorptions in 1956, 

while smaller than in 1955 and 1954, was more than twice as great as 

that for any of the years 1947 through 1951. However, because of new 

banks opened the total number of banks decreased less than 4 percent 

during the ten years. The changes which occurred in the numbers of 

banks and branches each year from 1947 through 1956 are analyzed in 

Table 15.

25

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26 FEDERAL DEPOSIT INSURANCE CORPORATION

Table 15. A n a l y s is o f C h a n g e s i n t h e N u m b e r o f B a n k i n g O f f ic e s in

t h e U n it e d St a t e s (C o n t in e n t a l U . S. a n d O t h e r A r e a s ), 1947-1956

Year

All 

banking 

offices— 

net 

increase

Banks Branches

Net

change

Began

operations1

Ceased

operations

Other 

additions 

to ( + ) 

or deletions 

from 

<-) 

count— 

net4

Net

increase

Opened for 

business

Discontinued— 

total*

Other 

additions 

to ( + ) 

or deletions 

from 

(-) 

count— 

net4

Absorbed2Liquidated*

Succeeded

absorbed

banks

Other

new

branches5

1956 639 -76 119 189 9 + 3 715 168 582 89 + 4

1955 515 -125 116 231 10 640 206 483 60 •f-1

1954 381 -143 72 207 9 + 1 524 181 378 87 + 2

1953 329 -65 65 115 12 -3 394 97 323 29 + 3

1952 295 -44 69 99 16 + 2 339 84 278 21 -2

1951 804 -32 63 78 18 + 1 336 59 298 24 + 3

1950 251 -43 69 89 15 —8 294 73 231 22 + 12

1949 234 -17 72 76 20 + 7 251 61 195 8 + 3

1948 191 -14 78 77 15 205 59 162 20 + 4

1947 196 8 113 82 15 -8 188 55 165 31 -1

i M ostly new banks, but Includes a few previously operating financial institutions which became 

banks of deposit.

a Net decrease as a consequence of absorptions, consolidations, and mergers.

* Suspensions and voluntary liquidations. Also includes in each year from one to four cases of banks, 

the deposits of which were assumed with FD IC aid.

* Includes revisions in classification and changes occurring in prior years, but on which no information was available until given year.

» In each year includes: from one to seven cases of branches replacing banks relocated or placed in 

liquidation or receivership; and from one to thirty-nine facilities established in or near military installations at the request of the Treasury or Commanding Officer of the installation.

* In each year (except 1949, 1951, and 1952) includes from one to ten facilities discontinued at 

military installations.

Detailed data: Table 101, Annual Reports of the Federai Deposit Insurance Corporation, 1947*1956.

From 1946 to 1956 the population of the continental United States 

rose by 19 percent, and the number of banking offices increased by 17 

percent. There was an increase in population in each of the States, but 

the number of banking offices declined in three States. In 22 States the 

number of banking offices increased by a greater percentage than did 

the population.

Types o f operating banks and their insurance status. Almost 96 

percent of banks operating in the United States at the end of 1956 were 

classified as commercial banks, approximately 4 percent were mutual 

savings banks, while trust companies not regularly engaged in deposit 

banking constituted less than one-half of 1 percent. The proportion of 

the banks in each category is virtually the same as that existing ten 

years ago. In Table 16 all banks in the United States are classified by 

type and insurance status.

The proportion of all banks which participate in insurance provided 

by the Federal Deposit Insurance Corporation has continued to increase 

gradually. At the close of 1956 the participating institutions comprised 

97 percent of commercial banks and 42 percent of mutual savings banks. 

Ten years earlier the percentages were 94 and 35, respectively. Trust

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companies which are not regularly engaged in deposit banking are not 

eligible for deposit insurance.

NUMBER OF BANKS AND THEIR INSURANCE STATUS 27

Table 16. N u m b e r a n d D e p o s it s o f A l l B a n k s in t h e U n it e d

S t a t e s (C o n t in e n t a l U . S. a n d O t h e r A r e a s ), D e c e m b e r 31, 1956

Number or deposits Percentage of total

Total Insured

banks

Noninsured

banks

Insured

banks

Noninsured

banks

N u m ber o f banks— to ta l............................

Banks of deposit...........................................

Commercial.................................................

Mutual savings...........................................

Trust companies not regularly engaged 

in deposit banking....................................

14,208

14,148

18,620

528

60

$228,579

228,506 

198,m 

80,032

73

13.441

13.441 

13,218

228

767

707

U02

305

60

$9,186

9,113

1,967

7,1*6

73

94.6%

95.0

97.0

U2.2

5.4%

5.0

5.0

57.8

100.0

4.0

4.0

1.0

23.8

100.0

D eposits (in m illion s)— to ta l....................

Banks of deposit...........................................

Commercial.................................................

Mutual savings...........................................

Trust companies not regularly engaged 

in deposit banking1..................................

$219,393

219,393

196,507

22,886

96.0

96.0

99.0

76.2

1 Deposits of these companies consist of uninvested trust funds and special accounts. 

Detailed data: See Table 103, pp. 100-101.

B a n k A sse t s

Growth o f assets in 1956 and prior years. During the year 1956 

the assets of all banks increased by $9 billion, reaching a total of $252 

billion. The increase, which amounted to 3.6 percent, was slightly smaller 

than that in 1955. At the close of 1956 the assets of all banks were 49 

percent greater than they had been ten years earlier.

The assets of commercial banks rose by 3.2 percent in 1956, compared with an increase of 3.9 percent in the year previous. During 1956 

the assets of mutual savings banks continued to grow more rapidly than 

those of commercial banks. Assets of mutual savings banks increased 

6.5 percent in 1956 and 6.8 percent in 1955. In the 10-year period ending 

December 31, 1956, the assets of commercial banks increased 45 percent, 

while the assets of mutual savings banks increased 78 percent. At the 

close of 1956 commercial banks held 86 percent of the assets of all banks.

Composition o f total assets. During the ten years from the end of 

1946 to the close of 1956 important changes took place in the composition 

of total bank assets. The banks’ holdings of United States Government 

obligations were reduced by nearly one-fourth. At the same time, the 

banks responded to the needs of the expanding economy by a three-fold 

increase in their loans. Chart B shows the percentages of total assets 

in the form of United States Government obligations and in loans, and 

also in cash and due from banks and in other assets, at the close of each 

year during the period.

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Federal Reserve Bank of St. Louis
28 FEDERAL DEPOSIT INSURANCE CORPORATION

C h a r t B . A m o u n t a n d D is t r ib u t io n o f A s s e t s , A l l B a n k s in t h e

U n it e d S t a t e s (C o n t in e n t a l U . S. a n d O t h e r A r e a s ),

A n n u a l l y , D e c e m b e r 31, 1947-1956

1947 1948 1949 1950 1951

U.S. GOVERNMENT OBLIGATIONS

I LOANS AND DISCOUNTS

1953 1954 1955 1956

CASH AND FUNDS OUE FROM BANKS

OTHER ASSETS

The distribution of the assets of all banks in the United States on 

December 31, 1956, is shown in Table 17. On that date 27 percent of 

the assets of commercial banks consisted of United States Government 

obligations and 42 percent were loans. For mutual savings banks the 

proportions were 24 percent and 59 percent, respectively. For both

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Federal Reserve Bank of St. Louis
BANK ASSETS 29

groups of banks these percentages represent a marked change from ten 

years previously, when United States Government obligations were 55 

percent and loans were 18 percent of total assets in commercial banks, 

while for mutual savings banks the percentages were 63 and 24, 

respectively.

Table 17. D is t r ib u t io n o f A s s e t s o f A l l B a n k s in t h e U n it e d S t a t e s

(C o n t in e n t a l U . S. a n d O t h e r A r e a s ), b y T y p e a n d

I n s u r a n c e S t a t u s o f B a n k s , D e c e m b e r 31, 1956

(Amounts in millions)

All

banks

Commercial banks Mutual savings banks

Assets

Insured Noninsured Insured Noninsured

T ota l a ssets ........................................... $251,965 $216,145 $2,509 $25,282 $8,028

Cash and funds due from banks. . . 49,837 48,444 472 739 182

Securities.............................................. 87,352 73,947 1,242 8,628 3,535

U. S. Government obligations. . . . 66,795 57,958 867 5,518 2,U53

Obligations of States and subdivisions ........................................ IS,687 12,716 251 562 107

Other securities................................ 6,920 3,273 12 U 2,5U8 975

Loans and discounts, net................. 110,632 90,143 712 15,542 4,236

Valuation reserves............................... 1,785 1,562 U 19U 25

Loans and discounts, gross.............. 112,417 91,705 716 15,736 4,261

Commercial and industrial............ 38,965 38,707 216 38 U

Agricultural {excluding real estate) U,181 k-,116 6J, 2

For carrying securities................... U,322 4.,236 65 17 3

Real estate......................................... U2,U6U 22,U8U 235 15,568 U,177

Other loans to individuals.............. 19,116 18,829 112 103 73

All other loans.................................. 3,368 3,333 2U 8 3

Fixed and miscellaneous assets. . . . 4,144 3,611 84 373 76

Number of banks, Dec. 31, 1956. . . . 14,208 13,218 462 223 305

Detailed data; See Table 105, pp. 106-107.

Note: Due to rounding differences, components may not add precisely to the indicated totals.

Types of loans. During each of the ten years, 1947 through 1956,

loans increased both in amount and as a percentage of the total assets 

of all banks in the United States. At the same time, as is shown by 

Chart C, there was considerable fluctuation in the percentages of total 

loans represented by each of the major types of loans. Two categories 

of loans, commercial and industrial and those on real estate, each accounted for approximately one-third of the total volume of loans outstanding at the end of each year. However, real estate loans were the 

largest category of loans in each of the last four years, while commercial 

and industrial loans exceeded the other categories in most of the earlier 

years. The volume of loans in the category “ other loans to individuals” 

increased during the period, and at the end of 1956 was approximately 

one-half that of the commercial and industrial loans.

Chart D shows the relative volume of the various types of “ other 

loans to individuals” which insured commercial banks had outstanding

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Federal Reserve Bank of St. Louis
30 FEDERAL DEPOSIT INSURANCE CORPORATION

Chart C. A m o u n t a n d D i s t r ib u t io n o f L o a n s , A l l B a n k s i n t h e

U n it e d S t a t e s (C o n t in e n t a l U . S. a n d O t h e r A r e a s ),

A n n u a l l y , D e c e m b e r 31, 1947-1956

AMOUNT BILLIONS OF DOLLARS 

---------------------------125

(including valuation reserves)

DISTRIBUTION IN PERCENT

° ” ^ 4 r _ T 9 4 P _T 9 4 P ^ 9 5 r ^ 9 5 r 1952 1953 1954 1955 1958 °

REAL ESTATE

COMMERCIAL AND INDUSTRIAL

FOR CARRYING SECURITIES Mother loan s to in d iv id u a ls

f S S L . ) EED ALL OTHER LOANS

at the close of each of the past ten years. The total volume of such loans 

outstanding increased in each year, but this was not true for every 

category of loans. Consequently, there were fluctuations in the percentages of total loans represented by each of the various classes. Approximately one-third of the total “ other loans to individuals” now

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Federal Reserve Bank of St. Louis
BANK ASSETS 31

C h a r t D. A m o u n t a n d D is t r ib u t io n o f “ O t h e r L o a n s t o I n d iv id u a l s ” ,

I n s u r e d C o m m e r c ia l B a n k s i n t h e U n it e d S t a t e s (C o n t in e n t a l U . S. a n d

O t h e r A r e a s ), A n n u a l l y , D e c e m b e r 31, 1947-1956

1955 1956

OTHER RE1___

INSTALMENT

i 1' !!!!. 1 OTHER RETAIL i |f--------------

REPAIR AND MODERNIZATION INSTALMENT

consists of retail automobile instalment loans, more than double the 

proportion represented by this category on December 31, 1946. Single 

payment loans, on the other hand, declined from more than 60 percent 

of “ other loans to individuals” at the close of 1946 to 30 percent ten 

years later.

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Federal Reserve Bank of St. Louis
32 FEDERAL DEPOSIT INSURANCE CORPORATION

Obligations of the United States Government, and of States

and subdivisions. In the investment portfolios of banks, that portion 

of the United States Government obligations which will mature in less 

than five years has increased greatly in recent years. The change which 

occurred from the end of 1946 to the close of 1956 in the maturity distribution of the marketable United States Government obligations held 

by insured commercial banks is shown by Chart E. There was also a 

movement toward shorter maturities for the marketable United States 

Government obligations owned by insured mutual savings banks. However, at the end of 1956, almost two-thirds of these securities held by 

mutual savings banks had maturities of between 10 and 20 years.

C h a r t E . M a t u r it ie s o f D ir e c t M a r k e t a b l e O b l ig a t i o n s o f t h e

U n it e d St a t e s G o v e r n m e n t O w n e d b y O p e r a t in g I n s u r e d C o m m e r c ia l

B a n k s in t h e U n it e d S t a t e s (C o n t in e n t a l U . S. a n d O t h e r A r e a s ),

D e c e m b e r 31, 1946, a n d D e c e m b e r 31, 1956

The amount of the obligations of States and their subdivisions held 

by all banks at the close of 1956 was three times as great as that ten 

years earlier. On December 31, 1956, 5.4 percent of the assets of all 

banks consisted of obligations of States and their subdivisions. Of these 

obligations owned by insured commercial banks on June 30, 1956, 50 

percent had maturities of five years or less, compared with 46 percent 

nine years earlier. On June 30, 1956, 79 percent of the obligations of 

States and subdivisions owned by insured commercial banks consisted 

of general obligation bonds and long-term Public Housing Authority 

obligations, 15 percent were revenue bonds, and 6 percent were notes 

and warrants without specific maturity.

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BANK DEPOSITS 33

B a n k D e p o sit s

Deposit growth in 1956 and prior years. At the end of 1956 total 

deposits in all banks were 46 percent greater than they had been ten 

years earlier. The rate of increase of 3.2 percent in 1956 was lower than 

for either 1955 or 1954.

As is shown by Table 18, great differences exist in the rates at which 

total deposits in various classes of banks have changed since 1946. At 

the close of 1956, 87 percent of total deposits were in commercial banks. 

However, during the preceeding ten years, the deposits in mutual savings 

banks increased 78 percent while those in commercial banks grew 42 

percent. In the ten years ending December 31, 1956, deposits in banks 

participating in insurance provided by the Federal Deposit Insurance 

Corporation increased more rapidly than deposits in banks not having 

this insurance. This is largely explained by changes in the number of 

insured and noninsured banks. From December 31, 1946, to the end of

1956 the number of insured commercial banks declined 1 percent; at

T a b l e 1 8 . D e p o s it s o f A l l B a n k s in t h e U n it e d S t a t e s (C o n t in e n t a l U . S.

a n d O t h e r A r e a s ), B y T y p e a n d I n s u r a n c e St a t u s o f B a n k s , D e c e m b e r 31, 1956,

a n d P e r c e n t a g e C h a n g e s F r o m 1946 t o 1956

Deposits or 

percentage change

All

banks

Commercial banks

Total Insured Noninsured

Mutual savings banks

Total Insured Noninsured

A m ou n t (in m illio n s ): 

T otal d e p o sits ...........

Business and personal: 

Demand1 

Time and savings 

States and subdivisions 

United States Government ...........................

Interbank2.....................

Total demand deposits.

Total time deposits. . . .

Percentage ch an ge Dec. 

31, 1946, to Dec. 31, 

1956

T otal d ep osits ...............

Business and personal:

Demand.....................

Time and savings 

States and subdivisions 

United States Government .......................

Interbank*................

$228,579

115,292

78,510

13,005

4,130

17,643

1U5,79U

82,785

45.8%

37.8

56.1

88.6

30.6

38.5

$198,547

115,268

48,525

12,988

4,126

17,641

11*5,765

52,782

41.9%

37.8

45.1

88.4

30.5

38.5

$196,507

114,235

48,113

12,768

4,071

17,320

1U,38A

52,122

43.4%

38.9

46.9

92.5

33.6 

40.5

$2,040

1,033

412

219

56

321

1,381

660

-28.5%

-26.0

-38.6

-15.8

-50.9

- 22.1

$30,032

24

29,985

18

4

80,003

78.0%

100.0

77.9

900.0

200.0

$22,886

22

22,843

16

3

2

26

22,859

100.3%

120.0

100.1

700.0

50.0

$7,146

2

7,141

2

3

7,US

31.3%

"si.s"

Number of banks:

December 31, 1956. . . . 

December 31, 1 9 4 6 ....

14,208

14,759

13,680

14,218

13,218

13,359

462

859

528

541

223

191

305

350

1 Includes certified and officers’ checks, cash letters of credit, etc.

8 Includes postal savings deposits.

* In the tabulations for 1946 a small amount of unclassified deposits was included with interbank 

deposits.

Detailed data for 1956: See Table 105, pp. 106-107.

Note: Due to rounding differences, data may not add precisely to the indicated totals.

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Federal Reserve Bank of St. Louis
34 FEDERAL DEPOSIT INSURANCE CORPORATION

the same time the number of noninsured commercial banks was reduced 

by 46 percent, and the number of noninsured mutual savings banks 

diminished 13 percent. Insured mutual savings banks increased in 

number by 17 percent during this period.

While the total deposits of banks in the United States have been 

rising, the deposits held by a number of banks have declined. Total 

deposits in insured commercial banks rose 7 percent between June 30,

1954, and June 30, 1956, yet 23 percent of these banks reported a decline 

in deposits in that period. Reductions in deposits were reported by some 

banks in all States except Arizona. In 18 States more than 20 percent 

of the insured commercial banks experienced declines in deposits. However, because of gains by other banks, total deposits in insured commercial 

banks were lower in only one of these States. As is shown by Table 19, 

three-fourths of the banks which reported decreases in deposits had 

declines of less than 10 percent.

Table 19. N u m b e r o f I n s u r e d C o m m e r c ia l B a n k s i n t h e U n it e d St a t e s

(C o n t in e n t a l U . S. a n d O t h e r A r e a s ) in W h ic h D e p o s it s D e c l in e d

B e t w e e n J u n e 30, 1954, a n d J u n e 30, 1956

Item Number of 

banks

T otal n u m b er w ith declin e in d e p o sits.................................................................................... 3,092

N u m ber w ith percen tage d eclin e o f—

Under 5 ..........................................................................................................................................

5 to 10............................................................................................................................................

10 to 15............................................................................................................................................

1,471

860

422

15 to 20............................................................................................................................................ 208

20 to 25.......................................................................................................................................... 80

25 to 30............................................................................................................................................ 33

30 or m ore....................................................................................................................................... 18

Components o f bank deposits. Reference again to Table 18 shows 

the amounts deposited to the credit of various classes of depositors on 

December 31, 1956. For all banks, business and personal deposits represented 85 percent of total deposits. The remainder was divided almost 

equally between the deposits of governmental units and those of banks. 

Chart F shows that, as a percentage of all deposits, total business and 

personal deposits fluctuated only moderately during the ten years 

ending December 31, 1956. However, in each of the years, 1952-1956, 

the savings and time deposits of individuals and business increased as a 

percentage of total deposits. Since the major part of the deposits in 

mutual savings banks consists of savings accounts of individuals, these 

banks are affected to a greater degree than are commercial banks by 

the more rapid rise of time and savings deposits.

Adjustment of the reported figures to eliminate the amount of checks 

in process of collection improves the data for the amount of deposits 

available to individuals and business enterprises and State and local

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Federal Reserve Bank of St. Louis
BANK DEPOSITS 35

governments. Chart G, which shows rates of change of such adjusted 

deposits and of total deposits of all banks semiannually for the past ten 

years, indicates that variations of the two generally coincide in direction 

but that in most instances, total deposits are more volatile. Pronounced 

seasonal fluctuations in both total and adjusted deposits are also evident.

Chart F. A m o u n t a n d D i s t r i b u t i o n o f D e p o s it s * A l l B a n k s in t h e 

U n i t e d S t a t e s ( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ) , 

A n n u a l l y , D e c e m b e r 31, 1947-1956

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36 FEDERAL DEPOSIT INSURANCE CORPORATION

C h a r t G . P e r c e n t a g e C h a n g e i n T o t a l D e p o s it s a n d i n A d j u s t e d

D e p o s it s , A l l B a n k s i n t h e U n it e d St a t e s (C o n t in e n t a l U . S. a n d

O t h e r A r e a s ), B y H a l f - Y e a r P e r io d s E n d in g J u n e 30 a n d

D e c e m b e r 31, 1947-1956

§H | TOTAL DEPOSITS

”1947 " * 1*948 " ” 7949 " 1950 * 1951 1952 1953 1954 *1955 1956

Total dtpesits Im U S. Gmtrnmmt dtpMltt, 

Interbank dtpotitt, cod it tail in proem •• colltctiwi.

The amounts and annual percentage changes of total, adjusted, and 

other deposits for the years, 1947-1956, are given in Table 20.

T a b l e 2 0 . T o t a l D e p o s it s , A d j u s t e d D e p o s it s , a n d O t h e r D e p o s it s o f A l l

B a n k s i n t h e U n it e d S t a t e s (C o n t in e n t a l U . S. a n d O t h e r A r e a s ),

D e c e m b e r 31, 1947-1956, w i t h A n n u a l P e r c e n t a g e C h a n g e s

Year

Amount (in millions) Percentage change from previous year

Total

deposits

Adjusted

deposits1

Other

deposits2

Total

deposits

Adjusted

deposits

Other

deposits

1956..................... $228,579 $192,843 $35,736 3.2% 3.0% 4.5%

1955..................... 221,391 187,204 34,187 4.4 3.7 8.3

1954..................... 212,030 180,471 31,559 5.0 5.4 2.6

1953...................... 201,978 171,211 30,767 2.8 3.5 -.5

1952..................... 196,431 165,500 30,931 5.3 5.0 7.0

1951...................... 186,604 157,698 28,906 6.0 5.6 7.8

1950..................... 176,120 149,316 26,804 6.6 5.3 14.6

1949..................... 165,244 141,848 23,396 2.0 1.0 8.1

1948...................... 162,041 140,406 21,635 -.4 -.3 -1.1

1947..................... 162,713 140,848 21,865 3.8 4.5 -.8

i Business and personal deposits (including certified checks, etc.) and those of States and subdivisions, less the amount of cash items in process of collection.

* United States Government deposits, interbank deposits, plus the amount of cash items in process 

of collection.

B a n k C a p it a l

Growth in capital accounts. The total capital accounts of all banks 

in the United States amounted to $19,350 million at the close of 1956. 

The rate of increase was 6.3 percent in 1956, compared with 4.9 percent 

in the previous year. During the ten years ending December 31, 1956, 

total capital accounts increased 71 percent.

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BANK CAPITAL 37

C h a r t H . R a t io o f C a p i t a l t o T o t a l A s s e t s , I n s u r e d C o m m e r c ia l

B a n k s in t h e U n it e d S t a t e s (C o n t in e n t a l U . S. a n d O t h e r A r e a s ),

D e c e m b e r 31, 1936, 1946, a n d 1956

1936 1946 1956

5%_______10% 0________5%_______10%

ALABAMA

ARIZONA

ARKANSAS

CALIFORNIA

COLORADO

CONNECTICUT

DELAWARE

DIST. OF COLUMBIA

FLORIDA

GEORGIA

IDAHO

ILLINOIS

INDIANA

IOWA

KANSAS

KENTUCKY

LOUISIANA

MAINE

MARYLAND

MASSACHUSETTS

MICHIGAN

MINNESOTA

MISSISSIPPI

MISSOURI

MONTANA

NEBRASKA

NEVADA

NEW HAMPSHIRE

NEW JERSEY

NEW MEXICO

NEW YORK

NORTH CAROLINA

NORTH DAKOTA

OHIO

OKLAHOMA

OREGON

PENNSYLVANIA

RHODE ISLAND

SOUTH CAROLINA

SOUTH DAKOTA

TENNESSEE

TEXAS

UTAH

VERMONT

VIRGINIA

WASHINGTON

WEST VIRGINIA

WISCONSIN

WYOMING

OTHER AREAS

UNITED STATES AVERAGE — — — > — I I .3%

5% 10% 0

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Federal Reserve Bank of St. Louis
38 FEDERAL DEPOSIT INSURANCE CORPORATION

As is shown on Chart H, the average ratio of capital to total assets 

of insured commercial banks rose from 6.3 percent at the end of 1946 

to 7.4 percent on December 31, 1956. However, at the end of 1956 the 

ratio was substantially lower than it had been twenty years earlier.

I n c o m e o f I n s u r e d B a n k s

Growth o f bank income in 1956 and prior years. Total income of 

insured commercial banks was 13 percent greater in 1956 than in the 

preceding year, and nearly two and one-fourth times as large as in 1947. 

Total income has increased in each year of the 10-year period ended 

December 31, 1956.

The total income of insured mutual savings banks in 1956 was 12 

percent greater than in 1955, and approximately twice as large as in 1947.

Sources o f bank income. Insured commercial banks received more 

than four-fifths of their total income from loans and securities in 1956. 

The proportion of the total income of insured commercial banks derived 

from loans increased from 38 percent in 1947 to 59 percent in 1956; 

while, in the same period, the proportion of income obtained from securities declined from 37 percent to 23 percent.

Table 21. S o u r c e s a n d D is p o s it io n o f T o t a l I n c o m e ,

I n s u r e d C o m m e r c ia l B a n k s in t h e U n it e d St a t e s

(C o n t in e n t a l U . S. a n d O t h e r A r e a s ), 1947 a n d 1952-1956

Income

Amounts (in millions)

1956 1955 1954 1953 1952 1947 1956 1952 1947

$7,482 $6,617 $6,405 $5,636 $5,076 $3,360 100.0% 100.0% 100.0%

4,413 3,697 3,263 3,156 2,784 1,282 59.0 54.9 38.2

1,343 1,334 1,273 1,207 1,099 1,080 17.9 21.6 32.1

370 351 325 298 277 179 5.0 5.5 5.3

386 340 312 271 245 148 5.2 4.8 4.4

720 656 601 552 527 409 9.6 10.4 12.2

250 240 631 152 144 262 3.3 2.8 7.8

2,093 1,896 1,762 1,652 1,495 947 27.9 29.5 28.2

806 678 618 535 458 298 10.8 9.0 8.9

1,558 1,386 1,258 1,189 1,076 737 20.8 21.2 21.9

994 707 553 448 362 295 13.3 7.1 8.8

815 794 907 786 695 302 10.9 13.7 9.0

617 566 517 474 442 315 8.3 8.7 9.4

600 590 790 552 548 466 8.0 10.8 13.8

Percent of total

T otal in c o m e . . . .

Sources

Loans...................

U. S. Government

obligations........

Other securities. . 

Service charges on

deposits...............

Other current in

com e................

Recoveries, etc.1

D isposition

Salaries and wages. 

Interest on deposits 

Other current ex

penses..................

Charge-offs, etc.2. .

Income taxes.........

Dividends to stock

holders*...........

Additions to capital 

accounts.........

1 Recoveries from assets previously charged off except those credited to valuation reserve accounts; 

profits on assets sold; and transfers from valuation reserve accounts.

2 Losses and other charge-offs except those charged to valuation reserve accounts, and transfers 

to valuation reserve accounts.

a Includes interest on capital notes and debentures.

Note: Due to rounding differences, components may not add precisely to the totals.

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Federal Reserve Bank of St. Louis
INCOME OF INSURED BANKS 39

Service charges made by insured commercial banks on demand deposits 

yielded more than two and one-half times as much income in 1956 as in 

1947, while demand deposits rose only 35 percent in this period. Other 

current income, which includes various fees, rents, and income from 

trust departments, was 76 percent greater in 1956 than in 1947. Nonoperating items consisting of recoveries on assets previously charged 

off, transfers from valuation reserves to income, and profits on the sale 

of assets provide a fluctuating source of income. Table 21 shows the 

amounts of income from each of the various sources for 1947 and in 

each of the years 1952-1956.

Insured mutual savings banks in 1956 received 93 percent of their 

income from loans and securities. For insured mutual savings banks the 

proportion of total income received from United States Government 

obligations declined from 39 percent in 1947 to 15 percent in 1956. In 

the same period the proportion of their income which the mutual savings 

banks received from other securities doubled. Two-thirds of the income 

of insured mutual savings banks in 1956 was derived from loans, compared with less than one-third in 1947. Table 22 shows the amounts of 

income from each of the various sources for 1947 and in each of the 

years 1952-1956.

T a b l e 2 2 . S o u r c e s a n d D is p o s it io n o f T o t a l I n c o m e ,

I n s u r e d M u t u a l S a v in g s B a n k s in t h e U n it e d S t a t e s

(C o n t in e n t a l U . S. a n d O t h e r A r e a s ), 1947 a n d 1952-19561

Item

Amounts (in millions) Percent of total

1956 1955 1954 1953 1952 1947 1956 1952 1947

T ota l in c o m e ............. $947 $846 $781 $684 $626 $475 100.0% 100.0% 100.0%

Sources

Loans......................... 632 536 454 387 331 153 66.7 52.9 32.2

U. S. Government 

obligations............ 147 151 156 165 164 185 15.5 26.2 38.9

Other securities. . . . 103 99 96 82 63 24 10.9 10.0 5.1

Other current income2 ..................... 28 28 28 26 26 13 2.9 4.1 2.7

Recoveries, etc.*----- 38 33 47 25 43 100 4.0 6.8 21.1

D isposition

Salaries and w ages.. 80 75 71 65 60 45 8.5 9.6 9.5

Dividends and interest on deposits. 609 536 466 415 365 181 64.3 58.3 38.1

Other current expenses2................... 89 83 83 74 80 49 9.4 12.8 10.3

Charge-offs, etc.4. .. 61 56 51 58 60 112 6.5 9.6 23.6

Income taxes6........... 9 9 11 9 9 6 1.0 1.4 1.3

Additions to capital 

accounts................ 98 87 99 63 51 82 10.3 8.2 17.2

1 Because of changes in 1951 in the method of reporting, data for subsequent years are not strictly 

comparable with those for 1947 nor with those for commercial banks.

5 Except for 1947, includes amounts classified as “ nonrecurring” income or expenses.

* Recoveries from assets previously charged off except those credited to valuation reserve accounts; 

profits on assets sold; and transfers from valuation reserve accounts.

* Losses and other items charged off except those charged to valuation reserve accounts; and transfers 

to valuation reserve accounts.

* Includes franchise taxes computed on an income basis.

Note: Due to rounding differences, components may not add precisely to the totals.

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40 FEDERAL DEPOSIT INSURANCE CORPORATION

The income of insured commercial banks from loans was almost three 

and one-half times, and that of insured mutual savings banks four times, 

as large in 1956 as in 1947. For insured commercial banks income from 

securities increased less than one-half, and for insured mutual savings 

banks by one-fifth. For both categories of banks the increase in income 

from loans was due largely to the greater volume, while the increase in 

income from securities was due to higher yields. The average amount 

of loans held by insured commercial banks in 1956 was 155 percent 

greater than in 1947; for insured mutual savings banks the increase was 

331 percent. Holdings of securities decreased, 5 percent for insured 

commercial banks and 2 percent for insured mutual savings banks. The 

average rates of income received by insured commercial banks and by 

insured mutual savings banks on loans, on United States Government 

obligations, and on other securities, for each of the years from 1947 to 

1956, are shown in Table 23.

Table 23. A v e r a g e R a t e s o f I n c o m e , I n s u r e d B a n k s , 1947-1950

Year

Insured commercial banks Insured mutual savings banks

On

loans

On U. S. 

Government 

obligations

On

other

securities

On

loans1

On U. S. 

Government 

obligations

On

other

securities

1956..................... 5.11% 2.31% 2.29% 4.31% 2.56% 3.38%

1955..................... 4.88 2.09 2.15 4.25 2.51 3.30

1954..................... 4.79 1.98 2.14 4.15 2.31 3.19

1953..................... 4.84 1.98 2.11 4.12 2.49 3.16

1952..................... 4.64 1.80 2.04 4.09 2.43 3.05

1951..................... 4.45 1.65 1.99 4.14 2.35 2.98

1950..................... 4.34 1.59 2.04 4.35 2.35 2.95

1949..................... 4.22 1.61 2.15 4.37 2.33 3.00

1948..................... 4.04 1.57 2.14 4.43 2.29 3.00

1947..................... 3.79 1.54 2.16 4.51 2.28 2.99

1 Because of changes in 1951 in the method of reporting by insured mutual savings banks, data for 

1951-1956 are not strictly comparable with those for previous years nor with those for insured commercial banks.

Disposition of bank income. Payments for salaries and wages are 

the largest item among the expenditures of insured commercial banks, 

amounting to 28 percent of total income both in 1947 and 1956. In the 

10-year period ending December 31, 1956, the number of employees 

increased by 56 percent, while salaries and wages increased 152 percent.

The disposition of income by mutual savings banks differs in many 

respects from that of commercial banks. Because of differences in the 

type of business transacted, mutual savings banks pay out a much 

larger proportion of their income for interest and dividends and a much 

smaller proportion for wages and salaries than do commercial banks. 

In the 10 years prior to the close of 1956 the number of employees of 

insured mutual savings banks increased 25 percent, and salaries and 

wages increased 105 percent.

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INCOME OF INSURED BANKS 41

Table 24 gives, for insured commercial banks and for insured mutual 

savings banks, ratios to deposits of current operating expenses, and of 

salaries and wages; and the average rate of interest paid on time and 

savings accounts. In the 10-year period ending December 31, 1956, each 

of these ratios for insured commercial banks increased. For insured 

mutual savings banks the ratios of current operating expenses to deposits, 

and of salaries and wages to deposits were slightly lower in 1956 than 

they had been in 1947. The rate of return paid on deposits by mutual 

savings banks is higher than the rate of interest paid on time and savings 

accounts by commercial banks. The average rate of return paid on time 

and savings accounts by insured mutual savings banks in 1956 was 

2.75 percent, while the average interest rate paid on time and savings 

deposits by insured commercial banks was 1.58 percent. Both the rate 

of return paid by insured mutual savings banks on time and savings 

accounts and the rate of interest paid by insured commercial banks 

approximately doubled in the 10-year period ended December 31, 1956.

Table 24. E x p e n s e R a t io s a n d I n t e r e s t P a id o n D e p o s it s ,

I n s u r e d B a n k s , 1947-1956

Year

Insured commercial banks Insured mutual savings banks

Total 

current 

operating 

expenses 

to total 

deposits1

Salaries 

and wages 

to total 

deposits

Interest 

on time 

and 

savings 

deposits

Total 

current 

operating 

expenses 

to total 

deposits1

Salaries 

and wages 

to total 

deposits

Interest and 

dividends 

on time 

and 

savings 

deposits

1956..................... 2.33% 1.10% 1.58% 0.76% 0.36% 2.75%

1955..................... 2.14 1.03 1.38 .77 .36 2.61

1954..................... 2.06 1.00 1.32 .78 .36 2.37

1953..................... 1.98 .97 1.24 .79 .37 2.35

1952...................... 1.84 .91 1.15 .87 .37 2.27

1951..................... 1.74 .87 1.03 .88 .37 1.88

1950..................... 1.67 .82 .94 .82 .39 1.84

1949..................... 1.63 .79 .91 .79 .39 1.79

1948..................... 1.55 .75 .90 .80 .39 1.57

1947..................... 1.44 .69 .87 .79 .38 1.53

1 For insured commercial banks includes interest on time and savings deposits, which is about 

one-sixth of total current operating expenses; for insured mutual savings banks excludes dividends on 

time and savings deposits and includes amounts reported for 1951-1956 as “ nonrecurring expenses’*. 

Because of changes in 1951 in the method of reporting by insured mutual savings banks, data for 1951- 

1956 are not strictly comparable with those for previous years nor with those for insured commercial 

banks.

Reserves for losses on loans and securities. Losses and assets 

written off may be charged directly to earnings or to reserves which have 

been established for that purpose. Recoveries on assets previously 

charged off and profits on the sale of assets may be credited to income 

or to reserve accounts. In 1956 losses and charge-offs of loans by insured 

commercial banks exceeded recoveries by $92 million. Of this, $81 million 

was charged to reserves and $11 million directly to income. Losses and 

charge-offs on securities exceeded recoveries and profits on sale of securities in 1956 by $364 million. The amount charged to reserves was $92 

million, and $272 million was charged directly to income.

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42 FEDERAL DEPOSIT INSURANCE CORPORATION

Table 25 shows that in 1956 the reserves established for losses on 

loans by insured commercial banks continued to increase both in amount 

and in relation to the volume of loans outstanding. However, the reserves 

for losses on securities declined in 1956 in amount and as a ratio of 

securities held.

Table 25. R e s e r v e s f o r L o s s e s o n L o a n s a n d o n S e c u r it ie s ,

I n s u r e d C o m m e r c ia l B a n k s in t h e U n it e d S t a t e s

(C o n t in e n t a l U . S. a n d O t h e r A r e a s ), 1948-1956

(Amounts in millions of dollars)

i

Year

Amount of 

reserves, 

end of 

year

Computed 

net change 

during 

year1

Changes reported Ratio of 

reserves to 

loans or 

securities, 

end of 

year

Net

transfers

from

earnings2

Net losses 

charged to 

reserve 

accounts*

O n loans

1956............. $1,561 $293 $375 $81 1.70%

1955....................... 1,268 196 253 49 1.51

1954........................ 1,072 108 165 49 1.50

1953........................ 964 58 114 56 1.41

1952....................... 906 88 127 33 1.39

1951........................ 818 144 176 36 1.40

1950........................ 674 125 161 34 1.28

1949........................ 549 139 193 53 1.27

1948....................... 410 « 230 36 .96

O n securities

1956....................... 209 -30 61 92 .28

1955....................... 239 -38 27 65 .30

1954........................ 277 42 66 13 .32

1953........................ 235 -8 27 36 .30

1952........................ 243 -11 9 21 .31

1951........................ 254 4 19 15 .34

1950........................ 250 12 16 3 .34

1949........................ 238 5 6 4 .31

1948........................ 233 (*) 17 11 .33

1 Difference from amount of reserves reported for end of the preceding year. Differs in some years 

from change reported for the year because of banks ceasing operations and not submitting earnings 

reports, or because of other adjustments.

2 Transfers to reserve accounts in excess of transfers from reserve accounts.

* Losses charged to reserve accounts in excess of recoveries credited to reserve accounts.

4 N ot available.

Insured mutual savings banks had reserves for losses on loans equal 

to 1.24 percent of loans outstanding at the close of 1956. A year earlier 

the reserves were 1.34 percent of loans. The reserves for losses on securities were 1.27 percent of securities in 1956, and 1.04 percent in 1955.

Profits of insured commercial banks in 1956 and prior years.

In 1956 net profits after income taxes of insured commercial banks were 

5 percent greater than in 1955, but 7 percent less than in 1954 when 

banks had unusually large profits from the sale of securities. Net profits 

in 1956 were 56 percent greater than in 1947.

Selected operating ratios of insured commercial banks for each year 

of the period 1947-1956 are shown in Table 26. Current operating earnings of insured commercial banks were 11 percent higher in 1956 than

1955. Current operating expenses rose less rapidly, and the ratio of

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INCOME OF INSURED BANKS 43

current operating expenses to current earnings was lower in 1956 than 

in 1955. The average of this ratio for the period 1947-1956 was 62 percent. 

The ratio of service charges on checking accounts to total demand 

deposits doubled in this period, and the ratio of net current operating 

earnings to total assets rose in each year.

T a b l e 2 6 . S e l e c t e d O p e r a t i n g R a t i o s o f I n s u r e d C o m m e r c ia l B a n k s 

in t h e U n i t e d S t a t e s ( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ) , 1 94 7 -1 95 6 1

Year

Current

operating

expenses

to

current

earnings

Average

service

charges

on

demand

deposits

Net 

current 

operating 

earnings 

to total 

assets

Profits 

before 

income 

taxes 

to total 

assets

Profits 

after 

income 

taxes 

to total 

capital 

accounts

Dividends 

to total 

capital 

accounts

Retained 

profits 

to total 

capital 

accounts

1956.......................... 61.63%

62.09

0.28%

.25

1.32%

1.19

0.97%

.96

7.82%

7.90

3.96%

3.87

3.86%

1955.......................... 4.03

1954.......................... 63.01 .24 1.10 1.35 9.50 3.76 5.74

1953.......................... 61.55 .21 1.14 .98 7.93 3.66 4.27

1952......................... 61.41 .20 1.06 .94 8.07 8.60 4.47

1951......................... 61.46 .20 1.00 .87 7.82 8.61 4.21

1950......................... 62.19 .19 .93 .86 8.51 3.55 4.96

1949......................... 63.32 .19 .87 .76 7.98 3.40 4.58

1948......................... 63.57 .17 .82 .68 7.49 3.33 4.16

1947......................... 63.98 .14 .75 .73 8.20 3.31 4.89

1 Asset and liability items are average of figures reported at beginning, middle, and end of year.

In 1956 the ratio of profits after income taxes to total capital accounts 

was slightly lower than in 1955. This ratio averaged 8.12 percent for 

the years 1947-1956, and in only one year during this period was the 

ratio below the 1956 figure of 7.82 percent. The ratio of dividends to 

total capital accounts was one-fifth higher in 1956 than in 1947. Profits 

for 1956 which were not distributed as dividends amounted to 3.86 

percent of total capital accounts; the comparable figure was 4.03 percent 

in 1955, and 4.89 percent in 1947. Dividends absorbed 51 percent of the 

profits after income taxes in 1956, compared with 49 percent in 1955 

and 40 percent in 1947.

Table 27 gives selected operating ratios for banks in various size 

groups in 1956. Banks with deposits of less than $1 million had the 

highest average ratio of current operating expenses to current earnings, 

while banks with $500 million or more deposits had the lowest average 

ratio. Banks in these two size groups had the highest average interest 

paid on time and savings deposits, as well as having low average service 

charges on demand deposits. Banks with deposits of $25 to $50 million 

had the lowest average ratios of profits before income taxes to total 

assets and of profits after income taxes to total capital accounts. The 

average rate of dividends to total capital accounts was highest for banks 

with deposits of $500 million or more, which distributed to stockholders 

62 percent of their profits; they were lowest for banks with deposits of 

less than $1 million, which distributed only 35 percent of their profits.

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44 FEDERAL DEPOSIT INSURANCE CORPORATION

T a b l e 2 7 . S e l e c t e d O p e r a t in g R a t io s o f I n s u r e d C o m m e r c ia l B a n k s

O p e r a t in g T h r o u g h o u t t h e Y e a r 1956 in t h e U n it e d S t a t e s

(C o n t in e n t a l U . S. a n d O t h e r A r e a s ),

B a n k s G r o u p e d A c c o r d in g t o A m o u n t o f D e p o s it s

Size group

Current

operating

expenses

to

current

earnings

Average 

interest 

paid on 

time and 

savings 

deposits

Average

service

charges

on

demand

deposits

Profits 

before 

income 

taxes 

to total 

assets

Profits 

after 

income 

taxes 

to total 

capital 

accounts

Dividends 

to total 

capital 

accounts

A l l b a n k s 1......................................... 6 1 .5 6 % 1 .5 4 % 0 .2 7 % 0 .9 3 % 7 .5 3 % 3 .8 4 %

Banks with deposits of—

Less than $1,000,000................ 67.54 1.64 .25 1.06 7.10 2.48

$1,000,000 to $2,000,000 65.74 1.56 .27 1.04 7.82 2.69

$2,000,000 to $5,000,000 65.71 1.53 .32 .94 7.91 2.87

$5,000,000 to $10,000,000____ 66.13 1.49 .41 .86 7.46 2.93

$10,000,000 to $25,000,000. . 66.77 1.45 .45 .82 7.21 3.01

$25,000,000 to $50,000,000. . . 66.30 1.50 .40 .78 7.00 3.19

$50,000,000 to $100,000,000. . 65.38 1.50 .32 .82 7.32 3.50

$100,000,000 to $500,000,000. 61.71 1.53 .22 .91 7.58 3.87

$500,000,000 or m ore............... 55.70 1.63 .18 1.03 7.64 4.71

1 Basic data differ from those used in preparing Table 26 in that asset and liability items are as of 

December 31, 1956, and banks which operated only part of the year are not included here.

Additions to surplus by insured mutual savings banks in 1956 

and prior years. The net additions to surplus accounts in 1956 by 

insured mutual savings banks were 13 percent higher than in 1955, but 

14 percent lower than in 1954. Net additions to surplus accounts from 

operations were at the rate of 4.73 percent in 1956, 4.42 percent in 1955, 

and 5.00 percent in 1954.

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Federal Reserve Bank of St. Louis
PART THREE

STATE DEPOSIT INSURANCE SYSTEMS, 1908-1930

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S t a t e D e p o s it In s u r a n c e S y stem s, 1908-1930

Fourteen States, prior to Federal deposit insurance, established 

insurance systems for the protection of bank depositors or noteholders, 

or both. Six of the systems were established prior to passage of the 

National Bank Act and none of these continued after the levy of a 

prohibitive tax on State banknotes in 1865. It was anticipated that the 

most important part of the nation’s money supply, or circulating medium, 

would thereafter be guaranteed by the Federal Government, as the 

notes of national banks, which had such a guaranty, would take the place 

of the notes previously issued by State banks. However, bank deposits 

rapidly increased in importance relative to circulating notes, and various 

proposals were made to provide insurance or guaranty of deposits, both 

in the Federal Congress and in State legislatures.1 From 1907 to 1917 

eight States established deposit insurance systems that operated for 

varying lengths of time, some of them until 1930.

The fourteen State systems of bank-obligation insurance were described 

in the Annual Report of the Corporation for 1952, and the results achieved 

under the six systems that operated prior to 1866 in the Report for 1953.2 

The results of the eight systems that operated during the period from 

1908 to 1930 are described here.

The experience with insurance of bank obligations during the 1908- 

1930 period was on the whole less successful than that during the period 

1829-1866. In four of the six earlier systems all claims arising from 

insured obligations of banks in financial difficulties were paid; this was 

accomplished in only two of the eight later systems, and in one of these 

a part of the obligations was met from proceeds of a State bond issue. 

All eight systems of the 1908-1930 period became insolvent, whereas 

four of the six earlier systems continued to operate until expiration of 

the charters of the participating banks or their conversion to national 

banks.

Nevertheless, the systems of the 1908-1930 period were considered 

highly successful up to the time of the bank failures associated with 

the depression of 1921. This is illustrated by the following comments 

on the Texas system after it had been in operation for ten years. At the 

end of 1919 the Commissioner of Insurance and Banking stated:

There is a feature of the State banking system that, while it does not stamp it as 

unique among the financial systems of the country, accords to it a prestige, in fact, 

which few of them possess. I refer, of course, to the protection of unsecured and

1 Proposals for Federal legislation for deposit insurance, beginning in 1886, are described in the 

Annual Report of the Federal Deposit Insurance Corporation for 1950, pp. 68-101.

* Annual Report of the Federal Deposit Insurance Corporation for 1952, pp. 59-72, and 1953, pp. 45-67.

47

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48 FEDERAL DEPOSIT INSURANCE CORPORATION

non-interest bearing deposits. Without this protection to the public, the system, 

under the excellent supervision of Texas laws, would be admirable; with it, it is unsurpassed. There is no question to my mind that its steady growth to its present 

colossal proportions has been due in a large measure to the increasing public confidence 

in its impregnable solidarity and strength which this guaranty against public loss 

engenders.

By creating this device, the Legislature has not alone accorded absolute protection 

to the public; it has induced the public to turn its funds freely over to the banks for 

use in promoting the public welfare. During all the years the guaranty fund has been 

in operation, it has cost the banks only about $300,000—a sum about one-tenth of 

one percent of the present deposits of the system, which in proportion to the amount 

of money protected at this cost over the period of years it has been established, becomes infinitesimal . . .

But the good it has wrought has not been confined to the protection of depositors’ 

money. It has utterly eliminated from community life the injurious effects of a bank 

failure. State banks may close today; but if they do, the serenity of the people is not 

disturbed, for the depositors know that within a few weeks at the longest, their funds 

will be returned to them. This effect, by itself, is well worth the cost of procuring it.1

A few years later, the Secretary of the Texas Bankers Association described the view of Texas bankers in 1920 as follows:

Bankers of recognized ability insisted that the guaranty fund system was the 

greatest piece of constructive legislation ever enacted in the country. They pointed 

to its record of ten years. They preached the plan at bankers’ conventions. They 

expanded with pride over the fund’s accomplishments and growing importance.2

In Nebraska the favorable opinion of deposit insurance on the part 

of the bankers continued through the depression of 1921. In the early 

part of 1922 a meeting of State bankers adopted a resolution which 

included the following:

The present depositors’ guarantee law has been in operation for eleven years, 

during which time not a single dollar has been lost to a single depositor in a state 

bank in Nebraska.

The law has established and maintained the confidence of the people of our state.

It has successfully met and been tested by the severest price declines and business 

disturbances ever experienced in this state . . .

It has stabilized banking and business conditions throughout our state. It commands the confidence and hearty support of the bankers themselves who have organized 

a great corporation to help make the law function more efficiently and to promote 

higher standards of banking in this state; therefore be it

Resolved by the State Bankers of Nebraska, in convention assembled, that

We favor and approve the present guarantee law of this state and that we are 

opposed to the enactment of any amendments or changes in the law by the coming 

special session of the Nebraska legislature.8

* State of Texas, Forty-fourth Annual Report of the Commissioner of Insurance and Banking for the

year ending August 31, 1919, Pertaining to Banking, pp. 9-10.

* W . A. Philpott, Jr., Secretary, Texas Bankers Association, American Bankers Association Journal, 

March 1927, p. 659.

* The Northwestern Banker, Vol. 27, March 1922, p. 76.

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STATE DEPOSIT INSURANCE SYSTEMS, 1908-1930 49

Character and extent of insurance. The bank-obligation insurance 

systems of the 1908-1930 period pertained to deposits only. They were 

known as “ deposit guaranty” systems, but in all cases the guaranty was 

that of a fund derived from assessments on the banks; in no case did 

the State guarantee the deposits, though in one the remaining obligations 

of the system after its closing were assumed by the State through a 

bond issue. The limitation of the insurance to deposits reflects, of course, 

the fact that State-chartered banks did not issue circulating notes, as 

they had done when the systems of the 1829-1866 period were in operation.

The systems of the 1908-1930 period were also relatively less important 

at the height of their operations than those of the 1829-1866 period. 

The maximum proportion of the deposits of all operating banks in the 

respective States that were in the banks participating in insurance 

ranged from 19 percent to 79 percent as compared with 50 percent to 

100 percent of circulating notes and deposits in the six earlier systems. 

This difference is due chiefly to the fact that the earlier systems operated 

at a time wiien State governments were responsible for chartering and 

regulating all incorporated banking institutions within their borders; 

while in the more recent period banks chartered by the Federal Government, which were excluded from the State deposit insurance systems, 

held a very large portion of all bank deposits in each of the States.

The deposit insurance systems of the 1908-1930 period were in predominantly agricultural areas. Six were in the Great Plains region east 

of the Rocky Mountains: North Dakota, South Dakota, Nebraska, 

Kansas, Oklahoma, and Texas. The other two were in Mississippi and 

Washington. The period of operation of each of the systems and a summary of participation in them are given in Tables 28 and 29.

Table 28. P a r t ic ip a t io n o f O p e r a t in g B a n k s in S t a t e

D e p o s it I n s u r a n c e S y s t e m s , D e c e m b e r 31, 1908-1930

State Period of 

operation1

Number of participating banks2

Percent of 

eligible banks8

Percent of all 

banks in State4

Minimum Maximum Minimum Maximum Minimum Maximum

Oklahoma............... 1908-1923 463 695 100.0% 100.0% 50.9% 75.3%

Kansas..................... 1909-1929 39 714 4.7 65.6 3.5 51.9

Texas....................... 1910-1927 34 990 4.3 96.6 2.2 57.7

Nebraska................ 1911-1930 647 1,009 100.0 100.0 73.0 84.7

Mississippi.............. 1914-1930 258 306 100.0 100.0 88.1 91.1

South Dakota........ 1916-1927 322 566 100.0 100.0 76.3 81.8

North Dakota. . . . 1917-1929 337 723 100.0 100.0 71.7 81.4

Washington............ 1917-1921 46 116 16.1 37.9 12.6 28.9

1 In each State the system operated for only a part of the initial year or of the terminal year, or both.

2 For data by years, see Table 36.

3 In five States all incorporated State banks which accepted deposits (except trust companies in 

Oklahoma after 1911, and mutual savings banks in Washington) were required to participate. In the 

other three States participation was voluntary. For data by years, see Table 38.

4 Banks ineligible for participation were predominantly national banks, but included trust companies in Oklahoma after 1911, trust companies and private banks in Kansas, and the State-owned

Bank of North Dakota in that State. For data by years, see Table 38.

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50 FEDERAL DEPOSIT INSURANCE CORPORATION

Table 29. D e p o s it s i n B a n k s I n s u r e d u n d e r St a t e

D e p o s it I n s u r a n c e S y s t e m s , D e c e m b e r 31, 1908-1930

State

Amount (in thousands)1

Percent of total 

deposits in eligible 

banks2

Percent of total 

deposits in all banks 

in State2

Minimum Maximum Minimum Maximum Minimum Maximum

Oklahoma.......................

Kansas.............................

Texas................................

Nebraska.........................

Mississippi......................

South Dakota................

North Dakota................

Washington....................

$31,617

3,340

2,750

73,890

45,493

63,317

59,773

39,823

$190,900

204,669

321,008

281,547

187,850

184,098

130,837

79,814

100.0%

1.5

1.2

100.0

100.0

100.0

100.0

26.8

100.0%

74.4

95.9

100.0

100.0

100.0

100.0

41.1

19.1%

.7

.3

38.2

66.8

55.1

41.6

12.4

51.8%

43.8

30.9

59.0

79.2

67.3

61.1

18.9

1 For data by years, see Table 37.

2 For data by years, see Table 38.

None of the eight States, except Kansas for a brief period, placed a 

limit on the size of account, or amount of deposits owned by a depositor, 

protected by the insurance; but all the States excluded some types of 

deposits or those to which specified conditions were attached. In Texas 

the insurance was limited to non-interest bearing deposits payable on 

demand. In Kansas, for the first two years, insurance on savings deposits 

was limited to $100 per person and to accounts bearing not over 3 percent interest per year; and on other interest-bearing accounts to those 

with the same interest limitation and with a six-month to one year 

maturity date. In the other States, and in Kansas after 1911, the insurance applied to both demand and time deposits. In these States a 

maximum rate of interest payable on deposits was prescribed by law 

or required to be set by the bank supervisory authority, and except in 

Nebraska payment of a higher rate of interest made a deposit ineligible 

for insurance. All the States except Nebraska excluded deposits otherwise 

secured. In Kansas, Mississippi, South Dakota, North Dakota, and 

Washington the insurance did not cover deposits that represented 

rediscounts or money borrowed by the banks. In Nebraska, deposits 

with a collateral agreement or condition other than length of time to 

maturity and rate of interest were excluded. In Texas public deposits, 

certificates of deposit, deposits made for the purpose of converting a loan 

to the bank into a deposit, and after 1923 certificates converted to noninterest bearing deposits within 90 days of a bank’s failure were not 

eligible for insurance. In Mississippi after 1916 cashiers’ checks, certified 

checks, and sight exchange were excluded. In most of the States the 

statutory provisions regarding coverage were supplemented by court 

decisions resulting from litigation. Such litigation arose both as to 

whether certain obligations were deposits, and if deposits whether they 

were protected. Thus in Texas special deposits, trust funds, and cashiers’ 

checks not arising from deposit accounts were excluded; and in several

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STATE DEPOSIT INSURANCE SYSTEMS, 1908-1930 51

States payment of a bonus for making or renewing a deposit was construed to be interest.

Banks in financial difficulties. The number of participant banks 

which suspended operations because of financial difficulties during the 

periods the funds were in operation ranged from 1 in Washington to 372 

in North Dakota. In several of the States some of the suspended banks 

were reorganized or taken over with no contribution from or obligation 

falling on the insurance fund. Table 30 shows the total number of suspended banks in each State, and the number entailing obligations on 

the respective insurance funds, together with the total and insured 

deposits involved in the latter cases. Data by years for those resulting 

in obligations on the funds are shown in Tables 39 and 40, pages 69 and 70.

Table 30. F a il e d B a n k s a m o n g P a r t ic ip a n t s in

S t a t e D e p o s it I n s u r a n c e S y s t e m s , 1908-1930

Reopened 

without 

obligations 

on the 

insurance 

funds1

Entailing obligations on the insurance funds2

State

Total 

number of 

suspended 

banks

Total 

deposits (in 

thousands)3

Insured deposits

Number3

Amount (in 

thousands)4

Percent of 

total 

deposits

Oklahoma................. 140 1 139 $29,486 $25,068 85.0%

Kansas....................... 141 22 119 25,265 21,151 83.7

Texas......................... 154 16 138 37,627 25,469 67.7

Nebraska................... 359 42 317 61,489 61,790 100.5

Mississippi................ 64 64 14,550

56,586

14,833

48,375

101.9

South Dakota.......... 324 82 242 85.5

North D akota......... 372 32 340 39,094 24,274 62.1

Washington.............. 1 1 10,443 8,452 80.9

1 Includes some banks taken over by other banks.

2 Includes a few cases with no eventual loss to the insurance funds because proceeds of liquidation, 

including assessment on stockholders, were sufficient to repay all deposit liabilities.

8 For data by years, see Table 39.

4 For data by years, see Table 40.

In some of the States, because of the deposits excluded from insurance, 

there was a substantial difference between the deposits of a failed bank, 

as reported at the time of failure, and the deposits finally adjudged to 

be covered by the insurance. This was particularly true in Texas where 

interest-bearing deposits were excluded, and in North Dakota where 

many depositor claims for insurance were rejected by the Depositor 

Guaranty Commission on the ground that they bore a higher rate of 

interest than that permitted, or were discounts representing an exchange 

of credit that was not a deposit of cash or its equivalent, or were cashiers’ 

checks representing merely a transfer of funds and not a deposit in the 

bank. In Mississippi and Nebraska, on the other hand, the deposit 

obligations finally paid from the insurance funds, or judged to be covered 

by the insurance, exceeded the deposits of the banks as reported at 

time of failure.

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Table 31 shows average annual failure rates among the participants 

in these deposit insurance systems, with the banks grouped by size. 

The proportion of all participating banks that failed ranged from about 

one in 300 per year for Washington to five per 100 per year in North 

Dakota. There was also a wide range in the average annual amount of 

deposits in failed banks relative to the deposits in operating banks, but 

the rates differ substantially from those pertaining to number of banks 

because of differences in the size of the banks involved.

T a b l e 3 1 . B a n k F a i l u r e R a t e s a m o n g P a r t i c i p a n t s in 

S t a t e D e p o s i t I n s u r a n c e S y s te m s , 1908-19301

All participant 

banks

Banks with deposits of—

$100,000

or

less

$100,000

to

$250,000

$250,000

to

$500,000

$500,000

to

$1,000,000

$1,000,000

to

$2,000,000

More

than

$2,000,000

Average annual 

n u m b er per 100 

operatin g banks 

Oklahoma........... 1.6 1.2 1.7 2.9 3.3 1.7 10.0

Kansas................ 1.2 1.8 1.2 .8 1.4 .5 1.8

Texas................... 1.1 .8 1.2 .8 1.6 2.0 1.5

Nebraska............ 2.0 2.6 2.1 1.4 1.5 .6

Mississippi......... 1.4 3.7 1.6 1.2 .6 .3

South Dakota... 

North D akota. .

4.2

5.0

4.9

9.2

4.4

4.0

3.7

2.5

4.0

2.0

1.5 4.5

Washington........ .3 8.8

Average annu al 

deposits in failed 

banks per $100 of 

deposits in op eratin g banks 

Oklahoma........... $2.34

1.13

$1.31

1.55

$1.70

1.20

$3.17

.77

$3.84

1.39

$1.92

.50

$8.51

Kansas................ 2.34

Texas................... 1.42 .82 1.19 .77 1.75 2.14 1.00

Nebraska............ 1.63 2.52 1.98 1.42 1.56 .72

Mississippi......... .70 2.79 1.49 1.17 .61 .25

South Dakota... 

North D akota..

3.87

3.58

4.98

7.46

4.32

3.62

3.53

2.33

4.29

1.96

1.45 11.47

Washington........ 4.18 8.13

1 Covers failed banks entailing obligations on the insurance funds (see Table 30).

The distribution of failure rates by size of bank indicates that in 

Nebraska, Mississippi, and North Dakota there were relatively more 

failures among the smaller banks than among the larger banks; but in 

Oklahoma the failure rate was highest in the larger banks, and in Washington the only failure was the largest bank in the system. In fact, in 

both of the latter States, and also in Kansas and South Dakota the 

largest bank participating in the insurance system was among the failures.

Methods used in paying depositors o f banks in financial difficulty. In six of the eight systems—Oklahoma, Nebraska, Texas, South 

Dakota, North Dakota, and Washington—the deposit insurance law 

provided that depositors of a failed bank were to be paid by the fund 

in cash immediately, either in full or to whatever extent could not be 

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STATE DEPOSIT INSURANCE SYSTEMS, 1908-1930 53

positors were given interest-bearing certificates of indebtedness which 

were reduced as the proceeds of liquidation became available, with the 

final deficiency paid from the fund. However, it was expected that 

depositors would be able to obtain their deposits promptly because the 

certificates were negotiable and it was assumed that operating banks 

would acquire them from the depositors of a closed bank. The same 

procedure was used in Mississippi for several years, and then modified 

to provide for payment from the insurance fund whenever it appeared 

to the officer in charge of liquidation of a failed bank that the amount 

to be collected was likely to be insufficient to pay the depositors.

In most of the States in which the depositors were to be paid in cash, 

provision was also made for the issue of certificates of indebtedness in 

the event that there was insufficient money in the fund, with such certificates to be paid from future receipts. In these cases also it was expected 

that the operating banks would regard the certificates as suitable assets 

and would, therefore, acquire them from depositors who needed their 

funds immediately.

In Oklahoma, the first of the systems to be established, the procedure 

of paying the depositors of a failed bank in cash was followed in only a 

small number of cases. In the majority of cases, the Bank Commissioner, 

under his powers with respect to the handling of closed banks, approved 

a reorganization of a failed bank or the assumption of its deposits by 

another bank, with a payment from the fund, in cash or in certificates 

of indebtedness payable from future receipts, or with a guaranty that 

the fund would provide the difference between the deposits assumed 

and the proceeds of liquidation. This procedure was also followed to 

some extent in Texas, and in a very small number of cases in some other 

States.

Assessments on participating banks. In all of the States the insurance funds relied upon assessments on participating banks as a means 

of obtaining the money necessary to pay depositors in failed banks. The 

assessments were based on total deposits, or on deposits other than those 

excluded from insurance. In six of the States—Oklahoma, Kansas, 

Nebraska, Mississippi, South Dakota, and North Dakota—such assessments were levied annually at specified rates, with a larger initial rate 

in three of the States, and except for South Dakota with provision for 

an additional assessment if necessary. In the cases where additional 

assessments were authorized, a maximum rate in any one year was 

established, either at the beginning of the system or after it had been 

in operation for a few years. In Texas an annual assessment was levied 

for the purpose of accumulating a revolving fund usable for the immediate payment of depositors of a closed bank. The amounts withdrawn 

were restored by a special assessment upon the participating banks for

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each failure, with a maximum for such assessments of 2 percent per year. 

In Washington an initial assessment was levied with no provision (until 

1921) for an annual assessment thereafter but with a provision for 

special assessments as needed, with a specified maximum in any year.

In certain of the States which had an initial assessment of 1 percent 

of deposits, a similar rate was assessed on the increase in deposits each 

year, usually with a rebate if deposits declined. In most cases the assessments collected in any one year were levied on average deposits for the 

preceding year; and in cases where certain classes of deposits (particularly 

interest-bearing or secured deposits in Texas) were not insured, such 

deposits were omitted from the assessment base. In all the States special 

provisions were made for assessments on new banks, usually a specified 

rate on the bank’s capital to be adjusted later on the basis of deposits. 

In Kansas, operating banks joining the system after it was established 

were required to contribute their proportionate share to the fund, equivalent to what they would have paid had they joined at the beginning of 

the system. Because of these various provisions the average rate of 

assessment, as computed by comparing the amount of assessments 

collected in a calendar year with the reported deposits for some date 

in that year, sometimes varied considerably from the combined rate 

for regular and special assessments. Table 32 shows the principal statutory 

provisions in each State, and also the range^in assessments levied and 

in the computed rate of assessments paid.

In four of the States—Oklahoma, Kansas, Mississippi, and Washington—participating banks were required to deposit with the Bank 

Commissioner securities or cash, in an amount equal to 1 percent or 

one-half of 1 percent of their deposits, as security for the payment of 

future assessments. These, and the accumulated revolving fund in 

Texas, were regarded as the property of the individual banks, to be 

refunded, after allowance for any assessments due or necessary to meet 

existing obligations of the fund, if a bank went into liquidation or ceased 

to be a member of the system.

Insolvency o f the insurance funds. In all the States except Texas 

the bank failures associated with the depression of 1921 or with the 

continued unfavorable condition of agriculture throughout the 1920’s 

resulted in obligations upon the funds greatly in excess of the receipts 

from assessments. In Texas, all obligations of the fund for insured deposits were eventually met, but the fund became insolvent after most 

of the participating banks withdrew, with conflicting claims on the 

fund. There was considerable variation in the length of time the funds 

were able to meet their obligations as they became due. By March 1930, 

all of the funds had ceased to operate, though in two cases—Nebraska 

and Mississippi—amendments to the law provided for continuance of

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the assessments on participating banks, with the insurance inapplicable 

in Nebraska to future failures and in Mississippi to future failures until 

the obligations of the fund for past failures had been met.

Table 32. A s s e s s m e n t R a t e s in St a t e D e p o s it I n s u r a n c e S y s t e m s , 1908-1930

State

Statutory rates (percent of deposits)1

1

Range of 

annual 

assessment 

rates levied

Computed yearly 

rate of assessments collected2

Deposits 

of cash or 

securities 

to secure 

payment

Initial Regular

annual

Special 

(maximum 

per year)

(regular

and

special)1

Minimum

and

maximum3

Average

per

year

of assessments (percent of 

deposits)4

Oklahoma5. . 

Kansas..........

1.00 .05 to .20 

.05

2.00 to none 

.20

.20 to 1.20 

.05 to .25

.15 to 1.49 

.04 to .21

.29

.08

1.00

.50

Texas6............ 1.00 .25 2.00 (•)

.05 to .95

none to 1.84 .67

Nebraska7. . . 1.00 .10 1.00 to .50 .13 to .91 .43

Mississippi .05 .20 .05 to .25 .03 to .25 .17 .50

South

D akota. . . .25 .25 .22 to .30 .24

North

Dakota8 .05 .20 .05 to .35 .05 to .32 .18

Washington9. .50 to 1.00 none to .10 .50 none to 1.10 .07 to .90 .41 1.00

1 Percent of total deposits, or of deposits covered by insurance, on basis of preceding year’s daily 

average or specified date. In some States provisions were made for omission of assessments if the fund 

reached a specified size, but this did not occur except with the annual assessment for the revolving 

fund in Texas where after omitting the assessment for one year the specified size was raised. For rates 

levied by years, see Table 43.

2 Computed from assessments collected and the total deposits of banks in system at the beginning 

of the year. Because of assessments on new banks and of various adjustments and refunds, and the 

differences between total deposits at beginning of year and the deposits used as the assessment base, 

the computed rates, either maximum or minimum, may be larger or smaller than the rates levied.

3 Excluding years in which assessments covered only part of a year because of repeal of the law, or 

the computed rate was substantially distorted because of withdrawals from the system. See also note 6.

4 With a minimum of $500 in each of the four States. In Washington the required deposit was 

dropped in 1921.

6 Annual assessments 1/20 of 1 percent from 1909 to 1913 and 1/5 of 1 percent from 1913 to 1923; 

maximum special assessments per year 2 percent from 1909 to 1913, 1/5 of 1 percent from 1913 to 1915, 

and none thereafter.

8 The proceeds of the initial and regular annual assessments were used as a revolving fund, with 

the withdrawals to pay depositors of failed banks replaced by the proceeds of special assessments. The 

range of rates levied is omitted because data are not available for the special assessments. The computed 

rate of assessment collected, both maximum and minimum and average per year, pertains only to the 

special assessments, because the entire amount of the revolving fund accumulated from the initial 

and annual assessments was returned to the participating banks.

7 The assessment tabulated here as “ initial” consisted of four semi-annual assessments of 1/4 of

1 percent each, after payment of which the regular semi-annual assessments of 1/20 of 1 percent applied. 

The maximum special assessment was 1 percent per year to 1923, but not more than sufficient to maintain the fund at 1 percent of deposits, and 1/2 of 1 percent subsequent to 1923. The range of rates levied 

shown here is approximate because data are not available for the actual special rates levied to restore 

the fund to 1 percent of deposits.

8 The maximum rate levied exceeded in one calendar year the maximum permitted because the 

latter related to years ended June 30, and a change was made in the dates on which special assessments 

were payable.

9 The original law provided for an initial assessment of 1/2 of 1 percent and annual assessments 

to maintain this percentage. An amendment of 1921 raised the initial assessment to 1 percent of deposits, thus requiring the banks to pay 1/2 of 1 percent in the early part of that year, and also for future 

annual assessments of 1/10 of 1 percent. Late in 1921 after the failure of the Scandinavian-American 

Bank the maximum special assessment of 1/2 of 1 percent was levied.

The first fund to cease operations was that of Washington, the last 

to be established. After four years with no failure the largest bank, 

holding about one-fifth of the deposits of all the banks in the system, 

failed on June 30, 1921. The maximum assessment for that year was 

levied but was insufficient to meet the obligations of the fund for insured 

deposits after allowing for liquidation of the assets of the bank. Faced 

with the prospect of another relatively large assessment the next year

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all the participants in the system withdrew as they were permitted to 

do under the law in that State.

The next system to be discontinued was the first one established. 

The Oklahoma system ran into serious difficulties early in its history, 

but the procedures used in handling failed banks, together with special 

assessments as high as 1 percent per year, enabled the fund to survive 

them. However, some indebtedness of the fund remained outstanding 

after 1915, when because of a change in the law no further special assessments could be levied, and was not fully retired until June 1919. When 

a wave of failures occurred in late 1920 and throughout 1921, the fund 

could not meet its obligations, though the procedure used in handling 

most of the closed banks—that of arranging for reopening or assumption 

of the deposits by another institution with a guaranty by the fund— 

resulted in smaller outlays than would have been required had all the 

deposits in each case been paid immediately from the fund. It was soon 

necessary for the fund to resort again to issuance of warrants, or certificates of indebtedness, and to attempt to sell these to participating banks. 

Before long the banks became reluctant to acquire the warrants, and 

the State Banking Board then requested participant banks to permit 

their use as the security for payment of future assessments, enabling 

the Board to sell the United States Government bonds and other marketable securities previously deposited and to use the cash thus obtained 

to meet the obligations of the fund with respect to current failures. By the 

latter part of 1921 almost all of the previously deposited marketable 

securities had been used, and it became obvious that the fund could no 

longer meet its obligations. At a meeting of the State Banking Board 

in November 1921 the issuance of warrants on the fund was discontinued, 

which meant in practice the end of any protection to depositors by the 

fund. By that date the depositors of 82 failed banks had been protected 

by the fund. Assessments continued until the legislature early in 1923 

repealed the law, though they were not fully collected, and during that 

period 57 more banks failed. After repeal of the law the State Banking 

Board proposed the issue of warrants to the depositors of these banks, 

with the remaining assets of the fund to be used to pay a small dividend 

to them and to the holders of the other outstanding warrants. This 

procedure was approved by a District Court in 1932, with claims that 

had not been presented to the court barred from participation; and 

early in 1933 a 7 percent dividend was paid to the warrant holders and 

to a few depositors of failed banks who had presented their claims, with 

the fund retaining a portion of the balance on hand because some holders 

of the earliest-issued warrants refused to accept the District Court’s 

award and appealed to the State Supreme Court. In 1934 the State 

Supreme Court ordered the remnant of the fund paid to the appealing 

warrant-holders.

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The next State to repeal its guaranty law was Texas, in 1927. This 

was the most successful of all the systems. The combination of provisions 

for a sizable revolving fund and for special assessments to reimburse the 

fund for payments to depositors enabled the fund to meet promptly 

all of its obligations until the middle 1920’s. By that time, however, the 

special assessments were running close to the permitted maximum of 2 

percent a year, which the participating banks felt to be an intolerable 

burden. Under the pressure of the bankers, the Legislature considered 

repeal of the law in 1925, but this was rejected in favor of an amendment 

permitting the participant banks to withdraw, and to be refunded their 

respective shares of the revolving fund, by joining the alternative “ bond 

security system” that had been established at the same time as the 

guaranty system. Also, the provisions for posting of security by the 

individual banks under the bond security system were relaxed, so that 

each bank could, in effect, merely segregate some of its investments to 

be held by the Bank Commissioner instead of in its own vault. With 

this change in the law most of the banks participating in the deposit 

insurance system withdrew. In the latter part of 1926 one of the banks 

remaining in the system failed, with an amount of insured deposits 

substantially larger than the remaining revolving fund after allowance 

for sums refunded or due to be refunded to the banks that had withdrawn, 

and eight more failures occurred before the law was repealed in February 

1927. Eventually, the insured deposits of these banks were paid in full 

either from the proceeds of liquidation of the banks’ assets, or from 

remaining assets of the fund upon its final settlement. In addition, the 

entire revolving fund was returned to the participating banks, and a 

considerable part of the receipts from special assessments was also 

repaid from the proceeds of liquidation of the assets of the failed banks.

South Dakota also repealed its deposit insurance law in 1927. The 

fund had run into difficulties early in 1923. Depositors in 16 failed banks 

had been paid in full, but in the next case, the fund was able to pay only 

half of the deposits. From that time until repeal of the law no payments 

were made to depositors of failed banks, but they were given certificates 

of indebtedness of the fund for the amounts of the deposits approved as 

insured, and the regular annual assessments continued to be collected. 

In 1932, in accordance with a decision of the State Supreme Court, the 

remaining assets of the fund were used to pay a dividend of 3/4 of 1 

percent on the balances of the certificates remaining unpaid after dividends from liquidation, and a final dividend of 23/100 of 1 percent was 

paid in 1939. These dividends went to depositors of 225 banks.

In Kansas, where participation in the deposit insurance system was 

voluntary and withdrawal permitted at any time, the system operated 

successfully until failure of the American State Bank, Wichita, in 1923. 

This had been the largest bank in the system and it was apparent that

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the fund would be unable to meet the resulting claims, though under 

the Kansas law the fund was not called upon until completion of liquidation of a failed bank. To reduce if possible the loss which eventually 

would have to be met a successor bank was organized to assume most 

of the deposits of the failed bank, with banks participating in the insurance 

system subscribing to its stock and absorbing the loss on the assumed 

deposits. The impact of this failure on the participating banks influenced 

them to begin withdrawing from the insurance system; and most of 

them did so after a court decision in 1926 wrhich held that they could 

forfeit the securities they had deposited as a guaranty of payment of 

future assessments without liability for such assessments as might 

be needed to meet the losses in the failures that had already occurred. 

With these withdrawals the insolvency of the fund was apparent, and 

the deposit insurance law w^as repealed in March 1929. The order of 

completion of liquidation of the failed banks was followed in making 

payments by the fund; and because of variation in the time required to 

complete liquidation, the order in which the guaranty fund redeemed 

its certificates of indebtedness differed from the order in which the 

banks failed. The fund eventually paid the remaining unpaid insured 

deposit claims in 29 banks, and more than nine-tenths of the claims in 2 

additional banks; and made no payment in the case of the remaining 88 

banks that failed while participating in the insurance system.

In North Dakota the deposit insurance law was also repealed in 1929. 

The fund had run into difficulties in the latter part of 1920. Up to that 

time, two banks in the system had failed, and in both cases the insured 

deposits were paid in full from the fund. But with numerous failures 

during the last few weeks of 1920, the fund was unable to meet its obligations and payments wrere discontinued. In addition, receivership procedures were found inadequate and difficulties encountered in determining 

the deposit claims that were insured. Consequently, no payments to 

depositors were made until near the end of 1924. At that time the Depositors Guaranty Fund Commission adopted the procedure of paying 

a 10 percent dividend on the insured deposits of each failed bank, in 

the order of failure, with the expectation that more might be paid later, 

as rapidly as funds became available from assessment receipts. This 

procedure continued until repeal of the law. By that time the 10 percent 

dividend on insured deposits had been paid to depositors of 201 banks, 

and nothing in the case of 137 other failed banks. Settlement of the 

affairs of the fund was made in 1932, with a payment of 1 percent dividend 

on insured deposits of the 137 banks.

Bankers operating under State law in Nebraska made a more determined effort than those of any other State with deposit insurance to 

make the system successful under adverse circumstances. Disturbed 

by the large number of new banks opened, many of them operated by

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men with little banking experience, they obtained passage of legislation 

in 1921 requiring the licensing of all executive officers of State banks, 

the law stating that they must be “ of good moral character, known 

integrity, business experience and responsibility, and be capable of 

conducting the affairs of a bank on sound banking principles.” Bank 

officers at the time the act took effect were given a three months* 

license subject to revocation by the Department of Trade and Commerce. 

In 1923, another amendment provided for a Guaranty Fund Commission 

of which seven members were appointed respectively from among nominees of the banks in seven groups of counties, with the Secretary of the 

Department of Trade and Commerce as chairman. The same law also 

provided for a Bankers Conservation Fund, supported by an annual 

assessment not exceeding one-fourth of 1 percent of deposits on participating banks, which could be used by the Guaranty Fund Commission to 

operate banks in a failing condition, with the hope that they could be 

rejuvenated and thus reduce the losses falling on the insurance fund. 

However, the insurance fund itself was weakened by reducing from 1 

percent to one-half of 1 percent of deposits the maximum special assessment per year on the participating banks which could be levied to pay 

depositors of banks placed in receivership.

By 1926, though all depositors in banks placed in receivership were 

being paid, it appeared that the Nebraska insurance fund might be 

headed toward insolvency because of the large losses in the banks that 

were operated by the Guaranty Fund Commission. The editor of the 

chief banking journal in the area, after surveying the opinions of bankers 

and the facts regarding the operation of the system, published a series of 

articles under the title, “ Both Sides of the ‘Story No Other State Can 

Tell’ ” , in which he summarized the situation as follows:

All in all, it would seem that those who say the Nebraska plan is a complete success, 

are just as far wrong as those who say it is a dismal failure . . . The sane observer 

might well conclude that the Nebraska plan is neither a success nor a failure. With 

several years of fat crops, the situation may work out splendidly. With a few lean 

years, the whole law would collapse. Some State bankers say the Guaranty Fund is 

now hopelessly insolvent. Others believe it will straighten out Nebraska’s financial 

situation in three years or less.1

The next year, when the Commission began to place in receivership 

the banks it had been operating, depositors could not be paid from the 

insurance fund. An investigation and audit of the fund was ordered by the 

Legislature, and in March 1930, after a report to the Governor, the law 

was repealed. A plan was adopted for a final settlement fund to be made 

up of a small assessment on participating banks for the next ten years, 

collection of assessments already levied which many of the banks had 

not paid, and a State bond issue large enough to permit payment of all

1 The Northwestern Banker, Vol. 31, September 1926, p. 14.

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deposits of the failed banks to the date of repeal. However, the bond 

issue was rejected by the voters at a referendum, and the State Supreme 

Court, in a decision that the Supreme Court of the United States declined 

to review, declared the plan for continued assessments and the regular 

and special assessments for the insurance fund during its last two years 

were unconstitutional because under the changed conditions the law 

served no public purpose and the assessments were confiscatory. A final 

settlement of the affairs of the fund, made in 1934, resulted in payment 

of depositors in two banks, and a partial payment in another, in which 

no previous payments had been made by the insurance fund. In all, 

depositors of 129 banks that failed from the beginning of the system to 

the early months of 1927 were paid in full, those of 24 banks that failed 

during the next three years received partial payments from the fund or 

the final settlement fund before that was declared unconstitutional, and 

depositors of 164 banks failing from 1927 to the time of repeal received 

nothing from the insurance fund.

In Mississippi, where the insurance system also appeared to be successful during its early years, difficulties in the cotton areas in the middle 

1920's brought about bank failures with obligations on the fund that 

could not be met. The original law in Mississippi, as in Kansas, provided 

for the issue of negotiable interest-bearing certificates to the depositors 

of a failed bank, with dividends paid from proceeds of liquidation and 

the final deficiency by the insurance fund. In 1924, an amendment 

provided for immediate payment from the fund, with a proviso that 

if the fund were insufficient, the depositors would be issued interestbearing certificates payable from future receipts of the insurance fund. 

For several years, operating banks purchased the certificates, thus giving 

prompt recovery to depositors who wanted immediate payment. However, the amount of such obligations outstanding became so great that 

operating banks were no longer willing to purchase them. In March 

1930 the legislature approved an amendment to the deposit insurance 

law providing that the guaranty would not be applicable to future 

failures until existing obligations had been met, though the amount 

outstanding was so large that the projected collections from assessments 

would be absorbed for nearly twenty years. Two months later, the 

legislature approved a bond issue to provide funds for retirement of 

the outstanding certificates, with the bonds to be retired from the assessments on operating banks. When the bonds were ready for issue, they 

could not be sold under the terms set by the legislature, but an arrangement was worked out through which the bonds were exchanged for the 

outstanding certificates of indebtedness of the fund and therefore were 

eventually paid when the bonds became due. The assessments on insured 

banks continued until 1934, when the entire deposit insurance law of 

the State was repealed.

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STATE DEPOSIT INSURANCE SYSTEMS, 1908-1930 61

Disbursements to depositors and unpaid obligations of the

funds. Table 33 summarizes the experience of the eight States with 

respect to the extent to which the obligations falling upon the respective 

insurance funds were met by the funds or were never paid. The table 

shows how insured deposits were paid, and the extent to which they 

remained unpaid. Recoveries from liquidation of assets, directly or 

through the insurance funds, ranged from 17 percent in North Dakota 

to 75 percent in Washington. Recoveries from the insurance funds, in 

addition to those made possible by liquidation of assets, ranged from 

6 percent in South Dakota to 46 percent in Texas. The insured deposits 

which were never paid from any source ranged from none in Texas and 

Mississippi to 70 percent in South Dakota. Recoveries and losses in 

the banks that failed each year in each of the States are given in Tables 

41 and 42, pages 71 and 72.

Table 33. I n s u r e d D e p o s it s a n d O b l ig a t io n s t o D e p o s it o r s o f F a il e d

B a n k s , St a t e D e p o s it I n s u r a n c e S y s t e m s , 1908-1930

Recovered through 

insurance funds

Insured

deposits1

Recovered 

directly 

from 

liquidation 

of assets2

Paid by 

fund and 

recovered 

from 

liquidation 

of assets3

Paid by 

fund and 

not recovered 

from assets 

(loss to 

fund)4

Paid

from

other

sources5

Not

paid6

A m ou n ts (in 

thousands): 

Oklahoma7.................. $25,068

21,151

25,469

61,790

14,833

48,375

24,274

$11,175

11,241

7,490

19,420

7,080

10,385

4,154

6,361

44.6%

53.1

$2,913 $4,754

2,435

$6,225

Kansas......................... $1,424 6,051

Texas............................ 6,333

2,456

640

11,646

16,608

2,834

3,023

1,820

851

Nebraska..................... 23,306

Mississippi.................. 4,279

South Dakota. . . . . . . 1,239

18

33,728

18,282

1,240

24.8%

28.6

North Dakota. . . . . .

Washington.............. 8,452

100.0%

100.0

Percentage o f in ­

sured deposits

Oklahoma................... 11.6% 19.0%

......................... 11.5Kansas 6.7%

Texas............................ 100.0 29.4 24.9 45.7

Nebraska..................... 100.0 31.4 4.0 26.9 37.7

Mississippi......... .. 100.0 47.7 4.3 19.1 28.8

South D akota............ 100.0 21.5 2.6 6.2 69.7

North D akota........... 100.0 17.1 .1 7.5 75.3

Washington................ 100.0 75.3 10.1 14.7

1 Insured deposit claims arising from bank failures. Excludes interest on certificates of indebtedness 

issued by the funds. For data by years, see Table 40.

2 Includes dividends by receivers or liquidators to insured depositors, and insured deposits assumed 

by other banks in excess of payments from the funds. For data by years, see Table 41.

8 Recoveries by the funds on subrogated deposit claims which the funds had paid. In Mississippi, 

includes recoveries on deposit claims paid from proceeds of bond issue.

4 Payments on insured deposits by the fund adjusted for recoveries received by the funds from 

liquidation of assets of the failed banks; i.e., loss to the funds. For data by years, see Table 41.

5 In Kansas, loss to banks participating in the insurance system in the reorganization of the American 

State Bank, Wichita. In Mississippi, paid from the proceeds of a State bond issue, adjusted for subsequent recoveries on the claims paid.

6 Loss to depositors, or holders of certificates of indebtedness of the funds. For data by years, see 

Table 42. See also note 7.

7 In addition to the unpaid deposits, approximately $1,113,000 of warrants, or certificates of indebtedness of the fund, mostly held by the banks participating in the system, were never paid.

Note: Because of rounding, data may not add precisely to the indicated totals.

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62 FEDERAL DEPOSIT INSURANCE CORPORATION

T a b l e 3 4 . I n c o m e a n d E x p e n d i t u r e s o f

S t a t e D e p o s it I n s u r a n c e S y s t e m s , 1 90 8 -1 93 0

(In thousands)

Income1 Expenditures

State

Total2 Assessments3 Other4 TotaP

Payments 

on insured 

deposits5

Interest

and

losses6

Operating

expenses7

Oklahoma................. $5,303

2,821

17,723

16,483

3,656

3,647

2,054

937

$5,279

2,678

17,723

16,483

3,604

3,585

2,002

921

$24

143

$5,310

2,797

11,646

16,608

3,614

$4,754

2,435

11,646

16,608

2,834

3,023

1,820

851

$304

361

$252

Kansas.......................

Texas8.......................

Nebraska...................

Mississippi®.............. 52 681 99

South Dakota.......... 62 3,646

2,042

937

545 78

North D akota......... 52 59 163

Washington.............. 16 26 60

1 Excludes receipts by the funds from proceeds of liquidation of failed banks, which are not comparable because of differing provisions of law regarding the procedures for payment of depositors.

2 Except for Texas (see note 8), differences between total receipts and total expenditures represent 

balances remaining at latest available statements for the insurance funds, or transferred to the general 

fund of the State, or unexplained differences in data derived from various sources where complete information is not available.

* In Oklahoma, includes $1,539,000 of guaranty fund warrants or other securities deposited as 

security for payment of future assessments which were never paid or were sold for the benefit of the 

guaranty fund (see note 6 to Table 43, p. 73). In Kansas, includes securities deposited as security for 

payment of future assessments that were forfeited when most of the participating banks withdrew, but 

does not include the loss of $1,424,000 taken by participating banks in the reorganization of the failed 

American State Bank, Wichita. In Texas, relates to the special assessments for paying depositors of 

failed banks, not to the annual assessments to accumulate a revolving fund. In all States excludes assessments refunded because of adjustments or other reasons, except the refunds in Texas from the proceeds 

of liquidation of failed banks.

4 Chiefly interest received, but includes some income from other sources in South Dakota and 

from fees in North Dakota.

6 Net after allowance for recoveries by the insurance funds from proceeds of liquidation of the 

banks. Includes payments to operating banks which assumed the insured deposits of failed banks (in 

Oklahoma and Texas and a few cases in other States).

6 In Oklahoma, estimated amount of interest paid on guaranty fund warrants. In Kansas, represents 

interest paid on principal of insured deposits in the 29 banks for which such deposits were paid in full; 

and in Mississippi, interest on the guaranty certificates (representing insured deposits) that were paid 

by the insurance fund, on bills payable, and on the State bond issue for one year. In South Dakota 

mostly and in Washington entirely, loss on portions of the insurance funds deposited in banks that 

failed. In North Dakota uncollectible accounts.

7 In Oklahoma, Mississippi, and North Dakota, a portion of the operating expenses and in Kansas 

all of such expenses were met from proceeds of examination fees, special assessments on operating banks, 

or appropriations from the State. In Nebraska, operating expenses were met largely from assessments 

on the banks in receivership, thus becoming part of the liquidation expenses of failed banks, but in 

part from assessments on operating banks and legislative appropriations. For operating expenses in 

Texas, see note 8.

8 Income and expenditures shown here pertain only to the special assessments, including assessment 

adjustments at time of final settlement of the fund, to pay depositors in failed banks. The excess of 

assessments over the net payments on insured deposits was returned to the participating banks. In 

addition, assessments for the revolving fund, which amounted to more than $5 million over the course 

of the years the fund operated, were also returned to the participating banks, partly at time of liquidation 

or withdrawal from the fund (prior to 1926) but mostly at time of final settlement of the affairs of the 

fund. Some interest receipts were also available for return to the banks, but expenses incurred in settling 

the affairs of the fund were deducted— which may have been more or less than the interest receipts; 

and part of the operating expenses appear to have been included with those of the Banking Department. 

Full information is not available for receipts and expenditures of the revolving fund subsequent to 

August 31, 1922.

* Excludes $5 million receipts from bond issue, from which the deficit on insured deposits of 

$4,279,000 and interest on guaranty certificates of about $524,000 were paid.

A summary of the income and expenditures of each of the insurance 

funds is given in Table 34. Most of the income was derived from assessments on the participating banks. For two States—Oklahoma and 

Kansas—the amounts shown in the table as assessments collected include 

the value of securities which had been deposited by participating banks 

to assure payment of future assessments, but had been diverted to the 

use of the fund through the substitution of warrants that were never 

paid or through forfeiture to the fund upon the banks’ withdrawal from

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STATE DEPOSIT INSURANCE SYSTEMS, 1908-1930 63

the system. In six States there were small amounts received from interest 

or other sources. The bulk of the expenditures consisted of payments 

on insured deposits or to banks that assumed such deposits. In three 

States—Oklahoma, Kansas and Mississippi—interest payments were 

made on guaranty fund certificates outstanding before they were retired, 

and in three States portions of the funds collected were lost in the failures 

of banks in wiiich they had been deposited. Provisions for operating 

expenses were varied, being met in whole or in part, in some of the 

States, from funds appropriated or collected through examination fees 

for support of the State banking department. In five of the States a 

portion or all of the operating expenses of the deposit insurance systems 

were met from the deposit insurance funds.

Table 35. A s s e s s m e n t s R e l a t iv e t o L o s s e s ,

S t a t e D e p o s it I n s u r a n c e S y s t e m s , 1908-1930

(Amounts in thousands)

State

Number of 

years fund 

operated1

Assessments

collected2

Assessments 

necessary to 

meet losses 

on insured 

deposits3

Equivalent average annual rate 

of assessment on participating 

banks (percent of total deposits)

Paid

Necessary to 

meet losses on 

insured deposits

Oklahoma................... 15.0 $5,279 $10,979 0.42% 0.87%

Kansas......................... 19.7 2,678 9,910 .12 .44

Texas4.......................... 17.1 17,723 11,646 .67 .44

Nebraska..................... 18.7 16,483 39,914 .43 1.04

Mississippi.................. 16.0 3,604 7,113 .17 .34

South Dakota............ 11.5 3,585 36,751 .25 2.52

North D akota........... 12.0 2,002 20,102 .18 1.84

Washington................ 4.5 921 2,091 .37 .84

1 In Mississippi, to date of amendment mailing the insurance inapplicable to future failures; in 

Washington, to withdrawal of all banks in system; in other States, to repeal of the law.

2 See Table 34.

3 Insured deposits of failed banks in excess of recoveries from the proceeds of liquidation of the 

banks’ assets.

4 In Texas, the excess of assessments collected over the net payments by the insurance fund was 

returned to participating banks upon completion of the liquidation of failed banks or the final settlement 

of the affairs of the fund.

In Table 35 the assessments collected, as given in the preceding table, 

are compared with the amounts that would have been necessary to 

meet the losses on insured deposits. In this comparison no allowance is 

made for income from other sources, nor for interest payments on depositors’ claims, operating costs, and other expenses. Further, no allowance is made for the funds needed to make immediate payment to depositors of that portion of their insured claims eventually recovered 

from the liquidation of the assets of the banks. Though some of the 

States attempted, by providing an initial fund of 1 percent of deposits, 

to establish such a reserve, these provisions were inadequate except in 

the case of the revolving fund of Texas, and that became insufficient

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64 FEDERAL DEPOSIT INSURANCE CORPORATION

when the great majority of the banks participating in the system 

withdrew.

The assessments collected ranged from an amount equivalent to 

an average annual rate on the deposits of participating banks of about 

one-eighth of 1 percent in Kansas to about two-thirds of 1 percent in 

Texas. The amounts that would have been necessary to meet losses on 

insured deposits ranged from the equivalent of one-third of 1 percent 

per year of deposits of participating banks in Mississippi to about 2.5 

percent in South Dakota. The total assessments collected varied from 

less than one-tenth of the amount needed to cover all losses on insured 

deposits in South Dakota, to full coverage of such losses in Texas.

Inadequacies and factors responsible for failure o f the State 

deposit insurance systems. Various explanations have been given 

for the failure of these State experiments with deposit insurance. The 

most prevalent is an assumption that deposit insurance provided a great 

temptation toward ill-considered expansion and reckless loan management policies. This assumption is supported by the observation that in 

most of the States with a deposit insurance system a relatively rapid 

expansion occurred during the early years of the systems. Such expansion 

took two principal forms: in some States a large increase in the number 

of banks relative to population and wealth, and in most of the States an 

expansion of bank loans and deposits by individual banks with inadequate attention to the quality of assets acquired. The latter appears to 

have occurred in the larger banks to as great an extent as in the smaller 

banks: certainly it was a specific factor in the failure of some of the 

relatively large banks in the systems. Inadequate regulation of banks, 

with respect both to statutory requirements and to the quality of supervision provided by banking departments, is also frequently cited as an 

important factor in the failure of these insurance systems. Deficiencies 

in legislative standards are in fact suggested by the extent and nature 

of amendments to the banking codes after the funds had been operating 

a few years, or after they had ceased to function; and inadequacy of 

supervision appears obvious in some of the States, where there were 

frequent turnovers in the personnel of the bank supervisory agency, 

and provision for only a few examiners with salaries inadequate to retain 

well-qualified men.

However, it is easy to place more stress than is warranted on the 

presumption that deposit insurance itself led to ill-considered expansion 

and reckless management, and that this together with inadequate 

supervision was the dominant element in the failure of the systems. 

This is clear from the fact that in six of the systems the failure rates 

were lower than among State-chartered banks in several contiguous 

States during the same periods, and in two of the systems lower than in

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STATE DEPOSIT INSURANCE SYSTEMS, 1908-1930 65

all State banks in the nation. The more fundamental underlying factors 

in the failures of the systems were the impact of the deflationary monetary 

policy after the close of World War I and the accompanying business 

depression, and the continued adverse economic circumstances throughout the 1920’s in the agricultural areas of the nation.

In a sense all the funds failed from inadequate assessments and insufficient accumulated reserves. But it would be unrealistic to assume 

that the rates could have been made, as a practical matter, high enough 

to have covered the cost. If the insurance had been required for all 

banks this might have been possible, because the costs would have fallen 

upon all establishments providing banking service and hence could 

have been passed on to bank customers. But with the alternative open 

to the banks of withdrawing from the system—under the provisions of 

State law or by liquidation and conversion to national banks—the rates 

which would have been necessary to have covered the costs could not have 

been maintained.

Detailed tables and sources of data. Tables 36-43 give annual 

data regarding the number of banks, their total deposits, insured deposits 

and the degree to which they were paid, and the assessments collected.

The information from which these tables have been prepared was 

obtained for the most part from the respective State banking departments, partly from official reports published in State documents, partly 

from records remaining in the offices of the State departments which 

have been made available through the courtesy of the respective bank 

supervisory officials, and partly from data published or available elsewhere but largely derived from the records of the State banking departments. In some respects the published material, together with the available records in the offices of the banking departments, do not provide 

all the information needed for accurate tabulations, and in most of the 

States it has been necessary to supplement the data actually collected 

by estimates derived from partial data.

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05

o

Table 36. N u m b e r o f B a n k s , a n d N u m b e r P a r t ic ip a t in g in S t a t e D e p o s it I n s u r a n c e S y s t e m s , 1908-19301

Year

end2

Oklahoma Kansas Texas Nebraska Mississippi South Dakota North Dakota !

i

j Washington

Total* Participating4 Total3

Eligible

Total3

Eligible

Total3 Participating4 Total3 Participating4 Total3 Participating4 Total3 Participating4 Total3

Eligible

N ot

participating

Participating

Not

participating

Participating

Not

participating

Participating

1908........................ 834 546

1909........................ 887 668 1,038 421 404 1,203 43 472

1910........................ 924 695 1,077 459 401 1,308 45 582

1911........................ 914 631 1,107 446 442 1,370 45 643 916 669

1912........................ 923 615 1,113 432 462 1,442 55 704 935 694

1913........................ 913 582 1,141 439 481 1,536 61 788 965 728

1914........................ 913 563 1,153 420 508 1,551 59 790 983 765 308 273

1915........................ 903 557 1,196 427 526 1,532 54 777 1,007 803 293 258 648 530

1916........................ 885 547 1,220 437 546 1,530 47 789 1,031 839 293 258 628 503

1917........................ 901 566 1,250 430 577 1,572 46 828 1,110 920 297 263 639 514 866 705 364 239 46

1918........................ 936 581 1,291 426 613 1,579 43 841 1,133 942 299 266 647 521 877 709 364 197 85

1919........................ 944 599 1,338 427 649 1,641 41 907 1,188 999 316 284 673 543 898 723 381 191 104

1920........................ 977 622 1,374 409 683 1,717 41 990 1,196 1,009 337 306 702 566 874 694 401 190 116

1921........................ 938 556 1,375 377 714 1,681 34 970 1,170 986 336 306 702 566 843 661

1922........................ 910 463 1,349 369 698 1,647 34 936 1,137 955 331 300 692 561 849 665

1923........................ 1,323 357 681 1,645 34 916 1,118 938 338 306 662 535 743 569

1924........................ 1,297 371 651 1,618 37 896 1,101 928 335 299 552 438 678 513

1925........................ 1,269 381 611 1,582 497 337 1,072 903 338 301 495 385 642 482

1926........................ 1,223 547 399 1,524 748 34 1,043 883 325 289 422 322 555 409

1927........................ 1,109 794 78 1,012 855 325 288 512 371

1928........................ 1,102 794 39 882 726 321 285 470 337

1929........................ 804 647 306 271

1 For periods of operation of the deposit insurance systems.

* December 31 or nearest available date.

* Total number includes all banks and trust companies operating in the State. Of these, national banks were ineligible for participation in State deposit insurance systems under 

a ruling of the Comptroller of the Currency, and in some States certain types of banking institutions were ineligible under State law (Oklahoma, trust companies after 1911; Kansas, 

trust companies and private banks; Texas, private banks; Washington, mutual savings banks).

4 Required to participate. Figure for Mississippi for 1914 includes all State banks, part of which may not have been participating banks on that date: participation was voluntary 

to May 15, 1915.

FEDERAL DEPOSIT INSURANCE C O R P O R A T IO N

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T a b le 37. T o t a l D e p o s its o f A l l B a n k s, an d o f B a n k s P a r tic ip a tin g in S t a t e D e p o s it In s u r a n c e System s, 1 90 8-19301

(In millions of dollars)

Year

end2

Oklahoma Kansas Texas Nebraska Mississippi South Dakota North Dakota Washington

Total Participating Total

Eligible

Total

Eligible

Total Participating Total Participating Total Participating Total Participating Total

Eligible

N ot

participating

Participating

Not

participating

Participating

Not

participating

Participating

1908........................ 75 32

1909........................ 106 55 189 54 46 274 4 47

1910........................ 121 61 171 45 47 299 6 55

1911........................ 107 44 183 46 55 300 7 57 194 74

1912........................ 123 46 194 42 63 395 10 89 205 83

1913........................ 135 46 191 41 66 358 10 85 214 93

1914........................ 129 45 211 44 75 305 9 64 217 101 63 45

1915........................ 158 48 233 49 86 390 8 93 241 114 75 55 111 63

1916........................ 265 85 330 65 118 606 11 149 343 166 103 79 141 84

1917........................ 382 137 400 73 152 763 12 204 419 223 141 107 195 123 171 105 322 109 40 1918........................ 339 121 428 80 170 643 12 179 478 260 159 120 239 151 210 123 363 112 55 1919........................ 513 191 487 88 205 1,132 15 321 513 279 237 188 281 184 214 131 451 123 80 1920........................ 434 161 447 81 191 862 14 266 432 255 160 123 219 145 174 104 396 107 75

1921........................ 360 113 411 66 180 756 10 227 388 216 154 117 202 135 152 85 1922........................ 393 75 427 62 180 913 11 252 434 239 187 139 222 150 173 95 1923........................ 411 64 168 1,075 17 289 430 240 200 148 226 151 156 80

1924........................ 484 75 195 1,159 21 302 485 272 211 146 199 122 184 88 1925........................ 457 180 168 1,257 8 3 487 282 246 167 179 106 182 86

1926....................... 451 154 79 1,066 226 3 470 276 227 151 143 79 153 70 1927........................ 443 210 7 474 275 255 172 149 65 1928....................... 457 219 3 462 252 250 168 144 60 1929........................ 407 192 240 161

1 For periods of operation of the deposit insurance systems. 

a December 31 or nearest available date.

ayaij,able became of lack of information regarding the identity of the banks that withdrew prior to January 1,1926, or those that withdrew between that date and September 

29, 1926. In M ay 1926, 160 banks that remained in the system had deposits of $29,657,000 (statement of Bank Commissioner, The Texas Bankers Record, June 1926, p. 38)

OSTATE DEPOSIT INSURANCE SYSTEM S, 1908-1930

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Table 38. P a r t ic ip a t io n in S t a t e D e p o s it I n s u r a n c e S y s t e m s , 1908-1930

Year end

Percentage of banks participating Percentage of deposits in participating banks

Oklahoma

KansasTexas

Nebraska

Mississippi

South

Dakota

North

Dakota

Washington

Oklahoma

Kansas

1

TexasNebraska

Mississippi

South

Dakota

North

Dakota

Washington

Of Of Of eli­ Of Of eli­ Of Of Of Of Of Of eli­ Of Of Of eli1

Of Of eli­ Of Of Of Of Of Of eliall all gible all gible all all all all all gible all all gible all gible all all all all all gible

banks banks banks banks banks banks banks banks banks banks banks banks banks banks banks banks banks banks banks banks banks banks

1908..................... 65.5 42.0

1909...................... 75.3 38.9 48.9 39.2 91.7 51.8 24.0 45.7 17.3 92.2

1910...................... 75.2 37.2 46.6 44.5 92.8 50.7 27.4 51.0 18.4 90.4

1911...................... 69.0 39.9 49.8 46.9 93.5 73.0 41.2 29.9 54.5 18.9 89.5 38.2

1912...................... 66.6 41.5 51.7 48.8 92.8 74.2 37.4 32.5 59.8 22.6 90.3 40.3

1913...................... 63.7 42.2 52.3 51.3 92.8 75.4 34.1 34.7 61.7 23.9 89.1 43.4

1914..................... 61.7 44.1 54.7 50.9 93.1 77.8 88.6 34.6 35.3 62.8 21.0 87.4 46.5 72.3

1915..................... 61.7 44.0 55.2 50.7 93.5 79.7 88.1 81.8 30.6 36.9 63.9 23.8 91.7 47.5 73.4 56.9

1916...................... 61.8 44.8 55.5 51.6 94.4 81.4 88.1 80.1 31.9 35.8 64.3 24.6 93.1 48.3 76.2 59.4

1917...................... 62.8 46.2 57.3 52.7 94.7 82.9 88.6 80.4 81.4 12.6 16.1 35.9 38.1 67.7 26.7 94.5 53.3 75.8 62.7 60.9 12.4 26.8

1918...................... 62.1 47.5 59.0 53.3 95.1 83.1 90.0 80.5 80.8 23.4 30.1 35.6 39.6 67.9 27.8 93.7 54.4 75.4 63.1 58.4 15.2 32.9

1919...................... 63.5 48.5 60.3 55.3 95.7 84.1 89.9 80.7 80.5 27.3 35.3 37.2 42.0 69.9 28.4 95.7 54.3 79.2 65.5 61.1 17.7 39.4

1920...................... 63.7 49.7 62.5 57.7 96.0 84.4 90.8 80.6 79.4 28.9 37.9 36.9 42.8 70.3 30.9 95.0 59.0 76.8 66.4 59.9 18.9 41.1

1921...................... 59.3 51.9 65.4 57.7 96.6 84.3 91.1 80.6 78.4 31.3 43.8 73.2 30.1 95.7 55.8 75.6 66.6 56.1

1922...................... 50.9 51.7 65.4 56.8 96.5 83.9 90.6 81.1 78.3 19.1 42.1 74.4 27.6 95.9 55.0 74.3 67.3 55.2

1923...................... 51.5 65.6 55.7 96.4 83.9 90.5 80.8 76.6 40.8 72.3 26.9 94.4 55.8 74.2 66.8 51.4

1924...................... 50.2 63.7 55.4 96.0 84.3 89.3 79.3 75.7 40.3 72.2 26.0 93.6 55.9 69.2 61.4 47.8

1925...................... 48.1 61.6 21.3 40.4 84.2 89.1 77.8 75.1 36.8 67.8 l i 57.8 67.9 59.3 47.6

1926...................... 32.6 42.2 2.2 4.3 84.7 88.9 76.3 73.7 17.2 33.9 .3 1.2 58.6 66.8 55.1 45.4

1927...................... 7.0 8.9 84.5 88.6 72.5 1.6 3.2 57.9 67.3 43.7

1928..................... 3.5 4.7 82.3 88.8 71.7 .7 1.5 54.7 67.3 41.6

1929...................... 80.5 88.6 47.1 67.1

1 See note 3, Table 37.

FEDERAL DEPOSIT INSURANCE C O R P O R A T IO N

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T a b l e 3 9 . N u m b e r a n d D e p o s i t s o f F a i l e d B a n k s P a r t i c i p a t i n g in S t a t e D e p o s i t I n s u r a n c e S y s te m s , 1 90 8-1930

Year of 

failure

T ota l

1908..

1909..

1910..

1911..

1912..

1913..

1914..

1915..

1916..

1917..

1918..

1919..

1920..

1921..

1922..

1923..

1924..

1925..

1926..

1927.. 

1928.

1929..

1930..

Number of failed banks1

139

1

3

3

8

4 

166

6

1

2

3

6

8

28

3311

119

1

2

8

15

1910

15

27

17

3

1

138

1

1

9

30

1910

15 21

162

317

2522

15

1320

2222

46

116

64

o

I*wQ

242

94

4711

340

1

18

27

7

77

61

25

43

33

30

18

Deposits (in thousands of dollars)2

29,486

37

2,873

661

1,144

656

1,993

501

360

40

85

1,203

1,183

2,375

6,509

8,404

1,460

25,265

155

648

219

2,110

3,357

7,235

2,593

2,237

3,600

2,806

223

82

37,627

230

35

125

207

513

3,343

133

24

1,255

12,002

5,815

2,889

4,246

4,826

1,833

151

&<y

61,489

122

110

1,026

6,041

4,758

2,418

1,546

5,154

5,847

5,629

7,725

19,835

1,278

14,550

623

64

481

1,469

1,169

171

571

1,596

1,454

2,294

1,554

2,172

932

A o

oqQ

56,586

32

141

527

316

1,991

10,173

27,751

6,401

7,889

1,364

.a

£

39,094 10,443

201

3,478

4,062

1,071

9,136

6,745

2,395

4,383

3,691

2,160

1,772

10,443

1 Exclusive of suspended banks not placed in receivership that reopened or were taken over without payments from, or due from, the deposit insurance funds. 

a of date of failure or, where this is not available, last available report prior to failure. Due to rounding, data may not add precisely to the indicated totals.

* For the later years, many of the banks had become insolvent at earlier dates, and had been operated by the Guarantee Fund Commission.

05

coSTATE DEPOSIT INSURANCE SYSTEM S, 1908-1930

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T a b l e 4 0 . I n s u r e d D e p o s it s a n d t h e i r R a t io t o T o t a l D e p o s it s in B a n k s t h a t F a il e d W h il e P a r t ic ip a t in g in

S t a t e D e p o s it I n s u r a n c e S y s t e m s , 1 90 8 -1 93 0

Year of 

failure

Insured deposits (in thousands of dollars)1 Percentage ratio: insured deposits to total deposits at date of failure

Oklahoma2Kansas*

Texas4

Nebraska5

Mississippi*

South

Dakota7

North

Dakota8

Washington9

OklahomaKansas

Texas

Nebraska

Mississippi

South

Dakota

NorthDakota

Washington

T o t a l................................... 25,068 21,151 25,469 61,790 14,833 48,375 24,274 8,452 85.0 83.7 67.7 100.5 101.9 85.5 62.1 80.9

1908....................................... 37 100.0

1909....................................... 1,741 60.6

1910....................................... 588 47 88.9 30.1

1911....................................... 1,065 152 93.1 66.2

1912....................................... 535 28 81.5 80^3

1913....................................... 1,716 98 86.1 78^2

1914....................................... 451 162 122 90.0 78.3 99.7

1915....................................... 332 378 92.2 73^7

1916....................................... 40 2,196 111 623 26 100.0 65.7 100.7 100.0 81.6

1917....................................... 84 64 99^1 ioo!o

1918....................................... 1,078 105 89.6 78.9

1919....................................... 906 497 19 128 87 76.6 76.7 80.7 90.7 43.2

1920....................................... 2,009 190 961 968 481 496 2,098 84.6 86.5 16.6 94.4 100.0 94.0 60^3

1921....................................... 5,415 1,910 8,044 6,303 1,465 210 2,619 8,452 83.2 90.6 67.0 104.3 99.8 66.5 64.5 80.9

1922....................................... 8,033 2,637 3,807 4,916 1,149 1,843 591 95.6 78.5 65.5 103.3 98.3 92.6 55.1

1923....................................... 1,038 5,825 1,846 2,648 166 8,494 5,668 71.1 80.5 63.9 109.5 97.5 83.5 62.0

1924....................................... 2,226 2,860 1,470 571 24,718 4,721 85.8 67.4 95.1 100.1 89.1 70.0

1925....................................... 2,081 3,258 5,005 1,976 5,409 1,619 93.0 67.5 97.1 123.8 84.5 67.6

1926....................................... 3,230 1,410 5,963 1,431 5,859 2,276 89.7 76.9 102.0 98.4 74.3 51.9

1927....................................... 2,244 144 5,941 2,176 1,191 2,326 80.0 95.1 105.5 94.9 87.3 63.0

1928....................................... 197 7,874 1,614 1,334 88.5 101.9 103.9 61.7

1929....................................... 69 19,307 2,170 935 83.9 97.3 99.9 52.7

1930....................................... 1,162 945 90.9 101.4

1 The major part of the differences between insured deposits, as given here, and total deposits at date of failure, shown in Table 39, is due to deposits excluded from insurance 

coverage (see text, pages 50-51). However, some differences are due to deposit claims allowed that were not on the books or not included in those tabulated as of date of failure, or 

to deposits on the books for which claims were not filed or which were disallowed on the ground that they were not deposit liabilities.

2 Estimated for a large proportion of the banks as the amount of deposits at date of failure, excluding those of banks and government and cashier’s checks. For failed banks that 

were liquidated without being taken over or reorganized, such deposits exceeded by lHs percent the claims of the guaranty fund against the receivers. For the majority of the failed 

banks the actual amount of insured deposits is unavailable, because the claims of the guaranty fund represented payments to an absorbing or successor bank that assumed the deposits 

of a failed bank without a definite determination of the deposits covered by insurance.

* Guaranty fund certificates issued (estimated for a few banks for which the amount of certificates issued is not available). The figure for 1923 includes the estimated amount of 

insured deposits of the American State Bank, W ichita, which were assumed by the successor bank and represented on the liquidation accounts of the American State Bank by receivers’ certificates instead of guaranty fund certificates.

4 Claims paid or payable by the guaranty fund (estimated for some banks, chiefly those absorbed by another bank with a payment by the fund).

6 Claims payable by the guaranty fund (estimated for a few of the banks).

• All deposits eventually paid from assets, the guaranty fund, and proceeds of a State bond issue (estimated for one bank).

7 Amount paid by guaranty fund for 16 banks for which all guaranteed claims were paid, and amount of guaranty fund certificates issued for the remaining failed banks.

For additional notes, see p. 71.

FEDERAL DEPOSIT INSURANCE C O R P O R A T IO N

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T a b l e 4 1 . R e c o v e r ie s o n In s u r e d D e p o s its in B a n k s t h a t F a ile d W h il e P a r tic ip a tin g in S t a t e D e p o s it In s u r a n c e System s, 1908-1930

(In thousands of dollars)

Year of 

failure

Recoveries from liquidation of assets1 Net payments to depositors from insurance fund2

Oklahoma

Kansas

Texas

Nebraska

Mississippi

South

DakotaNorth

Dakota

Washington

OklahomaKansas

Texas

Nebraska

Mississippi

South

DakotaNorthDakotaWashington |

T o ta l.................................... 14,088 11,241 13,823 21,876 7,720 11,624 4,172 6,361 4,754 2,435 11,646 16,608 2,834 3,023 1,820 851

1908....................................... 37 ' '9 ’

1909 ..................... 1,125 616

1910....................................... 347 18 241 29

1911 ..................... 526 109 540 43

1912 .............................. 385 16 150 12

1913 ..................... 1,187 97 529 1

1914 .......................... 290 158 103 161 4 19

1915 ................. 245 367 87 11

1916 ................................ 38 1,919 67 389 26 3 277 44 235

1917 ........... 84 32 32

1918 ............. 1,043 105 35

1919 ................. 823 94 19 53 7 83 402 75 80

1920 ................................ 997 93 499 318 177 123 232 1,012 96 462 649 303 372 285

1921....................................... 2,588 1,485 3,176 3,320 484 85 367 6,361 1,285 329 4,868 2,983 982 125 244 851

1922....................................... 3,792 1,051 2,343 1,695 560 270 20 14 1,041 1,464 3,221 589 1,573 58

1923 ................... 582 2,459 1,236 580 105 1,074 589 366 611 2,068 61 604 550

1924....................................... 1,410 1,298 349 382 7,031 1,165 173 1,562 1,121 189 177 438

1925 .............................. 1,216 1,848 2,177 1,306 1,168 279 1,411 2,828 356 42 99

1926 ..................................... 1,613 583 3,026 698 1,455 416 827 2,937 87 45 22

1927 ................... 1,589 50 1,067 678 338 566 93 567 9 23

1928 ................... 156 1,482 677 252 154 12

1929 . ................... 57 7,045 1,582 279 17 9

1930....................................... 645 649

1 Includes dividends paid directly to depositors, and those paid to the insurance funds on depositors’ claims, and estimated amount of insured deposits assumed by absorbing or 

successor banks with payments from the insurance funds.

a Payments to depositors by the insurance funds, or to absorbing or successor banks, less recoveries by the fund.

Note: Because of rounding, data may not add precisely to indicated totals.

Notes to Table 40— continued

8 Claims approved by Guaranty Fund Commission, estimated as follows: for 2 banks paid in full by the fund, the amount of deposits paid; for banks on which a 10 percent dividend was paid, ten times the amount of such dividend allowed; for banks on which a 1 percent dividend was paid, one hundred times the amount of those dividends; total deposits 

in a few cases paid in full by receivers.

9 Warrants issued for the guaranteed deposits.

Note: Because of rounding, data may not add precisely to the indicated totals.

STATE DEPOSIT INSURANCE SYSTEM S, 1908-1930

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T a b l e 4 2 . L o s s e s o n D e p o s it s a n d O t h e r L i a b il it ie s in B a n k s t h a t F a il e d W h il e P a r t ic ip a t in g in

S t a t e D e p o s it I n s u r a n c e S y s t e m s , 190 8 -1 93 0

(In thousands of dollars)

On insured deposits1 On noninsured deposits and other liabilities

Year of 

failure C3

a

o

A

a

3

o

%

8

a

A

GQesjX0)

1

a}I*rO

a>

ft.ft

*55CO

1

3

a

M o

m Q

£ o t,#o rt

Z Q

a

S

bo

c

1

o

A

£&

O

m

3

I

00

$

0)

El

1

eft

•8

£

‘ftft

'§

1

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eg

+3 ©

O 03

Z Q

c

o

Ma

13GO

T o ta l.................................... 6,225 7,475 n on e 23,306 4,279 33,728 18,282 1,240 4 1,958 2,968 1,704 4 2,859 23,719 141

1908.......................................

1909.......................................

1910....................................... 52

1911....................................... 4

1912....................................... 4

1913....................................... 4

1914....................................... 4 4

1915....................................... 4

1916....................................... 4 4

1917.......................................

1918.......................................

1919....................................... 122

21

188

256

827

22

97

227

142

3

t 10

1920....................................... 1,582

2,008

513

4,530

3,118

1,241

1,838

1,737

1,070

646

215

1,543

121

182

192

498

208

9

4 6

26

142

600

1,141

435

419

90

1,697

2,207

803

6,782

4,668

1,385

2,716

1,611

1,013

828

1921....................................... 1,542

4,227

456

97 1,240 278

60

91

134

31

74

48

142

780

65

141

1922....................................... 545

1923....................................... 2,999

644

6,816

17,509

4,199

4,359

845

1924.......................................

1925....................................... 864 314

1926....................................... 1,617

655

646

1,498

937

588

296

1927...................................... 4,306

6,237

12,245

517

1928....................................... 42

1929....................................... 12 5

1930......................................

1 Insured deposits never repaid to depositors, either from the insurance fund or liquidation of assets, except for a portion of the loss in Kansas (see note 2) and the loss in Mississippi 

which was assumed by the State (see note 3).

2 Of this loss, $1,424,000 was assumed by the participating banks in the reorganization of the American State Bank, Wichita, which failed in 1923.

* Paid from proceeds of a State bond issue.

4 Data not available.

* Less than $500.

Note: Because of rounding data may not add precisely to indicated totals.

FEDERAL DEPOSIT INSURANCE C O R P O R A T IO N

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Table 43. A s s e s s m e n t R a t e s a n d C o l l e c t i o n s b y S t a t e D e p o s i t I n s u r a n c e S y s te m s , 1908-1934

Year

Assessment rates (percent)1 Net collections from assessments (in thousands of dollars)2

OklahomaKansas

Texas8

Nebraska4

Mississippi

SouthDakotaNorth

Dakota

WashingtonOklahoma

Kansas

Texas

Nebraska

Mississippi

South

Dakota

North

Dakota

Washington

T o t a l.................................... 5,279 2,678 17,723 16,483 3,604 3,585 2,002 921

1908....................................... 1.00 199

1909....................................... .95 .05 327 17

1910....................................... .20 .05 285 18

1911....................................... 1.20 .05 .25 601 23 177

1912....................................... .95 .05 .24 .50 511 23 133 407

1913....................................... .40 .05 .30 202 28 272

1914....................................... .40 .05 .07 .15 .05 148 32 61 141 5

1915....................................... .40 .05 .03 .15 .05 162 30 18 145 14

1916....................................... .20 .05 .22 .15 .05 .25 90 37 200 182 15 139

1917....................................... .20 .05 .04 .15 .10 .25 .05 .50 133 48 62 220 44 186 43 139

1918....................................... .20 .05 .15 .15 .25 .05 209 71 318 98 255 60 74

1919....................................... .20 .05 .20 .20 .25 .05 232 84 506 153 330 75 89

1920....................................... .20 .05 .20 .10 .25 .05 302 97 639 118 427 62 86

1921....................................... .20 .05 1.50 .95 .25 .25 .25 1.10 I 9A7 ( 107 3,991 2,318 238 442 285 583

1922....................................... .20 .10 1.84 .90 .25 .25 .25 f 1 { 157 4,179 1,972 199 335 249

1923....................................... .05 .49 .85 .25 .25 .25 82 78 1,245 2,046 228 350 205

1924....................................... .25 .84 .40 .25 .25 .35 344 2,416 l|005 253 330 256

1925....................................... .25 1.25 .60 .25 .25 .25 343 3,772 1,616 251 274 202

1926....................................... .25 6 .60 .25 .25 .25 129 934 1,672 289 264 205

1927....................................... .25 5.34 .60 .25 .25 .25 25 147 1,653 299 253 167

1928....................................... .25 .30 .25 .25 9 885 309 148

1929....................................... .05 .05 .25 .10 1 309 296 44

1930....................................... .25 292

Additional6.......................... 1,549 975 564 502

* Includes initial, regular annual, and special assessments (excluding regular annual assessment in Texas of 0.25 percent per year for revolving fund). The assessment base to which 

the rates were applied was a daily or call-date average of deposits for the preceding year, excluding uninsured deposits in most of the States.

2 Collections from assessments described in note 1, and from banks entering the system, with allowance for refunds and other adjustments.

8 Relates to special assessments only, computed from assessments collected and deposits of participating banks at the beginning of the year. N o information is available regarding 

rates levied.

« Rates for some years are approximations to include additional assessments to bring fund to 1 percent of deposits, for which rate information is not available.

6 N ot available.

6 In Oklahoma, includes $426,000 in guaranty fund warrants or other securities deposited as security for payment of future assessments by banks that had nationalized and which 

were cancelled or sold for the benefit of the guaranty fund; $1,113,000 of warrants outstanding and not paid upon final settlement of the affairs of the fund, most of which had been M 

deposited by participating banks as security for payment of future assessments; and $10,000 unpaid assessments collected at time of final settlement as a condition for the return of 

securities deposited as security for payment of future assessments. In Kansas, amount is difference between total receipts of the fund (except interest) and assessments collected in the 

respective years, and consists mostly or wholly of proceeds from sale of securities deposited for payment of future assessments that were forfeited by withdrawing banks. In Texas, consists of adjustments at time of final settlement of the affairs of the fund to cover insured deposits in failed banks for which assessments had not been levied. In Mississippi, consists 

of assessments at the 0.25 percent annual rate from the end of 1930 after deposit insurance had ceased to apply to current failures, to early 1934, when the guaranty law was repealed.

STATE DEPOSIT INSURANCE SYSTEM S, 1908-1930

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Federal Reserve Bank of St. Louis
PART FOUR

LEGISLATION AND REGULATIONS

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Fe d e r a l Le g is l a t io n

EXTENSION OF THE FEDERAL DEPOSIT INSURANCE ACT

AND THE NATIONAL BANK ACT TO GUAM

P u b l ic L a w 8 9 6 — 8 4 t h C o n g r e s s 1

C h a p t e r 8 5 2 — 2d S e s s io n

H. R. 11522

AN ACT

To implement section 25 (b) of the Organic Act of Guam by carrying out the recommendations of the Commission on the Application of Federal Laws to Guam, 

and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America

in Congress assembled . . .

Sec. 2. The National Bank Act, and all other Acts of Congress relating to national 

banks, shall, insofar as not locally inapplicable hereafter, apply to Guam.

Sec. 3. The Federal Deposit Insurance Act (64 Stat. 873; 12 U. S. C., secs. 1811- 

1831), is amended—

(a) by inserting the word “ Guam,” after the words “ Puerto R ico/’ in subsection (a) of section 3, and by substituting a comma for the period at the end 

of such subsection (a) and adding the following words “ and the word ‘State* 

means any State of the United States, the District of Columbia, any Territory 

of the United States, Puerto Rico, Guam, or the Virgin Islands.” ;

(b) by inserting the word “ Guam,” after the words “ Puerto Rico,” in each 

place where they appear in subsections (d), (e), and (o) of section 3;

(c) by inserting the word “ Guam,” after the words “ Puerto Rico,” in the 

first proviso of subsection (1) of section 3; and

(d) by inserting the words “ of Guam,” after the words “ of Puerto Rico,” 

where they appear in subsection (m) of section 3 ...........

Approved August 1, 1956.

BANK HOLDING COMPANY ACT OF 1956

P u b l i c L a w 5 1 1 — 8 4 t h C o n g r e s s 2 

C h a p t e r 2 40 — 2 d S e s s io n 

H. R. 6227

AN ACT

To define bank holding companies, control their future expansion, and require 

divestment of their nonbanking interests.

Be it enacted by the Senate and House of Representatives of the United States of America

in Congress assembled, That this Act may be cited as the “ Bank Holding Company 

Act of 1956” .

1 70 Stat. 908.

2 70 Stat. 133.

77

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78 FEDERAL DEPOSIT INSURANCE CORPORATION

DEFINITIONS

Sec. 2. (a) “ Bank holding company” means any company (1) which directly 

or indirectly owns, controls, or holds with power to vote, 25 per centum or more 

of the voting shares of each of two or more banks or of a company which is or becomes 

a bank holding company by virtue of this Act, or (2) which controls in any manner 

the election of a majority of the directors of each of two or more banks, or (3) for 

the benefit of whose shareholders or members 25 per centum or more of the voting 

shares of each of two or more banks or a bank holding company is held by trustees; 

and for the purposes of this Act, any successor to any such company shall be deemed 

to be a bank holding company from the date as of which such predecessor company 

became a bank holding company. Notwithstanding the foregoing (A) no bank shall 

be a bank holding company by virtue of its ownership or control of shares in a fiduciary 

capacity, except where such shares are held for the benefit of the shareholders of 

such bank, (B) no company shall be a bank holding company which is registered 

under the Investment Company Act of 1940, and was so registered prior to May 15,

1955 (or which is affiliated with any such company in such manner as to constitute 

an affiliated company within the meaning of such Act), unless such company (or 

such affiliated company), as the case may be, directly owns 25 per centum or more 

of the voting shares of each of two or more banks, (C) no company shall be a bank 

holding company by virtue of its ownership or control of shares acquired by it in 

connection with its underwriting of securities and which are held only for such period 

of time as will permit the sale thereof upon a reasonable basis, (D) no company formed 

for the sole purpose of participating in a proxy solicitation shall be a bank holding 

company by virtue of its control of voting rights of shares acquired in the course of 

such solicitation, and (E) no company shall be a bank holding company if at least 

80 per centum of its total assets are composed of holdings in the field of agriculture.

(b) “ Company” means any corporation, business trust, association, or similar 

organization, but shall not include (1) any corporation the majority of the shares 

of which are owned by the United States or by any State, or (2) any corporation 

or community chest, fund, or foundation, organized and operated exclusively for 

religious, charitable, or educational purposes, no part of the net earnings of which 

inures to the benefit of any private shareholder or individual, and no substantial 

part of the activities of which is carrying on propaganda, or otherwise attempting 

to influence legislation, or (3) any partnership.

(c) “ Bank” means any national banking association or any State bank, savings 

bank, or trust company, but shall not include any organization operating under section 

25 (a) of the Federal Reserve Act, or any organization which does not do business 

within the United States. “ State member bank” means any State bank which is a 

member of the Federal Reserve System. “ District bank” means any State bank 

organized or operating under the Code of Law for the District of Columbia.

(d) “ Subsidiary” , with respect to a specified bank holding company, means (1) any 

company 25 per centum or more of whose voting shares (excluding shares owned by 

the United States or by any company wholly owned by the United States) is owned 

or controlled by such bank holding company; or (2) any company the election of a 

majority of whose directors is controlled in any manner by such bank holding 

company; or (3) any company 25 per centum or more of whose voting shares are 

held by trustees for the benefit of the shareholders or members of such bank holding 

company.

(e) The term “ successor” shall include any company which acquires directly or 

indirectly from a bank holding company shares of any bank, when and if the relationship between such company and the bank holding company is such that the transaction 

effects no substantial change in the control of the bank or beneficial ownership of

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BANK HOLDING COMPANY ACT OF 1956 79

such shares of such bank. The Board may, by regulation, further define the term 

“ successor” to the extent necessary to prevent evasion of the purposes of this Act.

(f) “ Board” means the Board of Governors of the Federal Reserve System.

(g) “ Agriculture” , as used in section 2 (a), includes farming in all its branches 

including fruitgrowing, dairying, the raising of livestock, bees, fur-bearing animals, 

or poultry, forestry or lumbering operations, and the production of naval stores, 

and operations directly related thereto.

ACQUISITION OP BANK SHARES OR ASSETS

Sec. 3. (a) It shall be unlawful except with the prior approval of the Board

(1) for any action to be taken which results in a company becoming a bank holding 

company under section 2 (a) of this Act; (2) for any bank holding company to acquire 

direct or indirect ownership or control of any voting shares of any bank if, after such 

acquisition, such company will directly or indirectly own or control more than 5 per 

centum of the voting shares of such bank; (3) for any bank holding company or 

subsidiary thereof, other than a bank, to acquire all or substantially all of the assets 

of a bank; or (4) for any bank holding company to merge or consolidate with any 

other bank holding company. Notwithstanding the foregoing this prohibition shall 

not apply to (A) shares acquired by a bank, (i) in good faith in a fiduciary capacity, 

except where such shares are held for the benefit of the shareholders of such bank, or 

(ii) in the regular course of securing or collecting a debt previously contracted in 

good faith, but any shares acquired after the date of enactment of this Act in securing 

or collecting any such previously contracted debt shall be disposed of within a period 

of two years from the date on which they were acquired; or (B) additional shares 

acquired by a bank holding company in a bank in which such bank holding company 

owned or controlled a majority of the voting shares prior to such acquisition.

(b) Upon receiving from a company any application for approval under this section, 

the Board shall give notice to the Comptroller of the Currency, if the applicant company or any bank the voting shares or assets of which are sought to be acquired is 

a national banking association or a District bank, or to the appropriate supervisory 

authority of the interested State, if the applicant company or any bank the voting 

shares or assets of which are sought to be acquired is a State bank, and shall allow 

thirty days within which the views and recommendations of the Comptroller of the 

Currency or the State supervisory authority, as the case may be, may be submitted. 

If the Comptroller of the Currency or the State supervisory authority so notified by 

the Board disapproves the application in writing within said thirty days, the Board 

shall forthwith give written notice of that fact to the applicant. Within three days 

after giving such notice to the applicant, the Board shall notify in writing the applicant 

and the disapproving authority of the date for commencement of a hearing by it on 

such application. Any such hearing shall be commenced not less than ten nor more 

than thirty days after the Board has given written notice to the applicant of the action 

of the disapproving authority. The length of any such hearing shall be determined 

by the Board, but it shall afford all interested parties a reasonable opportunity to 

testify at such hearing. At the conclusion thereof, the Board shall by order grant or 

deny the application on the basis of the record made at such hearing.

(c) In determining whether or not to approve any acquisition or merger or consolidation under this section, the Board shall take into consideration the following 

factors: (1) the financial history and condition of the company or companies and the 

banks concerned; (2) their prospects; (3) the character of their management; (4) the 

convenience, needs, and welfare of the communities and the area concerned; and

(5) whether or not the effect of such acquisition or merger or consolidation would be 

to expand the size or extent of the bank holding company system involved beyond

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80 FEDERAL DEPOSIT INSURANCE CORPORATION

limits consistent with adequate and sound banking, the public interest, and the 

preservation of competition in the field of banking.

(d) Notwithstanding any other provision of this section, no application shall be 

approved under this section which will permit any bank holding company or any 

subsidiary thereof to acquire, directly or indirectly, any voting shares of, interest in, 

or all or substantially all of the assets of any additional bank located outside of the 

State in which such bank holding company maintains its principal office and place 

of business or in which it conducts its principal operations unless the acquisition of 

such shares or assets of a State bank by an out-of-State bank holding company is 

specifically authorized by the statute laws of the State in which such bank is located, 

by language to that effect and not merely by implication.

INTERESTS IN NONBANKING ORGANIZATIONS

Sec. 4. (a) Except as otherwise provided in this Act, no bank holding company 

shall—

(1) after the date of enactment of this Act acquire direct or indirect ownership 

or control of any voting shares of any company which is not a bank, or

(2) after two years from the date of enactment of this Act or from the date 

as of which it becomes a bank holding company, whichever is later, retain direct 

or indirect ownership or control of any voting shares of any company which is 

not a bank or a bank holding company or engage in any business other than 

that of banking or of managing or controlling banks or of furnishing services 

to or performing services for any bank of which it owns or controls 25 per centum 

or more of the voting shares.

The Board is authorized, upon application by a bank holding company, to extend 

the period referred to in paragraph (2) above from time to time as to such bank holding 

company for not more than one year at a time if, in its judgment, such an extension 

would not be detrimental to the public interest, but no such extensions shall extend 

beyond a date five years after the date of enactment of this Act or five years after 

the date as of which a company becomes a bank holding company, whichever is later.

(b) After two years from the date of enactment of this Act, no certificate evidencing 

shares of any bank holding company shall bear any statement purporting to represent 

shares of any other company except a bank or a bank holding company, nor shall 

the ownership, sale, or transfer of shares of any bank holding company be conditioned 

in any manner whatsoever upon the ownership, sale, or transfer of shares of any other 

company except a bank or a bank holding company.

(c) The prohibitions in this section shall not apply—

(1) to shares owned or acquired by a bank holding company in any company 

engaged solely in holding or operating properties used wholly or substantially 

by any bank with respect to which it is a bank holding company in its operations 

or acquired for such future use or engaged solely in conducting a safe deposit 

business, or solely in the business of furnishing services to or performing services 

for such holding company and banks with respect to which it is a bank holding 

company, or in liquidating assets acquired from such bank holding company 

and such banks;

(2) to shares acquired by a bank holding company which is a bank, or by any 

banking subsidiary of a bank holding company, in satisfaction of a debt previously 

contracted in good faith, but such bank holding company or such subsidiaries 

shall dispose of such shares within a period of two years from the date on which 

they were acquired or from the date of enactment of this Act, whichever is later;

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BANK HOLDING COMPANY ACT OF 1956 81

(3) to shares acquired by a bank holding company from any of its subsidiaries 

which subsidiary has been requested to dispose of such shares by any Federal 

or State authority having statutory power to examine such subsidiary, but such 

bank holding company shall dispose of such shares within a period of two years 

from the date on which they were acquired or from the date of enactment of 

this Act, whichever is later;

(4) to shares which are held or acquired by a bank holding company which 

is a bank or by any banking subsidiary of a bank holding company, in good 

faith in a fiduciary capacity, except where such shares are held for the benefit 

of the shareholders of such bank holding company or any of its subsidiaries, or 

to shares which are of the kinds and amounts eligible for investment by National 

banking associations under the provisions of section 5136 of the Revised Statutes, 

or to shares lawfully acquired and owned prior to the date of enactment of this 

Act by a bank which is a bank holding company, or by any of its wholly 

owned subsidiaries;

(5) to shares of any company which are held or acquired by a bank holding 

company which do not include more than 5 per centum of the outstanding voting 

securities of such company, and do not have a value greater than 5 per centum 

of the value of the total assets of the bank holding company, or to the ownership 

by a bank holding company of shares, securities, or obligations of an investment 

company which is not a bank holding company and which is not engaged in 

any business other than investing in securities, which securities do not include 

more than 5 per centum of the outstanding voting securities of any company 

and do not include any single asset having a value greater than 5 per centum 

of the value of the total assets of the bank holding company;

(6) to shares of any company all the activities of which are of a financial, 

fiduciary, or insurance nature and which the Board after due notice and hearing, 

and on the basis of the record made at such hearing, by order has determined 

to be so closely related to the business of banking or of managing or controlling 

banks as to be a proper incident thereto and as to make it unnecessary for the 

prohibitions of this section to apply in order to carry out the purposes of this Act;

(7) to any bank holding company which is a labor, agricultural, or horticultural organization and which is exempt from taxation under section 501 of 

the Internal Revenue Code of 1954; or

(8) to shares held or acquired by a bank holding company in any company 

which is organized under the laws of a foreign country and which is engaged 

principally in the banking business outside the United States.

ADMINISTRATION

Sec. 5. (a) Within one hundred and eighty days after the date of enactment 

of this Act, or within one hundred and eighty days after becoming a bank holding 

company, whichever is later, each bank holding company shall register with the 

Board on forms prescribed by the Board, which shall include such information with 

respect to the financial condition and operations, management, and intercompany 

relationships of the bank holding company and its subsidiaries, and related matters, 

as the Board may deem necessary or appropriate to carry out the purposes of this 

Act. The Board may, in its discretion, extend the time within which a bank holding 

company shall register and file the requisite information.

(b) The Board is authorized to issue such regulations and orders as may be necessary to enable it to administer and carry out the purposes of this Act and prevent 

evasions thereof.

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82 FEDERAL DEPOSIT INSURANCE CORPORATION

(c) The Board from time to time may require reports under oath to keep it informed as to whether the provisions of this Act and such regulations and orders 

issued thereunder have been complied with; and the Board may make examinations 

of each bank holding company and each subsidiary thereof, the cost of which shall 

be assessed against, and paid by, such holding company. The Board shall, as far as 

possible, use the reports of examinations made by the Comptroller of the Currency, 

the Federal Deposit Insurance Corporation, or the appropriate State bank supervisory authority for the purposes of this section.

(d) Before the expiration of two years following the date of enactment of this Act, 

and each year thereafter in the Board’s annual report to the Congress, the Board 

shall report to the Congress the results of the administration of this Act, stating 

what, if any, substantial difficulties have been encountered in carrying out the purposes 

of this Act, and any recommendations as to changes in the law which in the opinion 

of the Board would be desirable.

b o r r o w in g b y b a n k h o l d in g COMPANY OR ITS s u b s id ia r ie s

Sec. 6. (a) From and after the date of enactment of this Act, it shall be unlawful 

for a bank—

(1) to invest any of its funds in the capital stock, bonds, debentures, or other 

obligations of a bank holding company of which it is a subsidiary, or of any other 

subsidiary of such bank holding company;

(2) to accept the capital stock, bonds, debentures, or other obligations of a 

bank holding company of which it is a subsidiary or any other subsidiary of 

such bank holding company, as collateral security for advances made to any 

person or company: Provided, however, That any bank may accept such capital 

stock, bonds, debentures, or other obligations as security for debts previously 

contracted, but such collateral shall not be held for a period of over two years;

(3) to purchase securities, other assets or obligations under repurchase agreement from a bank holding company of which it is a subsidiary or any other 

subsidiary of such bank holding company; and

(4) to make any loan, discount or extension of credit to a bank holding company of which it is a subsidiary or to any other subsidiary of such bank holding 

company.

Non-interest-bearing deposits to the credit of a bank shall not be deemed to be a 

loan or advance to the bank of deposit, nor shall the giving of immediate credit to 

a bank upon uncollected items received in the ordinary course of business be deemed 

to be a loan or advance to the depositing bank.

(b) The provisions of this section shall not apply (1) to the capital stock, bonds, 

debentures, or other obligations of any company described in section 4 (c) (1) of this 

Act, or (2) to any company whose subsidiary status has arisen out of a bona fide 

debt to the bank contracted prior to the date of the creation of such status, or (3) to 

any company whose subsidiary status exists by reason of the ownership or control 

of voting shares thereof by the bank as executor, administrator, trustee, receiver, 

agent, or depositary, or in any other fiduciary capacity, except where such shares are 

held for the benefit of all or a majority of the stockholders of such bank.

RESERVATION OF RIGHTS TO STATES

Sec. 7. The enactment by the Congress of the Bank Holding Company Act of

1956 shall not be construed as preventing any State from exercising such powers 

and jurisdiction which it now has or may hereafter have with respect to banks, bank 

holding companies, and subsidiaries thereof.

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BANK HOLDING COMPANY ACT OF 1956 83

PENALTIES

Sec. 8. Any company which willfully violates any provision of this Act, or any 

regulation or order issued by the Board pursuant thereto, shall upon conviction be 

fined not more than $1,000 for each day during which the violation continues. Any 

individual who willfully participates in a violation of any provision of this Act shall 

upon conviction be fined not more than $10,000 or imprisoned not more than one 

year, or both. Every officer, director, agent, and employee of a bank holding company 

shall be subject to the same penalties for false entries in any book, report, or statement 

of such bank holding company as are applicable to officers, directors, agents, and 

employees of member banks for false entries in any books, reports, or statements of 

member banks under section 1005 of title 18, United States Code.

JUDICIAL REVIEW

Sec. 9. Any party aggrieved by an order of the Board under this Act may obtain 

a review of such order in the United States Court of Appeals within any circuit wherein 

such party has its principal place of business, or in the Court of Appeals in the District 

of Columbia, by filing in the court, within sixty days after the entry of the Board’s 

order, a petition praying that the order of the Board be set aside. A copy of such 

petition shall be forthwith served upon the Board, and thereupon the Board shall 

certify and file in the court a transcript of the record made before the Board. Upon 

the filing of the transcript the court shall have jurisdiction to affirm, set aside, or 

modify the order of the Board and to require the Board to take such action with 

regard to the matter under review as the court deems proper. The findings of the 

Board as to the facts, if supported by substantial evidence, shall be conclusive.

(The 'provisions of Section 10, which amend the Internal Revenue Code of 1954, have

been omitted.)

s a v i n g p r o v i s i o n

Sec. 11. Nothing herein contained shall be interpreted or construed as approving

any act, action, or conduct which is or has been or may be in violation of existing

law, nor shall anything herein contained constitute a defense to any action, suit, or

proceeding pending or hereafter instituted on account of any prohibited antitrust

or monopolistic act, action, or conduct.

SEPARABILITY OP PROVISIONS

Sec. 12. If any provision of this Act, or the application of such provision to any

person or circumstance, shall be held invalid, the remainder of the Act, and the application of such provision to persons or circumstances other than those to which

it is held invalid, shall not be affected thereby.

Approved May 9, 1956.

R u le s a n d R e g u l a t io n s o f t h e C o r p o r a t io n

Pa y m e n t of D e p o s it s a n d I n t e r e s t T h e r e o n B y

I n s u r e d N o n m e m b e r B a n k s

M a x i m u m R a t e s o f I n t e r e s t Pa y a b l e o n

T im e a n d Sa v in g s D ep o s it s

Section 329.6 of the rules and regulations of the Corporation was amended, effective 

January 1, 1957, to read as follows (21 F.R. 9693, December 7, 1956):

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Federal Reserve Bank of St. Louis
84 FEDERAL DEPOSIT INSURANCE CORPORATION

§ 329.6 Maximum rates12 of interest payable on time and savings deposits by insured

nonmember banks— (a) Maximum rate of 3 percent. No insured nonmember bank 

shall pay interest at a rate in excess of 3 percent per annum, compounded quarterly,13 

regardless of the basis upon which such interest may be computed:

(1) On any savings deposit,

(2) On any time deposit having a maturity date 6 months or more after the 

date of deposit or payable upon written notice of 6 months or more,

(3) On any postal savings deposit which constitutes a time deposit.

(b) Maximum rate of percent. No insured nonmember bank shall pay interest 

at a rate in excess of 2K percent per annum, compounded quarterly,13 regardless of 

the basis upon which such interest may be computed, on any time deposit (except 

postal savings deposits which constitute time deposits) having a maturity date less 

than 6 months and not less than 90 days after the date of deposit or which is originally 

or becomes payable upon written notice of less than 6 months and not less than 

90 days.

(c) Maximum rate of 1 percent. No insured nonmember bank shall pay interest 

at a rate in excess of 1 percent per annum, compounded quarterly,13 regardless of the 

basis upon which such interest may be computed, on any time deposit (except postal 

savings deposits which constitute time deposits) having a maturity date less than 

90 days after the date of deposit or which is originally or becomes payable upon 

written notice of less than 90 days.

S t a t e B a n k i n g L e g i s l a t i o n

In 1956 the legislatures of seventeen States held regular sessions and nine of these 

legislatures had special sessions. The legislature of one State continued its 1955 regular 

session into 1956. The legislatures of six other States held special sessions.

This summary includes the more important State banking legislation enacted 

in 1956.

SUPERVISORY AUTHORITY

Banking code.......................................................Illinois (S.B. 324, 1955, adopted 1956)

Application fees................................................New York (Ch. 464), Virginia (Ch. 176)

Examination fees..................................................................................................................

Colorado (Ch. 67), Maryland (Ch. 92), Massachusetts (Ch. 171), Virginia (Ch. 176)

Acceptance of bank examination reports and bank reports of condition from Federal 

banking agencies and furnishing same and other bank information to Federal 

banking agencies.............................................................................. Maryland (Ch. 75)

Superintendent authorized to regulate the servicing of mortgages by banks..............

..........................................................................................................New York (Ch. 56)

ORGANIZATION AND CHARTER CHANGES

Branch offices and agencies................................. Alabama (Act 75), Georgia (Ch. 195)

Capital requirements...............................................................................Arizona (Ch. 94)

Capital notes and debentures........................................................ New Jersey (Ch. 114)

Change of principal place of business............................................. New York (Ch. 114)

1S The maximum rates of interest payable by insured nonmember banks on time and savings deposits 

as prescribed herein are not applicable to any deposit which is payable only at an insured nonmember 

bank, or at an office of an insured nonmember bank, located outside of the States of the United States 

and the District of Columbia.

18 This limitation is not to be interpreted as preventing the compounding of interest at other than 

quarterly intervals: Provided, That the aggregate amount of such interest so compounded does not 

exceed the aggregate amount of interest at the rate above prescribed when compounded quarterly.

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STATE BANKING LEGISLATION 85

Limitation on ownership or control of voting shares in two or more banks by any 

company............................................................................................. Georgia (Ch. 195)

Merger or consolidation......................................................................New York (Ch. 39)

Authorization for State banks to become national banks by conversion, merger or 

consolidation......................................................................................Michigan (Act 14)

Authorization for national banks to become State banks by merger or consolidation 

............................................................................................................Michigan (Act 14)

GENERAL OPERATING PROVISIONS

Savings banks authorized to become insured by the Federal Deposit Insurance Corporation.......................................................................................Massachusetts (Ch. 324)

Change of name or use of deceptive names...............................Pennsylvania (Ch. 604)

Admission in evidence of photographs or microphotographs of bank records..........

................................................................................................South Carolina (Act 727)

Investigation fees.................................................................................. Virginia (Ch. 209)

DEPOSITS

Deposits of and security for public funds. .. .Alabama (Act 122), Arizona (Ch. 119), 

Mississippi (S.B. 1599), New Jersey (Ch. 83), New York (Chs. 203, 483, 648)

Collateral security required for deposits of State funds in excess of amounts insured 

under the provisions of Federal law............................................... Louisiana (Act 42)

Escheat of deposits............................................ Arizona (Ch. 126), Delaware (Ch. 628)

Joint deposits.....................................................Louisiana (Act 244), Virginia (Ch. 230)

Payment of deposit of deceased depositor... .Louisiana (Act 559), Virginia (Ch. 423)

Deposits in savings banks of private retirement or pension systems.........................

................................................................................................. Massachusetts (Ch. 175)

Collection and receipt of deposits by payroll deductions___Massachusetts (Ch. 244)

Payment of tentative trust deposits to minor after death of depositor.....................

........................................................................................................ New York (Ch. 231)

Real estate loans..........................................................................................Massachusetts

(Ch. 242), Michigan (Act 35), Rhode Island (Ch. 3695), Virginia (Ch. 622)

No loan or discount permitted on shares of bank’s own capital stock.....................

...........................................................................................................Kentucky (Ch. 80)

Savings bank charges for loans to depositors on security of their deposit books. . . . 

................................................................................................... Massachusetts (Ch. 88)

Loans of deposits in savings departments of trust companies.. Massachusetts (Ch. 94)

Loans to officers....................................................................................Michigan (Act 16)

Loans to development credit corporation........................................ Michigan (Act 158)

Loan limits.......................................................................................New Jersey (Ch. 115)

Loan to Federal National Mortgage Association.............................New York (Ch. 50)

Participation real estate loans by savings bank.............................New York (Ch. 363)

INVESTMENTS

Real estate for transaction of business...........................................................................

.......................................................Massachusetts (Ch. 197), Pennsylvania (Ch. 604)

Stock of Federal National Mortgage Association in connection with sale of mortgage

loans thereto.............................................................................................Massachusetts

(Ch. 204), New York (Ch. 51), Pennsylvania (Ch. 604), Virginia (Ch. 81)

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86 FEDERAL DEPOSIT INSURANCE CORPORATION

No purchase or holding permitted of shares of bank’s own capital stock except to 

satisfy or protect loan previously made with sale or disposal required within six 

months.............................................................................................. Kentucky (Ch. 80)

Savings bank investments in preferred stock, guaranteed stock and common stock 

................................................................................................. Pennsylvania (Ch. 367)

Investment of deposits in savings departments of trust companies.............................

.................................................................................................. Massachusetts (Ch. 94)

Revenue bonds.........................................................................................Alabama (Act 4)

Investment in obligations of Federal National Mortgage Association.....................

..........................................................................................................New York (Ch. 50)

TRUST a c t iv it ie s

Authorization for foreign corporations to act in fiduciary capacity.........................

................. Alabama (Act 107), Mississippi (Ch. 145), Pennsylvania (Ch. 557)

Prudent man investment rule authorized for fiduciaries..............Mississippi (Ch. 212)

Registration in name of nominee of securities held by fiduciary bank or trust company 

.................................................................................................... Mississippi (S.B. 1743)

Commission rates of executors, administrators and guardians... .New York (Ch. 54)

Mortgage investment fund..........................................................Pennsylvania (Ch. 619)

Investment of trust funds............................Pennsylvania (Ch. 606), Virginia (Ch. 83)

Common trust funds..................................................................Rhode Island (Ch. 3839)

CHECKS AND COLLECTIONS

Time limit on stop-payment orders on checks..........Kentucky (Ch. 48-six months)

Deferred posting and delayed returns act.........................................Kentucky (Ch. 47)

Authority to refuse payment of checks one year after date..........Kentucky (Ch. 48)

DIRECTORS, TRUSTEES, OFFICERS, AND EMPLOYEES

Loans to officers....................................................................................Michigan (Act 16)

Limitations on purchase of life insurance by savings bank for its officers or employees 

........................................................................................................ New York (Ch. 160)

HOLIDAYS

Legal holidays......................................................................................................................

Louisiana (Acts 463, 549), Pennsylvania (Ch. 423), South Carolina (Act 718)

Saturday holiday...................................................................................Virginia (Ch. 366)

TAXATION

Capital stock tax.................................Ohio (H.B. 94XX, 945XX), Virginia (Ch. 188)

Voluntary liquidation

LIQUIDATION

Pennsylvania (Ch. 604)

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PART FIVE

STATISTICS OF BANKS AND DEPOSIT INSURANCE

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0000

Number, Offices, and Deposits of Operating Banks

Table 101. Changes in number and classification of operating banks and branches in the United 

States (continental U. S. and other areas) during 1956

Table 102. Number of operating banking offices in the United States (continental U. S. 

and other areas), December 31, 1956

Grouped according to insurance status and class of bank, and by State and type

of office

Table 103. Number and deposits of operating banks in the United States (continental U. S. 

and other areas), December 31, 1956

Banks grouped according to insurance status and by district and State

The line of demarcation between banks and other types of financial 

institutions is not always clear. In these tables provision of deposit 

facilities for the general public is the chief criterion. However, trust 

companies engaged in general fiduciary business though not in deposit 

banking are included; and credit unions and savings and loan associations are excluded except in the case of a few which accept deposits 

under the terms of special charters.

The tabulations for all banks and trust companies are prepared in 

accordance with an agreement among the Federal bank supervisory 

agencies. Deposit data are tabulated from individual reports of assets 

and liabilities of the banks included. Institutions included are classified 

in three groups: commercial and stock savings banks, nondeposit 

trust companies, and mutual savings banks. However, the second 

category does not apply to insured banks.

FEDERAL DEPOSIT INSURANCE C O R P O R A T IO N

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Commercial and stock savings banks include the following 

categories of banking institutions:

National banks;

Incorporated State banks, trust companies, and bank and trust 

companies, regularly engaged in the business of receiving deposits, 

whether demand or time, except mutual savings banks;

Stock savings banks, including guaranty savings banks in New 

Hampshire;

Industrial and Morris Plan banks which operate under general 

banking codes, or are specifically authorized by law to accept deposits and in practice do so, or the obligations of which are regarded 

as deposits for deposit insurance;

Special types of banks of deposit: cash depositories in South 

Carolina; cooperative exchanges in Arkansas; savings and loan 

companies operating under Superior Court charters in Georgia; 

government operated banks in American Samoa, North Dakota, 

and Puerto Rico; a cooperative bank, usually classified as a credit 

union, operating under a special charter in New Hampshire; two 

savings institutions, known as “trust companies,’7 operating under 

special charters in Texas; employes’ mutual banking associations in 

Pennsylvania; the Savings Banks Trust Company in New York; and 

four branches of foreign banks which engage in a general deposit 

business in the continental United States or in Puerto Rico.

Private banks under State supervision, and such other private 

banks as are reported by reliable unofficial sources to be engaged 

in deposit banking;

Nondeposit trust companies include institutions operating under 

trust company charters which are not regularly engaged in deposit 

banking but are engaged in fiduciary business other than that incidental 

to real estate title or investment activities.

Mutual savings banks include all banks operating under State 

banking codes applying to mutual savings banks.

Institutions excluded. Institutions in the following categories are 

excluded, though such institutions may perform many of the same 

functions as commercial and savings banks:

Banks which have suspended operations or have ceased to accept 

new deposits and are proceeding to liquidate their assets and pay 

off existing deposits;

Building and loan associations, savings and loan associations, 

credit unions, personal loan companies, and similar institutions, 

chartered under laws applying to such institutions or under general 

incorporation laws, regardless of whether such institutions are authorized to accept deposits from the public or from their members 

and regardless of whether such institutions are called “banks” (a 

few institutions accepting deposits under powers granted in special 

charters are included);

Morris Plan companies, industrial banks, loan and investment 

companies, and similar institutions except those mentioned in the 

description of institutions included;

Branches of foreign banks, and private banks, which confine 

their business to foreign exchange dealings and do not receive 

“ deposits” as that term is commonly understood;

Institutions chartered under banking or trust company laws, but 

operating as investment or title insurance companies and not engaged in deposit banking or fiduciary activities;

Federal Reserve banks and other banks, such as the Federal Home 

Loan banks and the Savings and Loan Bank of the State of New 

York, which operate as rediscount banks and do not accept deposits 

except from financial institutions;

The postal savings system.

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Table 101. C h a n g e s in N u m b e r a n d C l a s s i f i c a t i o n o f O p e r a t i n g B a n k s a n d B r a n c h e s 

i n t h e U n i t e d S t a t e s ( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ) D u r i n g 1956 co

o

Type of change

BAN KS

N u m ber of ban k s, D ecem ber 31, 1956. 

N um ber o f ban k s, D ecem ber 31, 1955.

N et ch an ge d u rin g year.

Banks begin n in g op era tion s.

New banks8................................

Banks added to count4.............

B anks ceasin g o p e ra tio n s ...................................

Suspended banks not reopened or succeeded . 

Absorptions, consolidations, and mergers. .. . 

Other liquidations..................................................

N oninsured banks b ecom in g in s u re d .............

Successors to noninsured operating banks........

Admissions to insurance, operating banks. . . . 

Admissions to F. R. System, operating banks.

O ther ch an ges in cla ssification ..........................

National banks succeeding state banks.............

State banks succeeding national banks.............

Admissions to F. R . System .................................

Withdrawals from F. R. System .........................

C hanges n o t involving n u m b er in any cla ss:

Suspended bank succeeded by other bank in same class.

Other successions..............................................................

Absorptions of noninsured nondeposit financial institution 

(not accompanied by establishment of additional banking offices)............................................................................

Changes in title, location, or name of location................

Changes in corporate powers.................................................

Closed bank reopened............................................................

All banks

Total

14,208

14,284

-76

122

119

198

2

189

7

3

185

321

Insured

Noninsured

13,441

13,457

-16

107

107

1901

183

6

+ 67

+ 2 

+ 63 

+ 2

3

181

32

767

827

-60

8

1

6

1

-67

-2

-63

-2

Commercial and stock savings banks 

and nondeposit trust companies

Total

13,680

13,756

-76

122

119

3

198

2

189

7

178

321

Insured

Total

13,218

13,237

-19

107

107

1901

183

6

+ 64

+ 2

+ 60

+ 2

3

177

32

National

Members F . R . 

System

4,651

4,692

-41

76

751

+ 1

+ 1

+ 5

+ 8

-3

43

State

N ot 

members 

F. R .

System

1,807

1,847

-40

6

6

40

391

+ 2

+ 2

-8

-2

+ 8

-14

6,760

6,698

+ 6 2

72

72

+61

+ 1

+ 60

+ 3

-6

+ 3 

-8

+ 14

115

32

Noninsured

Banks 

of deposit

402

460

-58

7

1

5

1

-64

-2

-60

-2

Nondeposit

trust

companies1

60

59

+ 1

2

2

Mutual savings banks

Total

528

528

Insured2Noninsured

223

220

+ 3

+ 3 

+ 3

305

308

-3 

’ -3

FEDERAL DEPOSIT INSURANCE C O R P O R A T IO N

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
BRAN CH ES

N u m ber o f b ra n ch es, D ecem ber 31, 1956. 

N u m ber o f b ra n ch es, D ecem ber 31, 1955.

N et ch an ge d u rin g year.

B ranch es op en ed fo r b u sin e ss.................................................

Facilities provided as agents of the government5.................

Absorbed banks converted into branches..............................

Branches replacing head offices relocated or placed in

liquidation or receivership.....................................................

Other branches opened................................................................

Financial institution becoming a branch...............................

Branches added to count8..........................................................

B ranches d isc o n tin u e d ...............................................................

Facilities..........................................................................................

Branches..........................................................................................

O ther ch an ges in classification a m on g bra n ch es ...........

Branches of national banks succeeding branches of

State banks................................................................................

Branches of noninsured banks admitted to insurance........

Noninsured branches of insured banks becoming insured.. 

Branches of insured banks admitted to F. R . System 

Branches of insured banks withdrawing from F. R.

System.........................................................................................

Facility transferred as result of absorption or succession.. 

Branches transferred as result of absorption or succession..

C hanges n o t involvin g n u m b er in any class:

Facility succeeded by a branch................................................

Branches transferred as result of absorption or succession.. 

Changes in title, location, or name of location....................

ALL B A N K IN G OFFICES

N u m ber o f offices, D ecem ber 31, 1956. 

N u m ber o f offices, D ecem ber 31, 1955.

N et ch an ge d u rin g year.

O ffices op en ed .

Banks..............

Branches.........

O ffices clo s e d .

Banks............

B ranches.. . .

C hanges in cla ssification .

Among banks......................

Among branches................

8,106

7,391

+715

75420

168

7

5541

4

39

5 

34

1

67

396

22,314

21,675

+639

876 122

754

237

198

39

7,898

7,199

+699

72820

168

7

5301

2

39

5

34

+ 10

+ 8 

+ 2

1

67

370

21,339

20,656

+683

835

107

728

229

190

39

+ 7 7

+ 67 + 10

208

192

+ 16

26

-10

-2

26

975

1,019

-44

41

15

26

7,740

7,062

+678

71620

168

7

5161

4

38

5 

33

1

67

386

21,420

20,818

+602

838 122

716

236

198

38

7,641

6,965

+676

71120

168

7

5131

2

38

5

33

+ 3

+ 1 +2

1

67

364

20,859 20,202

+ 657

818

107

711

228

190

+ 6 7

+ 64 

+ 3

3,809

3,364

+445

416

16

96

1

301

16

5

11

+ 4 5

+ 7

+ 1 

+ 3 7

1

55

235

8,460

8,056

+404

445

29

416

92

76

16

+ 51 +6

+ 4 5

2,077

1,938

+ 139

1621

51

107

14

+ 10 

-7 

‘ -12

92

3,884

3,785

+ 99

1686

162

54

40

14

-15-6

1,755

1,663

+ 9 2

133

3

21

3

1051

-33

-7 + 1 +2 -10

+ 7 -1 

-25

8,515

8,361

+ 154

205

72

133

82

74

+ 31

+ 64 

-33

91

93

+ 4

4

366

329

+ 37

38

38

-3

493

553

-60

14

131

7

7

-67

-64—3

68

63

+ 5

6

2

4

1

1

257

234

+23 

17 

• ‘ 17‘ 

1

” ” 1 

+ 7

• +7

10

894

857

+ 37

38

' ' 38

1

” 1

480

454

+26

17

• * 17

1

+ 10

+ 3 

+ 7

109

95

+ 14

21

21

-7

‘ 1_7

414

403

+ 11

21

'' ’ 21

-10

-3

-7

1 Includes 1 trust company member of the Federal Reserve System, December 31, 1956, and December 31, 1955.

2 Includes 3 mutual savings banks members of the Federal Reserve System, December 31, 1956, and December 81, 1955.

* Includes 3 cases in which a bank replaced an existing branch.

4 Banks opened prior to 1956 but not included in count as of December 31, 1955.

s Facilities established in or near military installations at request of the Treasury or Commanding Officer of the installation; includes 2 facilities in operation prior to beginning of year but not included in count as of December 31, 1955.

6 Branches opened prior to 1956 but not included in count as of December 31, 1955.

N U M B ER , OFFICES, AND DEPOSITS OF OPERATING B A N K S

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
T a b l e 1 0 2 . N u m b e r o f O p e r a t in g B a n k in g O f fi c e s in t h e U n ite d S t a t e s ( C o n t in e n t a l U . S. an d O t h e r A r e a s ), D e c e m b e r 31, 1956

GROUPED ACCORDING TO INSURANCE STATUS AND CLASS OF BANK, AND BY STATE AND TYPE OF OFFICE

All banks Commercial and stock savings banks 

and nondeposit trust companies Mutual savings banks Percentage insured1

State and type of bank or office

Insured Noninsured

Commercial

Total banks Insured

Noninsured Total

Total

Members F. R . 

System Not

members

F.R.S.

Banks

Nondeposit Total Insured*

Noninsured

All

banks

of

Mutual

savings

National State

of deposittrust

companies2

deposit of

deposit

banks

U nited States— a ll o ffice s ................ 22,314

14,208 

12,1 US

2,060

8,106

22,123

14,166

12,127

2,089

7,957

191

21,339

13,441

11,U79

1,962

975 21,420 20,859 8,460 3,884 8,515

6,760

493 68 894 480 414 95.9 97.7 53.7

Banks..................................................... 767 13,680 13,218 4,651 1,807 402 60 528 223 305 95.0 97.0 42.2

669 11,792 11,856

1,862

8,958 1,U77 5,921 879 57 856 123 288 9U.9 96.8 8U.6

98 1,888 698 880 889 28 8 172 100 72 95.U 98.8 58.1

Branches............................................... 7,898

21,228

13,417

11,U71

1,91>6

7,811

111

208 7,740

21,230

13,639

11,772

1,867

7,641

20,748 

13,194 

11,8 U8

3,809 2,077

3,884

1,807

1,U77

880

1,755

8,405

6,737

5,91k

828

91 8 366 257 109 97.5 98.8 _ 70 *2

C on tin en tal U. S.— all offices ........

Banks.....................................................

895

749

8,459

4,650

8,957

698

420

390

62

- B

893

527

480

223

413

304

96.2

95.1

98.0

97.1

" 53.8 

42.3

Unit banks........................................ 656 y n 855 128 282 95.0 96.8 8U.6

Banks operating branches.............. 98 1,8U6 19 2 172 100 72 95.5 99.0 58.1

Branches............................................... 146 7,591

190

7,554

111

3,809

1

2,077 1,668

110

30 7 366 257 109 98.3 99.6 70.2

O ther areas— all office s ................... 80 73 6 1 1 60.0 60.3

Banks..................................................... 42 24 18 41 24 1 23 12 5 1 1 64.9 66.7

XJnit banks........................................ 21 8 18 20 8 1 7 8 U 1 1 1*7.1 50.0

Banks operating branches.............. 21 16 5 21 16 16 U 1 80.0 80.0

Branches............................................... 149 87 62 149 87 87 61 1 58.8 58.8

State

A labam a— all o ffic e s .......................... 290 290 290 290 116 30 144 100.0 100.0

Banks..................................................... 237 237 237 237 69 25 143 100.0 100.0

Unit banks........................................ 218 218 218 218 5h 22 1U2

1

100.0 100.0

Banks operating branches.............. 19 19 19 19 15 8 100.0 100.0

Branches............................................... 53 53 53 53 47 5 1 100.0 100.0

A rizon a— all o ffice s ............................ 126 120 6 126 120 85 7 28 6 100.0 100.0

Banks..................................................... 10 9 1 10 9 3 1 5 1 100.0 100.0

Unit banks........................................ 8 8 8 8 1 2 100.0 100.0

Banks operating branches.............. 7 6 1 7 6 2 1 8 1 100.0 100.0

Branches............................................... 116 111 5 116 111 82 6 23 5 100.0 100.0

Arkansas— all office s .......................... 263 258 5 263 25S 58 19 181 4 1 98.5 98.5

Banks ................................................... 236 231 5 236 231 54 19 158 4 1 98.3 98.3

Unit banks........................................ 212 207 5 212 207 50 19 188 k 1 98.1 98.1

Banks operating branches.............. 2U

27

2U 2U

27

2U

27

b 20 100.0 100.0

Branches............................................... 27 4 23 100.0 100.0

- ..

FEDERAL DEPOSIT INSURANCE C O R P O R A T IO N

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
C aliforn ia— all o ffic e s ........................

Banks.....................................................

Unit banks........................................

Banks operating branches..............

Branches...............................................

C olorad o— all o ffice s ..........................

Banks.....................................................

Unit banks........................................

Banks operating branches..............

Branches................................................

C o n n e cticu t— all o ffice s ...................

Banks.....................................................

Unit banks........................................

Banks operating branches..............

Branches...............................................

Delaw are— all o ffice s ..........................

Banks.....................................................

Unit banks........................................

Banks operating branches..............

Branches...............................................

D istrict o f C olu m b ia — all o ffic e s ..

Banks.....................................................

Unit banks........................................

Banks operating branches..............

Branches................................................

F lorida— all o ffice s ..............................

Banks.....................................................

Unit banks........................................

Banks operating branches..............

Branches...............................................

G eorgia— a ll o ffic e s .............................

Banks.....................................................

Unit banks........................................

Banks operating branches..............

Branches...............................................

Id a h o— all o ffice s .................................

Banks.....................................................

Unit banks........................................

Banks operating branches..............

Branches...............................................

Illin ois— all o ffice s ..............................

Banks.....................................................

Unit banks........................................

Banks operating branches..............

Branches...............................................

1,434 9 1,443 1,434 1,029

132 7 139 132 49

79 6 85 79 30

58 1 5* 53 19

1,302 2 1,304 1,302 980

161 14 175 161 80

156 14 170 156 77

151 1* 165 151 7*

5 5 5 8

5 5 5 3

211 101 214 204 93

90 76 95 85 38

58 68 60 50 23

87 13 85 35 15

121 25 119 119 55

66 5 68 65 8

28 2 28 27 8

22 21 21 8

6 2 7 6

38 3 40 38

71 71 71 39

17 17 17 8

8 8 8 1

1* 1* 1* 7

54 54 J ? 4 31

268 5 273 268 104

256 5 261 256 94

2** 5 2*9 2** 8*

12 12 12 10

12 12 12 10

419 60 479 419 94

352 60 412 352 52

880 60 890 380 *2

22 22 22 10

67 67 ^ 67 42

105 105 105 73

33 33 33 10

2* 2* 2* 5

9 9 9 5

72 72 72 63

926 6 932 926 397

922 6 928 922 393

918 6 92* 918 389

* * * *

4 4’ 4 4 .

1,443

139

85

5*

1,304

175

170

165

5

5

312

166

116

50

146

71

30

22

8

41

71

17

8

1*

54

273

261

2*9

12

12

479

412

890

22

67

105

33

2*

9

72

932

928

92*

*

4

233

33

18

15

200

19

18

171

1

55

13

*

9

42

19

2

2

17

186

1

*

13

12

12

12

28

13

8

5

15

12

8

6

2

4

128

128

128

172 9

50 7

81 6

19 1

122 2

62 14

61 14

60 1*

1

1

56 9 1 98 7 91

34 9 1 71 5 66

23 9 1 56 3 53

11 15 2 13

22 27 2 25

38 3 3 1 2

17 1 2 1 1

13 1 1

* 1 1 1

21 2 1 1

14

4

1

3

10

152 2 3

150 2 3

1*8 2 3

2

2

297 60

287 60

280 60

7

10

20

15

18

2

5

401 3 3

401 3 3

*01 8 3

100.0

100.0

100.0

100.0

100.0

92.0

91.8

91.5

100.0

100.0

67.8

54.5 

*6.1

7*.0

82.9

93.0

93.3 

100.0

75.0

92.7

100.0

100.0

100.0

100.0

100.0

99.3

99.2

99.2

100.0

100.0

87.5

85.4 

8*.6

100.0

100.0

100.0

100.0

100.0

100.0

100.0

99.7

99.7

99.7

100.0

100.0

100.0

100.0

100.0

100.0

100.0

92.0

91.8

91.5

100.0

100.0

95.8

90.4 

8*.7

100.0

100.0

95.6

96.4 

100.0

85.7

95.0

100.0

100.0

100.0

100.0

100.0

99.3

99.2

99.2

100.0

100.0

87.5

85.4 

8*.6

100.0

100.0

100.0

100.0

100.0

100.0

100.0

99.7

99.7

99.7

100.0

100.0

7.1

7.0

5.*

18.8

7.4

33.3

50.0

100.0

CO

CON U M B ER , OFFICES, AND DEPOSITS OF OPERATING B A N K S

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
T a b le 1 0 2 . N u m b e r o f O p e r a t in g B a n k in g O f f i c e s in t h e U n ite d S t a t e s ( C o n t in e n t a l U . S. an d O t h e r A r e a s ), D e c e m b e r 3 1, 1956— C o n t. co

GROUPED ACCORDING TO INSURANCE STATUS AND CLASS OF BA N K , AND B Y STATE AND TYPE OF OFFICE ^

All banks Commercial and stock savings banks 

and nondeposit trust companies Mutual savings banks Percentage insured1

State and type of bank or office

Insured Noninsured

Commercial

Total banks Insured

Noninsured Total

Total

Members F. R . 

System N ot

members

F.R .S.

Banks

Nondeposit Total Insured*

Noninsured

All

banks

of

Mutual

savings

National State

of deposit

trust

companies2

deposit of

deposit

banks

667 659 8 663 656 218 137 301 6 1 4 3 1 98.9 99.1 75.0

474 466 8 470 463 123 111 229 6 1 4 3 1 98.5 98.7 75.0

886 878 8 882 875 95 101 179 6 1 u 8 1 98.2 98.4 75.0

Banks operating branches 88 88 88 88 28 10 50 100.0 100.0

Branches • .................. 193 193 193 193 95 26 72 100.0 100.0

Iowa*~&11 offices ............. 829 781 48 829 ^781 95 74 612 47 1 94.3 94.3

668 622 46 668 622 95 70 457 45 1 93.3 93.3

Unit banks ............................ 550 506 U

2

550 506 95 67 844 48 1 92.2 92.2

Banks operating branches 118 116 118 116 8 118 2 98.8 98.8

Branches • • • 161 159 2 161 159 4 155 2 98.8 98.8

RflH6&8— all offices ............... 601 551 50 601

'fcK-...

551 173 44 334 50 91.7 91.7

598 548 50 598 548 170 44 334 50 91.6 91.6

Unit banks . . . . . . 595 5U5

8

50 595 545

8

167 44 88U 50 91.6 91.6

Banks operating branches . 8 8 8 100.0 100.0

Branches «• . . . . 3 3 3 3 3 100.0 100.0

K en tu ck y— all offices ................. 461 448 13 461 448 133 42 273 13 97.2 97.2

365 352 13 365 352 89 20 243 13 96.4 96.4

Unit banks ................................ 819 806 18 819 806 74 lb 218 18 95.9 95.9

Banks operating branches . . . 46

96

46

96

46

96

46 15 6 25 100.0 100.0

Branches . . . . . . . . 96 44 22 30 100.0 100.0

L ouisian a— all offices ................... 309 308 1 309 308 109 27 172 1 99.7 99.7

180 179 1 180 179 41 11 127 1 99.4 99.4

Unit banks ............................ 127 126 1 127 126 25 5 96 1 99.2 99.2

Banks operating branches . .. 58 58 58 58 16 6 81 100.0 100.0

"Rrannlipc! . . ......... 129 129 129 129 68 16 45 100.0 100.0

M sln c— all o f f i c e s .............................. 194 153 41 160 143 58 41 44 17 34 10 24 78.9 89.4 29.4

Banks ............................................. 90 61 29 58 51 30 6 15 7 32 10 22 67.8 87.9 31.3

Unit b a n k s...................................... 60 89 21 80 29 20 2 7 1 80 10 20 65.0 96.7 38.8

Banks operating branches.............. 80 22 8 28 22 10 4 8 6 2 2 78.8 78.6

Branches . . . . . . . . . . . . . . . 104 92 12 102 . M 28 35 29 10 2 2 88.5 90.2

*

FEDERAL DEPOSIT INSURANCE C O R P O R A T IO N

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
M arylan d— all o ffice s .........

Banks......................................

Unit banks.........................

Bank* operating branches

Branches................................

M assachu setts— all offices.

Banks......................................

Unit banks.........................

Banks operating branches

Branches4...............................

M ich ig an — all offices ..........

Banks......................................

Unit banks.........................

Banks operating branches

Branches................................

M in n esota — all o ffice s ........

Banks......................................

Unit banks.........................

Banks operating branches

Branches................................

M ississippi— all o ffic e s . . . .

Banks......................................

Unit banks.........................

Banks operating branches

Branches................................

M issouri— all o ffice s ............

Banks......................................

Unit banks.........................

Banks operating branches

Branches................................

M on ta n a — all office s ...........

Banks......................................

Unit banks.........................

Banks operating branches

Branches................................

N ebraska— all office s ...........

Banks......................................

Unit banks.........................

Banks operating branches

Branches................................

Nevada— all offices ...............

Banks......................................

Unit banks.........................

Banks operating branches

Branches................................

362 4 330 327 107

156 2 150 149 56

103 1 101 101 89

53

1 U9 U8 17

206 2 180 * 178 51

446 277 452 444 258

168 194 173 167 110

97 137 102 97 75

71 57 71 70 35

278 83 279 277 148

817 7 824 817 232

401 7 408 401 75

301

7 308 301 5U

100 100 100 21

416 416 416 157

679 10 688 678 184

673 10 682 672 178

671 10 680 670 176 2 2 2 2

6 6 6 6

296

3 299 296 40

193 3 196 193 27

1U2 3 1U5 U 2 19

51 51 51 8

103 103 103 13

592 22 614 592 78

588 22 610 588 76

58U 22 606 58U 7U U U U 2

4 4 4 2

113

1 114 113 40

113 1 114 113 40

113 1 i n 113 uo

384 39 423 384 125

382 39 421 382 123

380 39 U19 S80 121

2 2

2

2

2 2 2 2

35 35 35 21 6 6 6 3

1 1 1 1 5 5 5 2

29 29 29 18

■-V- '

366

158

10U5U208

723

362

28 U

128

361

824

408

308

100

416

689

683

68126

299

196

1U5

51

103

614

610

606U4

114

114 m

423

421

U1922

35615

29

66

12h8

54

114

246

18

90

346

153

118

35

193

29

29

29

137616

101

99

9722

44

44U

17

17

17

154

81

58

23

73

72

33

16

17

39

239

173

129

465

465

U65

243

159

117U2

84

413

413 U13

29

29

29

242

242

18

18

18

33

33

33

36835

28

271

189

132

57

82

35725

2821

. .

l

269

188

132

56

81

98.9 99.1 97.2

98.7 99.3 87.5

99.0 100.0 66.7

98.1 98.0 100.0

99.0 98.9 100.0

61.7 98.2 0.7

46.4 96.5 0.5

U .5 95.1

55.5 98.6 1.8

77.0 99.3 1.2

99.8 99.8

99.5 99.5

99.3 99.3

100.0 100.0

100.0 100.0

98.7 98.7 100.0

98.7 98.7 100.0

98.7 98.7 100.0

100.0 100.0

100.0 100.0

99.0 99.0

98.5 98.5

97.9 97.9

100.0 100.0

100.0 100.0

97.0 97.0

97.0 97.0

97.0 97.0

100.0 100.0

100.0 100.0

100.0 100.0

100.0 100.0

100.0 100.0

92.1 92.1

92.0 92.0

92.0 92.0

100.0 100.0

100.0 100.0

100.0 100.0

100.0 100.0

100.0 100.0

100.0 100.0

100.0 100.0 COCi N U M B ER , OFFICES, AND DEPOSITS OF OPERATING B A N K S

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 102. N u m b e r o f O p e r a t in g B a n k in g O f f i c e s in t h e U n ite d S t a t e s ( C o n t in e n t a l U . S. an d O t h e r A r e a s ), D e c e m b e r 31, 1956— Cont.

GROUPED ACCORDING TO INSURANCE STATUS AND CLASS OF BAN K, AND B Y STATE AND TYPE OF OFFICE

CD05

State and type of bank or office

All banks

Total Insured

Noninsured

Commercial and stock savings banks 

and nondeposit trust companies

Total

Insured

Total

Members F . R .

System

National State

51 1

50 1

49 1

1

1

346 158

174 69

116 28

58 31

172 99

44 9

26 8

16 7

10 1

18 1

615 852

289 130

224 72

65 58

326 722

116 55

47 6

24 2

23 4

69 49

38 3

38 2

38 1

1

1

N ot

members

F.R .S.

Noninsured

Banks 

of deposit

Nondeposit

trust

companies2

Mutual savings banks

Total Insured*

Noninsured

Percentage insured1

All

banks

of

deposit

Commercial

banks

of

deposit

Mutual

savings

banks

New H am pshire— all offices

Banks........................................

Unit banks. . . .....................

Banks operating branches.

Branches..................................

New Jersey— all o ffic e s .........

Banks........................................

Unit banks...........................

Banks operating branches.

Branches...................................

N ew M exico— all o ffic e s . . . .

Banks........................................

Unit banks...........................

Banks operating branches.

Branches..................................

New Y ork — all o ffic e s ...........

Banks........................................

Unit banks...........................

Banks operating branches.

Branches4.................................

N orth C arolina— all o ffice s .

Banks........................................

Unit banks...........................

Banks operating branches.

Branches..................................

N orth D akota— all o ffice s ..

Banks........................................

Unit banks...........................

Banks operating branches.

Branches..................................

Ill

108

1053

3

623

299

188

111

324

87

52

82

20

35

1,854

612

402

210

1,242

571

214

126

88

357

180

154

136

18

26

77

74

713

3

620

296

185

111

324

87

52

32

20

35

1,839

601 SU207

1,238

567

213

126

87

354

175

149

131

18

34

34

SU

76

74

72

2

2

584

276

m102

308

87

52

32

20

35

1,595

483

341

142

1,112

571

214

126

88

357

180

154

136

18

26

64

62

60

2

581

273

171

102

* 308

87

52

32

20

1,580

472

333

139

1.108

567

213

126

87

%354

175

149

131

18

26

12

11

101

1

77

40

27

13

37

34

18

9

9

16

113

53

37

16

60

396

160

100

60

236

134

109

92

17

25

259

129 

61

68

130

13

12

111

1

39

23

14

9

16

259

129 

61

68

130

22

22

69.4

68.5

67.6

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

99.4

98.8 

99.0

98.6

99.7

99.3

99.5 

100.0

98.9

99.2

97.2

96.8

96.3

100.0

100.0

84.2

83.8

83.3

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

99.3

98.5

98.8

97.9

99.6

99.3 

99.5

100.0

98.9

99.2

97.2 

96.8

96.3

100.0

100.0

37.1

35.3

33.3

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

FEDERAL DEPOSIT INSURANCE C O R P O R A T IO N

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
O h io — a ll o ffic e s .....................

Banks......................................

Unit banks.........................

Banks operating branches. 

Branches................................

O k la h o m a — a ll o ffic e s .........

Banks......................................

Unit banks..........................

Banks operating branches. 

Branches................................

O re g o n — a ll o ffic e s ................

Banks......................................

Unit banks.........................

Banks operating branches.

Branches4...............................

P e n n s y lv a n ia — a ll o ffic e s . .

Banks......................................

Unit banks.........................

Banks operating branches. 

Branches4...............................

R h o d e I s la n d — a ll o f f ic e s ..

Banks......................................

Unit banks.........................

Banks operating branches. 

Branches.................................

S o u t h C a r o lin a — a ll o ffice s

Banks......................................

Unit banks.........................

Banks operating branches. 

Branches................................

S o u t h D a k o ta — a ll o ffic e s . .

Banks........................................

Unit banks.........................

Banks operating branches. 

Branches................................

T e n n e s s e e — a ll o ffic e s .........

Banks......................................

Unit banks.........................

Banks operating branches.

Branches................................

T e x a s — a ll o ffic e s ...................

Banks......................................

Unit banks.........................

Banks operating branches. 

Branches................................

1,066 1,064 2

620 618 2

486 484

2

13 4 134

446 446

392 384

8

386 378 8

380 372 8

6 6

6 6

203 201 2

52 50 2

41 39 2

11 11

151 151

1,371 1,354 17

799 785 14

636 624 12

163 161 2

572 569 3

108 103 5

18 14 4 7 4 3

11 10 1

90 89

1

243 234

9

148 139 9

118 109

9

30 30

95 95

225 225

171 171

142 142

29 29

54 54

449 442 7

297 290

7

246 239

7

51 51

152 152

971 939 32

949 917 32

£26 894 32

23 23

22 22

1,052 1,050 433

617 615 229

485 483 168

132 132 61

435 435 204

392 384 201

386 378 197

380 372 193

6 6

4

6

6

4

202 200 149

51 49 12

40 38 10

11 11 2

151 JL51 137

1,330 1,313 832

792 778 510

633 621 411

159 157 99

538 535 322

83 80 45

10 8

5

3

2

2

7

6

3

73 .72 40

243 234 98

148 139 27

118 109 13

30 30 14

95 95 71

225 225 58

171 171 34

142 142 30

29 29

4

54 54 24

449 442 155

297 290 73

246 239 54

51 51 19

152 152 82

971 939 471

949 917 452

926 894 432

23 23 20

22 22 19

349

166

134

32

183

25

25

25

107613

239

91

62

29

148

181

25972

16

130

127

12433

268

220

181

39

48

158

156

1542

222

14312

11

14312

11

777

111

2

41

1

1

1

1

30

1

1

1

1

22 1 1 1

1

8

11

242 14 3 41 41

177 11 3 7 7

148

9

3

3

3

29

2

4

4

65 3 34 34

17

2

1 25 232

2 1 1 8 62

1

4 2 2

2 1 4 4

15

1 17 17

129 9

106

9

91 9

15

23

141

111

86

25

30

262 4

3

208 4 3

178

4

3

30

54

338 32

338 32

338 32

99.8

99.7 

99.6

100.0

100.0

98.2

98.2

98.2

100.0

100.0

99.5

98.0

97.5

100.0

100.0

99.0

98.6

98.6

98.8

99.5

96.3

82.4

66.7

90.9

98.9

96.3

100.0

100.0

100.0

100.0

100.0

100.0

100.0

99.1

98.6

98.4

100.0

100.0

96.7

96.6

96.5

100.0

100.0

99.8 

99.7 

99.6

100.0

100.0

98.2

98.2

98.2

100.0

100.0

99.5

98.0 

97.1*

100.0

100.0

98.9

98.6

98.6

98.7

99.4

97.6

88.9 

100.0

85.7

98.6

96.3

93.9

92.4

100.0

100.0

100.0

100.0

100.0

100.0

100.0

99.1

98.6

98.4

100.0

100.0

96.7

96.6

96.5

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

92.0

75.0

50.0

100.0

100.0

oN U M B ER , OFFICES, AND DEPOSITS OF OPERATING B A N K S

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 102. N u m b e r o f O p e r a t in g B a n k in g O f f i c e s in t h e U n ite d S ta t e s ( C o n t in e n t a l U . S. an d O t h e r A r e a s ), D e c e m b e r 31, 1956— Cont. co

GROUPED ACCORDING TO INSURANCE STATUS AND CLASS OF BAN K, AND B T STATE AND TYPE OF OFFICE

All banks Commercial and stock savings banks 

and nondeposit trust companies Mutual savings banks Percentage insured1

State and type of bank or office

Insured Noninsured

Commercial

banks

of

deposit

Total Insured

Noninsured Total

Total

Members F. R . 

System Not

members

F.R .S.

Banks 

of deposit

Nondeposit Total Insured*

Noninsured

All

banks

of

deposit

Mutual

savings

banks

National State

trust

companies2

102

48

37

11

54

94

101

47

36

1 102 101 43 26 32 1 99.0 99.0

1 48 47 7 14 26 1 97.9 97.9

1 37 36 6 8 22 1 97.3 97.3

Banks operating branches 11

54

93

21 11 1 6 u 100.0 100.0

Branches .. 54 54 36 12 6 100.0 100.0

V erm on t— all offices ...................... 1 77

%. !f T

76 40 2 34 1 17 17 100.0 100.0 100.0

Banks..................................................... 68 67 1 61 60 34 1 25 1 7 7 100.0 100.0 100.0

Unit banks........................................ 56 55 1 51 50 30 20 1 5 5 100.0 100.0 100.0

Banks operating brandies 12

26

511

312

229

83

199

333

12

26

10 10 -4 1 5 2 2 100.0 100.0 100.0

Branches............................................... 16 16 6 1 9 10 10 100.0 100.0 100.0

V irginia— all offices 511

312

229

511 511 227 116 168 100.0 100.0

Banks 312

229

312 132 71 109 100.0 100.0

Unit banks 229 98 56 75 100.0 100.0

Banks operating branches 83 83 83 3U

95

15 3J,

59

100.0 100.0

Branches 199

330

199 199 45 100.0 100.0

W ashington— all offices ............... 3 322 319 238 22 59 3 11 11 99.1 99.1 100.0

Banks..................................................... 97 94 3 93 90 27 11 52 3 4 4 96.9 96.8 100.0

Unit banks........................................ 75 72 s 73 70 16 8 1>6

6

3 2 2 96.0 95.9 100.0

Banks operating branches.............. 22 22 20 20 11 3 2 2 100.0 100.0 100.0

Branches4 ....................................... 236 236 229 229 211 11 7 7 7 100.0 100.0 100.0

W est V irgin ia— all offices . . . . 182 178 4 182 178 76 36 66 4 97.8 97.8

Banks..................................................... 182 178 4 182 178 76 36 66 4 97.8 97.8

Unit banks........................................ 182 178 4 182 178 76 36 66 4 97.8 97.8

W iscon sin— all office s........................ 705 697 8 701 694 n o 76 508 4 3 4 3 1 99.3 99.4 75.0

Banks..................................................... 555 548 7 551 545 95 69 381 3 3 4 3 1 99.3 99.5 75.0

Unit banks........................................ U65

90

U59

89

149

6 U61

90

U56 91 65 300 2 3 u 3 1 99.U 99.6 75.0

Banks operating branches . 1 89 L \ 81 1 98.9 98.9

Branches . . . ............... 150 1 150 ^149- ~ 15 7 127 1 99.3 99.3

FEDERAL DEPOSIT INSURANCE C O R P O R A T IO N

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Wyoming—all offices...........

Banks........................................

Unit banks...........................

Banks operating branches.

Branches..................................

Other area

Alaska—all offices5................

Banks........................................

Unit banks...........................

Banks operating branches. 

Branches..................................

American Samoa—all offices.

Banks............................................

Unit banks...............................

Banks operating branches. . . 

Branches.......................................

Hawaii—all offices6...............

Banks........................................

Unit banks...........................

Banks operating branches. 

Branches..................................

Mariana Islands—all offices.

Banks..........................................

Unit banks.............................

Banks operating branches. . 

Branches4...................................

Panama Canal Zone—all offices.

Banks...................................................

Unit banks......................................

Banks operating branches............

Branches4............................................

Puerto Rico—all offices

Banks........................................

Unit banks...........................

Banks operating branches.

Branches4.................................

Virgin Islands—all offices7.

Banks........................................

Unit banks...........................

Banks operating branches. 

Branches...................................

54

53

52

1

1

54

53

52

1

1

26

25

2U

1

1

15

15

15

13

13

IS

100.0

100.0

100.0

100.0

100.0

81.3

66.7

50.0

100.0

100.0

14.3

60.0

60.0

10.3

66.7

66.7

90.9

70.0

66.7

71.U

94.0

80.0

66.7

100.0

100.0

100.0

100.0

100.0

100.0

100.0

81.3

66.7

50.0

100.0

100.0

14.3

60.0

60.0

10.3

66.7

90.9

70.0 

66.7

71..4

94.0

100.0

100.0

100.0

100.0

1 Nondeposit trust companies are excluded in computing these percentages.

* Includes 1 trust company in Missouri member of the Federal Reserve System.

* Includes 3 banks members of the Federal Reserve System: 1 in Indiana and 2 in Wisconsin.

4 Includes branches operated by banks located in other states or areas as follows: 1 noninsured branch in Massachusetts operated by a New York bank; 2 insured branches in 

New York operated by a Puerto Rico bank; 1 insured branch in Oregon operated by a California bank; 1 insured branch in Pennsylvania operated by a New Jersey bank and 1 noninsured branch In Pennsylvania operated by a New York bank; 2 insured branches in Washington operated by a California bank; 2 insured branches and 1 noninsured branch in the 

Mariana Islands operated by a California bank; 4 noninsured branches in the Panama Canal Zone operated by 2 New York banks; and 12 insured branches in Puerto Rico operated 

by 2 New York banks.

* Includes 6 insured national banks, not members of the Federal Reserve System.

* Includes, among noninsured banks, 1 national bank operating 22 branches.

7 Includes, among insured banks not members of the Federal Reserve System, 1 national bank operating 1 branch.

Back figures: See the Annual Report for 1955, pp. 110-117, and earlier reports.

O

CON U M BER, OFFICES, AND DEPOSITS OF OPERATING B A N K S

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 103, N u m b e r an d D e p o s it s o f O p e r a t in g B a n k s in t h e U n ite d S t a t e s ( C o n t in e n t a l U . S. an d O t h e r A r e a s ), D e c e m b e r 31, 1956

BA N K S GROUPED ACCORDING TO INSURANCE STATUS AND B Y DISTRICT AND STATE

Number of banks Deposits (in thousands of dollars)

FD IC District

Commercial and stock savings 

banks and nondeposit 

trust companies

Mutual savings banks

Commercial and stock savings 

banks and nondeposit 

trust companies

Mutual savings banks

and State All Noninsured All

banks1

Total Insured Banks 

of deposit1

Nond eposit

trust

com ­

panies

Total Insured

Noninsured

banks

Total Insured Noninsured Total Insured Noninsured

T o ta l U nited 

S ta tes ................... 14,208 13,680 13,218 402 60 528 223 305 228,578,958 198,547,224 196,507,125 2,040,099 30,031,734 22,885,564 7,146,170

C on tin en tal U. S .. 14,166 13,639 13,194 390 55 527 223 304 227,540,328 197,508,786 195,947,227 1,561,559 30,031,542 22,885,564 7,145,978

O th er areas............ 42 41 24 12 5 1 1 1,038,630

17,351,403

64,680,033

25,007,837

11,418,765

8,886,633

1,038,438

9,317,072

45,799,116

23,071,464

10,906,274

8,886,633

11,479,078

16,068,334

18,650,196

5.594.888 

7,876,430

14,585,834

26,311,905

1,723,344

854,139

1,059,262

19,651,272

1,642,437

2,273,919

624,771

1.408.888 

3,685,899 

2,434,226

555,667

15,923,672

4,286,954

2,726,524

2,081,744

559,898

9,075,745

45,207,466

23,022,636

10,760,032

8,851,183

11,438,684

16,043,515

18,529,536

5,466,011

7,780,603

14,498,219

25,833,495

1,723,344

848,736

1,056,528

19,651,217

1,636,207

2,243,347

619,010

1,408,888

3,674,168

2,420,018

555,667

15,884,180

4,281,092

2,645,356

2,025,562

478,540

241,327

591,650

48,828

146,242

35,450

40,394

24,819

120,660

128,877

95,827

87,615

478,410

192 192

FDIC D istrict

District 1 .................. 812 471 433 35 3 341 41 300 8,034,331

18,880,917

1,936,373

512,491

1,005,459

18,783,244

1,936,373

507,724

7,028,872

District 22................. 954 799 781 11 7 155 153 2 97,673

District 3 .................. 1,419

1,031

1,106

1,508

1,409

1,023

1,106

1,508

1,429

1,393

1,008

1,038

1,461

1,409

13 3 10 10

District 4 .................. 15 8 7 1 4,767

District 5 .................. 65 3

District 6 ................... 39 8 11,479,078

District 7 .................. 1,437 16,144,219

1,596

1,122

1,628

1,191

404

11 9 8 6 2 75,885 61,027 14,858

District 8 ................... 1,596

1,121

1,628

1,191

399

1,544

1,105

1,517

1,157

372

48 4 18,650,196

5,851,022

7,876,430

14,585,834

26,647,508

1,723,344

854,139

District 9 ........ .......... 14 2 1 1 256,134 250,134

District 10................ 104 7

District 11................ 33 1

District 123............... 14 13 5 5 335,603 335,603

State 

Alabama ................. 237 237 237

Arizona ................. 10 10 9 1 5,403

2,734

55

Arkansas................... 236 236 231 4 1 1,059,262

19,651,272

1,642,437

4,260,365

California ........... 139 139 132 7

Colorado ............... 170 170 156 14 6,230

30,572

5,761

Connecticut.............. 166 95 85 9 1 71 5 66 1,986,446

123,683

115,128

26,202

1,871,318

Delaware ............... 30 28 27 1 2 1 1 748,454

1,408,888

3,685,899

2,434,226

555,667

15,923,672

4,342,056

2,726,524

2,081,744

97,481

District of Columbia 

Florida ...........

17 17 17

261 261 256 2 3 11,731

Georgia ............. 412 412 352 60 14,208

Idaho ............... 33 33 33

Illinois ........... 928 928 922 3 3 39,492

5,862

81,168

56,182

Indiana...................... 474 470 463 6 1 4 3 1 55,102 40,925 14,177

Iow a........................... 668 668 622 45 1

Kansas ............. 598 598 548 50

FEDERAL DEPOSIT INSURANCE C O R P O R A T IO N

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
K entucky.........

Louisiana..........

M aine................

M aryland.........

Massachusetts.

M ichigan...................

Minnesota.................

Mississippi................

Missouri....................

M ontana...................

Nebraska...................

N evada......................

New Hampshire.. . .

New Jersey...............

New M exico.............

New Y ork...........

North Carolina. 

North D akota. .

Ohio.....................

Oklahoma...........

Oregon...............

Pennsylvania. . 

Rhode Island. . 

South Carolina. 

South D akota..

Tennessee.

Texas.........

U tah..........

Vermont. . 

Virginia. ..

W ashington___

West Virginia..

W isconsin.........

W yom ing..........

O th er area

Alaska........................

American Samoa. ..

Hawaii.......................

Mariana Islands4. .. 

Panama Canal Zone4

Puerto Rico4.............

Virgin Islands..........

365

180

90

158

362

408

683

196

610

114

421

6

108

299

52

612

214

154

620

386

52 

799

18

148

171

297

949

48

68

312

97

182

555

53

10

365

180

58

150

173

408

682

196

610

114

421

6

74

276

52

483

214

154

617

386

51

792

10

148

171

297

949

48

61

312

93

182

551

53

352

179

51 

149 

167

401

672

193

588

113

382

6

62

273

52

472

213

149

615

378

49

778

8

139

171

290

917

47

60

312

90

178

545

53

13

1

7

1

6

2

9

3

18

32

8

189

10

7

1

22

1

188

5

1 1 1

4

1

33 6

*12 34

23

12

23

22

3

7

1

5

2

7

1

11

1

9

4 129 129

3 3

1

1

3

1

1

7

8

1

7

6 2

4

32

1

3

1 7 7

3

4 

3

4 4

3 4 3 1

6

1

2 5

3

1 1

2,093,839 2,093,839 2,082,143

2,785,974 2,785,974 2,785,178

919,990 584,140 538,200

2,693,737 2,181,246 2,076,782

9,711,722 4,944,853 4,855,817

7,907,625 7,907,625 7,895,070

3,882,213 3,626,079 3,615,728

1,043,164 1,043,164 1,033,653

5,590,897 5,590,897 5,571,364

729,524 729,524 729,524

1,502,206 1,502,206 1,473,287

307,786 307,786 307,786

790,608 360,177 309,441

7,218,329 6,118,940 6,118,919

573,130 573,130 573,130

56,322,049 38,664,396 38,120,113

2,486,788 2,486,788 2,463,192

650,355 650,355 531,829

10,485,857 10,161,715 10,157,859

2,305,622 2,305,622 2,301,126

1,844,419 1,814,768 1,805,304

14,521,980 12,909,749 12,864,777

1,224,958 830,900 805,857

864,258 864,258 859,291

588,930 588,930 588,930

2,735,080 2,735,080 2,728,649

10,372,591 10,372,591 10,291,175

844,743 844,743 844,488

443,760 323,083 323,083

2,818,407 2,818,407 2,818,407

2,796,192 2,490,240 2,458,559

1,146,687 1,146,687 1,133,472

3,894,538 3,873,755 3,867,353

344,421 344,421 344,421

166,631 166,631 144,987

1,857 1,857

435,216 435,216 ...........44,585

21,595 21,595 20,902

22,130 22,130

374,187 374,187 .........332,602

17,014 16,822 16,822

11,696

796

45,940

104,464

89,036

12,555

10,351

9,511

19,533

335,850

512,491

4,766,869

60,383

507,724

116,109

275,467

4,767

4,650,760

256,134 256,134

28,919

50,736

21

430,431

1,099,389

248,193

1,099,389

182,238

544,283

23,596

118,526

3,856

4,496

9,464

44,972

25,043

4,967

17,657,653 17,657,653

324,142 324,142

29,651

1,612,231

394,058

29,651

1,612,231

344,969 49,089

6,431

81,416

255

120,677 120,677

31,681

13,215

6,402

305,952 305,952

20,783 20,102 681

21,644

1,857

390,631

693

22,130

41,585

192 192

1 Includes 20 noninsured banks of deposit (14 in Georgia, 2 in Iowa, and 4 in Texas) for which deposits are not available.

2 Includes Puerto Rico and the Virgin Islands.

* Includes Alaska, American Samoa, Hawaii, Mariana Islands, and the Panama Canal Zone.

4 Includes deposit data for the following branches of insured banks in continental United States: 2 insured branches and 1 noninsured branch in the Mariana Islands (2 insured in 

Guam and 1 nonmsured in Saipan); 4 noninsured branches in the Panama Canal Zone; and 12 insured branches in Puerto Rico. Data for these branches are not included in the figures 

for the States in which the parent banks are located.

Back figures: See the Annual Report for 1955, pp. 118-119, and earlier reports.

N U M B ER . OFFICES, AND DEPOSITS OF OPERATING B A N K S

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
A sse ts a n d L ia b il it ie s o p Op e r a t in g B a n k s

Table 104.

Table 105.

Table 106.

Table 107.

Assets and liabilities of operating banks in the United States (continental U. S. 

and other areas), June 30, 1956 

Banks grouped according to insurance status and type of bank

Assets and liabilities of operating banks in the United States (continental U. S. 

and other areas), December 31, 1956

Banks grouped according to insurance status and type of bank

Assets and liabilities of operating banks in the United States (continental U. S. 

and other areas), December 31, 1956 

Banks grouped by district and State

Assets and liabilities of operating insured banks in the United States (continental 

U. S. and other areas), December 31, 1956, June 30, 1956, and December 31, 1955

The data in these tables relate to banks operating in the United 

States (continental U. S. and other areas). Data from the same tabulations for all operating banks in each State and other area are also 

shown in the Corporation’s publication, “ Assets, Liabilities, and 

Capital Accounts, Commercial and Mutual Savings Banks,” as follows:

For June 30, 1956 Report No. 45, pp. 4-5.

For December 31, 1956 Report No. 46, pp. 4-5.

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Statements of assets and liabilities are submitted by insured commercial banks upon either a cash or an accrual basis, depending upon 

the bank’s method of bookkeeping. Assets reported represent aggregate 

book value, on the date of call, less valuation and premium reserves.

Assets and liabilities held in or administered by a savings, bond, 

insurance, real estate, foreign, or any other department of a bank, 

except a trust department, are consolidated with the respective assets 

and liabilities of the commercial department. “Deposits of individuals, 

partnerships, and corporations” include trust funds deposited by a trust 

department in a commercial or savings department. Other assets held 

in trust are not included in statements of assets and liabilities.

In the case of banks with one or more domestic branches, the assets 

and liabilities reported are consolidations of figures for the head office 

and all domestic branches. In the case of a bank with foreign branches, 

net amounts due from its own foreign branches are included in “ Other 

assets,” and net amounts due to its own foreign branches are included 

in “ Other liabilities.” Branches outside the continental United States 

of insured banks in the United States are treated as separate entities 

but as in the case of other branches are not included in the count of 

banks. Data for such branches are not included in the figures for the 

States in which the parent banks are located.

Demand balances with and demand deposits due to banks in the 

United States, except private banks and American branches of foreign 

banks, exclude reciprocal interbank deposits. Reciprocal interbank 

deposits arise when two banks maintain deposit accounts with each 

other.

Individual loan items are reported gross instead of net of valuation 

reserves. Accordingly, reserves for losses on loans are shown separately.

Instalment loans are ordinarily reported net if the instalment payments are applied directly to the reduction of the loan. Such loans are 

reported gross if, under contract, the payments do not immediately 

reduce the unpaid balances of the loan but are assigned or pledged to 

assure repayment at maturity.

Total deposits shown in these tables are not the same as the deposits 

upon which assessments paid to the Federal Deposit Insurance Corporation are based. The assessment base is slightly lower due to certain 

exclusions which are permitted and deductions which may be claimed.

Asset and liability data for noninsured banks are tabulated from 

reports pertaining to the individual banks. In a few cases these reports 

are not as detailed as those submitted by insured banks, and some of 

the items reported have been allocated to more detailed categories 

according to the distribution of asset and liability data for insured 

State banks not members of the Federal Reserve System or for other 

noninsured banks.

Sources of data

National banks and State banks in the District of Columbia not 

members of the Federal Reserve System: Office of the Comptroller of 

the Currency.

State banks members of the Federal Reserve System: Board of 

Governors of the Federal Reserve System.

Other insured banks: Federal Deposit Insurance Corporation.

Noninsured banks: State banking authorities; and reports from 

individual banks.

ASSETS AND LIABILITIES OF OPERATING B A N K S

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
BANKS GROUPED ACCORDING TO INSURANCE STATUS AND TYPE OF BANK

(Amounts in thousands of dollars)

Table 104. A s s e t s an d L ia b i lit i e s o f O p e r a tin g B a n k s in t h e U n ite d S t a t e s ( C o n t in e n t a l U. S. an d O t h e r A r e a s ), J u n e 30, 1956

O

Asset, liability, or capital account item

All banks

Total Insured Noninsured

Commercial and stock savings banks and 

nondeposit trust companies

Total Insured

Noninsured

Banks

of

deposit

Nondeposit

trust

companies1

Mutual savings banks

Total Insured Noninsured

Total assets..........................................................

Cash, balances with other banks, and cash 

collection items—total.............................

Currency and coin.............................................

Reserve with F. R. banks (member banks). .

Demand balances with banks in U. S..............

Other balances with banks in U. S...................

Balances with banks in foreign countries. . . . 

Cash items in process of collection..................

Securities— total.................................................

U. S. Gov’t, obligations (incl. guaranteed). . .

Obligations of States and subdivisions...........

Other bonds, notes, and debentures...............

Corporate stocks................................................

Loans and discounts, net— total...................

Valuation reserves.................................................

Loans and discounts, gross— total................

Real estate loans—total....................................

Secured by farm land.........................................

Secured by residential properties:

Insured by F H A .............................................

Insured or guaranteed by V A ......................

Not insured or guaranteed by FH A or V A .

Secured by other properties...............................

Loans to banks..................................................

Loans to brokers and dealers in securities___

Other loans for carrying securities..................

Loans to farmers directly guaranteed by the

Commodity Credit Corporation..................

Other loans to farmers (excl. real estate). . . .

Commercial and industrial loans.....................

Other loans to individuals................................

All other loans (including overdrafts)............

Miscellaneous assets—to ta l............................

Bank premises owned, furniture and fixtures.

Other real estate— direct and indirect............

All other miscellaneous assets..........................

239,266,752 228,523,563 10,743,189 206,845,638 204,252,339 2,421,721 171,578 32,421,114 24,271,224 8,149,890

43,540,085

2,430,746

18,233,783

11,370,779

283,921

72,993

11,147,863

42,953,472

2,356,624

18,233,783

10,929,352

273,207

66,299

11,094,207

586,613

74,122

441,427'

10,714

6,694

53,656

42,622,949

2,321,413

18,232,470

10,840,364

50,367

72,993

11,105,342

42,214,582

2,276,039

18,232,470

10,529,397

43,712

66,299

11,066,665

378,676

43,790

285,680

6,499

5,143

37,564

29,691

1,584

25,287

156

1,551

1,113

917,136

109,333

1,313

530,415

233,554

' 42,521

738,890

80,585

1,313

399,955

229,495

* 27,542

178,246

28,748

130,460

4,059

* 14,979

85,887,610

65,166,354

13,656,028

5,893,554

1,171,674

80,780,531

61,577,967

13,286,433

5,161,811

754,320

5,107,079

3,588,387

369,595

731,743

417,354

73,460,574

56,869,065

12,988,620

3,123,363

479,526

72,126,538

55,941,475

12,730,551

3,020,182

434,330

1,236,307

878,950

232,299

99,571

25,487

97,729

48,640

25,770

3,610

19,709

12,427,036

8,297,289

667,408

2,770,191

692,148

8,653,993

5,636,492

555,882

2,141,629

319,990

3,773,043

2,660,797

111,526

628,562

372,158

106,085,592

1,573,925

107,659,517

40,599,391

1,*11,20*

8,9*2,030

10,3*3,515

13,867,*29

6,035,213

666,451 

2,695,693 

1,786,769

598,801

3,676,842

36,374,877

18,613,151

2,647,542

101,204,800

1,541,921

102,746,721

36,292,355

1,376,196

4

8,383,*01

9,003,907

11,930,313

5,598,538

665,890 

2,669,159 

1,732,771

585,732

3,622,212

36,135,955

18,433,491

2,609,156

4,880,792

32,004

4,912,796

4,307,036

35,008

558,629

1,339,608

1,937,116

*36,675

561

26,534

53,998

13,069

54,630

238,922

179,660

38,386

87,446,788 

1,353,330 

88,800,118 

21,989,839 

1,352,*92

* ,667,8*7

3,837,511

7,99*,9*9

*,137,0*0

666,451 

2,695,693 

1,756,221

598,801

3,675,102

36,331,449

18,449,978

2,636,584

86,691,019

1,350,060

88,041,079

21,753,420

1,332,527

*,61 *,3 *8

3,797,397

7,918,1*8

*,091,000

665,890 

2,669,159 

1,705,396

585,732

3,620,612

36,096,938

18,342,631

2,601,301

731,471

3,222

734,693

220,627

19,135

51,705

36,880

69,826

*3,081

561

26,534

46,241

13,069

54,321

233,497

105,895

33,948

24,298

48

24,346

15,792

830

1,79*

3,23*

6,975

2,959

18,638,804

220,595

18,859,399

18,609,552

58,712

*,27 *,183

6,506,00*

5,872,*80

1,898,173

14,513,781

191,861

14,705,642

14,538,935 

*3,669

3,769,053

5,206,510

*,012,165

1,507,538

4,125,023

28,734

4,153,757

4,070,617

15,0*3

505,130

1,299,*9*

1,860,315

390,635

4,584 30,548 27,375 3,173

169

1,014

1,452

1,335

1,740

43,428

163,173

10,958

1,600

39,017

90,860

7,855

140

4,411

72,313

3,103

3,753,465

2,009,687

181,045

1,562,733

3,584,760

1,948,237

166,086

1,470,437

168,705

61,450

14,959

92,296

3,315,327

1,821,676

176,325

1,317,326

3,220,200

1,801,907

164,452

1,253,841

75,267

13,640

4,768

56,859

19,860

6,129

7,105

6,626

438,138

188,011

4,720

245,407

364,560

146,330

1,634

216,596

73,578

41,681

3,086

28,811

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
T o ta l liabilities and ca p ita l a c c o u n ts ...............

B usiness a n d personal deposits— t o ta l.........

Deposits of individuals, partnerships, and

corporations— dem and.....................................

Deposits of individuals, partnerships, and

corporations— tim e............................................

Certified and officers’ checks, cash letters of 

credit and travelers’ checks outstanding, 

and amounts due to Federal Reserve banks.

G overn m en t deposits— to ta l.............................

United States Government— demand..............

United States Government— tim e.....................

States and subdivisions— demand.....................

States and subdivisions— tim e...........................

In terban k an d p osta l savings deposits— 

to t a l.....................................................................

Banks in the United States— demand.............

Banks in the United States— tim e....................

Banks in foreign countries— demand...............

Banks in foreign countries— tim e......................

Postal savings.........................................................

239,266,752 228,523,563 10,743,189 206,845,638 204,252,339 2,421,721 171,578 32,421,114 24,271,224 8,149,890

182,130,058

102,207,302

76,657,889

3,264,867

173,487,450

101,254,722

69,000,002

3,232,726

8,642,608

952,580

7,657,887

32,141

152,970,678

102,189,235

47,521,732

3,259,711

151,549,838

101,237,520

47,084,264

3,228,054

1,361,715

893,533

436,545

31,637

59,125

58,182

923

20

29,159,380

18,067

29,136,157

5,156

21,937,612

17,202

21,915,738

4,672

7,221.768

865

7,220,419

484

19,058,189

5,318,208

316,832

10,848,008

2,575,141

18,742,016

5,255,274

314,982

10,687,006

2,484,754

316,173

62,934

1,850

161,002

90,387

19,036,157

5,315,014

316,502

10,845,164

2,559,477

18,723,027

5,252,969

314,967

10,684,522

2,470,569

313,130

62,045

1,535

160,642

88,908

22,032

3,194

330

2,844

15,664

18,989

2,305

15

2,484

14,185

3,043

889

315

360

1,479

15,294,442

12,085,776

284,492

1,559,426

1,333,642

31,106

14,908,682

11,974,521

57,217

1,516,739

1,329,742

30,463

385,760

111,255

227,275

42,687

3,900

643

15,291,883

12,085,389

282,320

1,559,426

1,333,642

31,106

14,906,181

11,974,134

55,103

1,516,739

1,329,742

30,463

385,201

110,755

227,217

42,686

3,900

643

501

500

1

2,559

387

2,172

2,501

387

2,114

58

58

T ota l d e p o sits ..................................................

Demand............................................................

Tim e..................................................................

M iscellaneou s liabilities— t o ta l........................

Rediscounts and other borrowed m oney.........

All other miscellaneous liabilities......................

T o ta l liabilities (exclu din g cap ital 

a c c o u n ts ).......................................................

C apital a ccou n ts— t o ta l.......................................

Preferred capital....................................................

Common stock........................................................

216,482,689

135,283,587

81,199,102

207,138,148

133,920,988

73,217,160

9,344,541

1,362,599

7,981,942

187,298,718

135,253,939

52,044,779

185,179,046

133,893,938

51,285,108

2,060,046

1,301,298

758,748

59,626

58,703

923

29,183,971

29,648

29,154,323

21,959,102

27,050

21,932,052

7,224,869

2,598

7,222,271

3,872,760

365,908

3,506,852

3,693,961

342,193

3,351,768

178,799

23,715

155,084

3,520,279

363,795

3,156,484

3,442,620

341,843

3,100,777

64,470

17,627

46,843

13,189

4,325

8,864

352,481

2,113

350,368

251,341

350

250,991

101,140

1,763

99,377

220,355,449 210,832,109 9,523,340 190,818,997 188,621,666 2,124,516 72,815 29,536,452 22,210,443 7,326,009

18,911,303

69,340

4,828,659

9,655,712

4,357,592

17,691,454

47,967

4,709,676

9,047,694

3,886,117

1,219,849

21,373

118,983

608,018

471,475

16,026,641

69,340

4,828,659

7,630,199

3,498,443

15,630,673

47,967

4,709,676

7,496,145

3,376,885

297,205

21,373

82,627

100,140

93,065

98,763

36,856

33,914

28,493

2,884,662

(2)

2,060,781

(2)

823,881

Surplus......................................................................

Undivided profits and reserves..........................

2,025,513

859,149

1,551,549

509,232

473,964

349,917

Number of banks3.......................................................... 14,247 13,449 798 13,719 13,229 431 59 528 220 308

1 Amounts shown as deposits are special accounts and uninvested trust funds, with the latter classified as demand deposits of individuals, partnerships, and corporations.

2 N ot reported separately. Included with “ Undivided profits and reserves.”

* Includes 18 noninsured banks of deposit for which asset and liability data are not available.

Back figures: See the Annual Report for 1955, pp. 122-123, and earlier reports. h-*

0

01 ASSETS AND LIABILITIES OF OPERATING BANKS

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
BANKS GROUPED ACCORDING TO INSURANCE STATUS AND TYPE OF BANK 

(Amounts in thousands of dollars)

Table 105. A s s e t s an d L ia b i lit i e s o f O p e r a t in g B a n k s in t h e U n ite d S t a t e s (C o n t in e n t a l U . S. an d O t h e r A r e a s ), D e c e m b e r 31, 1956

Asset, liability, or capital account item

All banks Commercial and stock savings banks and 

nondeposit trust companies Mutual savings banks

Total Insured Noninsured Total Insured

Nonir

Banks

of

deposit

isured

Nondeposit

trust

companies1

Total Insured Noninsured

T o ta l a ssets....................................................................

C ash , balances w ith oth er b an k s, an d cash 

co lle ctio n item s— t o ta l................................

Currency and coin.................................................

Reserve with F. R . banks (member banks). .

Demand balances with banks in U . S..............

Other balances with banks in U. S...................

Balances with banks in foreign countries. . . . 

Cash items in process of collection...................

Securities— t o ta l.....................................................

U. S. G ov’t, obligations (incl. guaranteed). . .

Obligations of States and subdivisions............

Other bonds, notes, and debentures.................

Corporate stocks....................................................

L oan s and d iscou n ts, n et— t o ta l.....................

Valuation reserves......................................................

L oan s and d iscou n ts, gross— to ta l.................

Real estate loans— total.......................................

Secured by farm land.........................................

Secured by residential properties:

Insured by F H A .............................................

Insured or guaranteed by V A ......................

Not insured or guaranteed by FH A or V A .

Secured by other properties...............................

Loans to banks.......................................................

251,965,327 241,427,659 10,537,668 218,654,513 216,145,285 2,308,304 200,924 33,310,814 25,282,374 8,028,440

49,836,733

3,454,476

18,707,348

13,436,393

209,187

64,923

13,964,406

49,182,762

3,370,417

18,707,348

12,935,726

202,872

59,533

13,906,866

653,971

84,059

500,667

6,315

5,390

57,540

48,916,268

3,321,433

18,705,986

12,849,590

50,009

64,923

13,924,327

48,444,022

3,270,129

18,705,986

12,483,040

46,133

59,533

13,879,201

431,137

49,786

*329,906

3,743

4,996

42,706

41,109

1,518

86,644

133

394

2,420

920,465

133,043

1,362

586,803

159,178

.........40,079

738,740

100,288

1,362

452,686

156,739

*27,665

181,725

32,755

134,11*7*

2,439

1*2,414*

87,351,869

66,795,281

13,636,697

5,722,921

1,196,970

82,575,679

63,475,833

13,278,368

5,033,225

788,253

4,776,190

3,319,448

358,329

689,696

408,717

75,188,766

58,824,259

12,967,747

2,904,296

492,464

73,947,336

57,957,686

12,716,647

2,829,373

443,630

1,127,523

810,373

220,947

72,978

23,225

113,907

56,200

30,153

1,945

25,609

12,163,103

7,971,022

668,950

2,818,625

704,506

8,628,343

5,518,147

561,721

2,203,852

344,623

3,534,760

2,452,875

107,229

614,773

359,883

110,632,011

1,784,587 

112,416,598 

42,464,321 

1,391*,1*91*

9,211,863

11,01*0,596

11*,1*51*,799

6,362,569

654,917 

2,589,829 

1,732,279

883,115

3,298,012

38,965,031

19,115,948

2,713,146

105,684,643

1,755,896

107,440,539

38,052,575 

1,360,569

8,702,767

9,681,01*9

12,395,755

5,912,1*35

653,962

2,565,350

1,688,023

864,426

3,252,853

38,744,361

18,931,432

2,687,557

4,947,368

28,691

4,976,059

4,411,746

33,925

509,096

1,359,51*7

2,059,01*1*

1*50,131*

955

24,479

44,256

18,689

45,159

220,670

184,516

25,589

90,854,600

1,565,435

92,420,035

22,718,943

1.335.828

1*,802,559

3,901,801*

8,300,01*8

1*,3 78,701*

654,917

2.589.829 

1,711,903

883,115

3,296,289

38,923,180

18,940,165

2,701,694

90,142,790

1,561,775

91,704,565

22,484,310

1,317,065

1*, 751,01*6

3,861*,225

8,220,892

1*,331,082

653,962 

2,565,350 

1,670,750

864,426

3,251,264

38,706,798

18,828,502

2,679,203

686,687

3,609

690,296

219,914

17,91*7

1*9,558

31*,907

72,728

U,771*

955 

23,479 

36,104

18,689

44,883

215,032

110,003

21,237

25,123

51

25,174

14,719

816

1,955

2,672

6,1*28

2,81*8

19,777,411

219,152

19,996,563

19,745,378

58,666

1*,1*09,301*

7,138,792

6,.151*,751

1,983,865

15,541,853

194,121

15,735,974

15,568,265

1*3,501*

3,951,721

5,816,821*

1*,171,,863

1,581,853

4,235,558

25,031

4,260,589

4,177,113

15,162

1*57,588

1,321,968

1,979,888

1*02,512

Loans to brokers and dealers in securities___

Other loans for carrying securities....................

Loans to farmers directly guaranteed by the

Commodity Credit Corporation....................

Other loans to farmers (excl. real estate). . . .

Commercial and industrial loans.......................

Other loans to individuals...................................

All other loans (including overdrafts)..............

M iscellaneou s assets— t o ta l...............................

Bank premises owned, furniture and fixtures.

Other real estate— direct and indirect.............

All other miscellaneous assets............................

1,000

5,049

142

1,350

1,660

1,254

20,376

1,723

41,851

175,783

11,452

17,273

1,589

37,563

102,930

8,354

3,103

134

4,288

72,853

3,098

4,144,714

2,111,378

194,396

1,838,940

3,984,575

2,045,666

179,122

1,759,787

160,139

65,712

15,274

79,153

3,694,879

1,914,346

187,969

1,592,564

3,611,137

1,893,536

176,073

1,541,528

62,957

13,758

4,668

44,531

20,785

7,052

7,228

6,505

449,835

197,032

6,427

246,376

373,438

152,130

3,049

218,259

76,397

44,902

3,378

28,117

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
T o ta l liabilities and ca p ita l a c c o u n ts ...............

B usiness and personal deposits— to ta l.........

Deposits of individuals, partnerships, and

corporations— demand.....................................

Deposits of individuals, partnerships, and

corporations— tim e............................................

Certified and officers’ checks, cash letters of 

credit and travelers’ checks outstanding, 

and amounts due to Federal Reserve banks.

G overn m en t deposits— t o ta l.............................

United States Government— demand..............

United States Government— tim e.....................

States and subdivisions— demand.....................

States and subdivisions— tim e...........................

In terb a n k and posta l savings d eposits— 

t o t a l.....................................................................

Banks in the United States— demand.............

Banks in the United States— tim e....................

Banks in foreign countries— demand...............

Banks in foreign countries— tim e......................

251,965,327 241,427,659 10,537,668 218,654,513 216,145,285 2,308,304 200,924 33,310,814 25,282,374 8,028,440

193,801,181

111,489,082

78,509,669

3,802,430

185,213,185

110,500,065

70,956,096

3,757,024

8,587,996

989,017

7,553,573

45,406

163,793,060

111,470,595

48,524,741

3,797,724

162,348,150

110,482,676

48,112,609

3,752,865

1,372,250

917,309

410,120

44,821

72,660

70,610

2,012

38

30,008,121

18,487

29,984,928

4,706

22,865,035

17,389

22,843,487

4,159

7,143,086

1,098

7,141,441

547

17,134,991

3,812,552

316,795

10,539,730

2,465,914

16,857,786

3,756,745

316,386

10,407,745

2,376,910

277,205

55,807

409

131,985

89,004

17,113,585

3,809,169

316,709

10,537,531

2,450,176

16,839,408

3,754,223

316,377

10,405,838

2,362,970

274,177

54,946

332

131,693

87,206

21,406

3,383

86

2,199

15,738

18,378

2,522

9

1,907

13,940

3,028

861

77

292

1,798

17,642,786

14,353,652

208,597

1,796,835

1,254,829

28,873

17,321,718

14,233,338

52,942

1,756,076

1,251,129

28,233

321,068

120,314

155,655

40,759

3,700

640

17,640,579

14,353,312

206,730

1,796,835

1,254,829

28,873

17,319,567

14,232,998

51,131

1,756,076

1,251,129

28,233

320,660

119,964

155,599

40,757

3,700

640

352

350

2

2,207

340

1,867

2,151

340

1,811

56

56

Postal savings ...............................................

T o ta l d e p o sits..................................................

Demand............................................................

Tim e..................................................................

M iscellaneou s liabilities— t o ta l........................

Rediscounts and other borrowed m oney.........

All other miscellaneous liabilities......................

T otal liabilities (exclu din g cap ital 

a c c o u n ts ).......................................................

C apital a ccou n ts— to ta l.......................................

Common stock ..................................................

228,578,958

145,794,281

82,784,677

219,392,689

144,410,993

74,981,696

9,186,269

1,383,288

7,802,981

198,547,224

145,765,166

52,782,058

196,507,125

144,384,676

52,122,449

1,967,087

1,309,490

657,597

73,012

71,000

2,012

30,031,734

29,115

30,002,619

22,885,564

26,317

22,859,247

7,146,170

2,798

7,143,372

4,035,917

88,202

3,947,715

3,885,102

63,671

3,821,431

150,815

24,531

126,284

3,703,874

84,369

3,619,505

3,617,998

63,331

3,554,667

69,225

17,997

51,228

16,651

3,041

13,610

332,043

3,833

328,210

267,104

340

266,764

64,939

3,493

61,446

232,614,875 223,277,791 9,337,084 202,251,098 200,125,123 2,036,312 89,663 30,363,777 23,152,668 7,211,109

19,350,452

68,596

4,938,987

9,975,791

4,367,078

18,149,868

47,223

4,824,997

9,378,151

3,899,497

1,200,584

21,373

113,990

597,640

467,581

16,403,415

68,596

4,938,987

7,886,444

3,509,388

16,020,162

47,223

4,824,997

7,760,016

3,387,926

271,992

21.373

77.373 

90,148 

83,098

111,261

36,617

36,280

38,364

2,947,037

(2)

2,129,706

(2)

817,331

Surplus......................................................................

Undivided profits and reserves..........................

2,089,347

857,690

1,618,135

511,571

471,212

346,119

Number of banks3.......................................................... 14,208 13,441 767 13,680 13,218 402 60 528 223 305

1 Amounts shown as deposits are special accounts and uninvested trust funds, with the latter classified as demand deposits of individuals, partnerships, and corporations.

* N ot reported separately. Included with “ Undivided profits and reserves.”

* Includes 20 noninsured banks of deposit for which asset and liability data are not available.

Back figures, 1934-1955: See the preceding table and the Annual Report for 1955, pp. 124-125, and earlier reports. 1—4

OASSETS AND LIABILITIES OF OPERATING BANKS

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 106. A s s e t s a n d L i a b i l i t i e s o f O p e r a t i n g B a n k s in t h e U n it e d S t a t e s ( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ) , D e c e m b e r 31, 1956

BANKS GROUPED BY DISTRICT AND STATE

(Amounts in thousands of dollars) O

00

F D IC District 

and State

Number of 

banks1

Assets

Cash and 

due from 

banks

U . S. Government 

obligations

Other

securities

Loans, discounts, and 

overdrafts

Miscellaneous

Total

Liabilities and capital accounts

Deposits

Business

and

personal2

Government8

Interbank4

Miscellaneous

liabilities

Total

capital

accounts

193,801,181 17,134,991 17,642,786 4,035,917 19,350,452

193,029,552 16,887,777 17,622,999 3,975,218 19,248,313

771,629 247,214 19,787 60,699 102,139

16,111,592

55,379,094

22,257,277

9,507,706

6,993,205

8,925,694

14,155,911

15,549,085

4,804,684

6,202,863

10,852,308

23,061,762

704,555

2,781,130

1,550,685

1,058,519

1,112,518

1,020,711

1,417,141

1,452,893

626,525

1,025,506

1,831,362

2,553,446

535,256

6,519,809

1,199,875

852,540

780,910

1,532,673

571,167

1,648,218

419,813

648,061

1,902,164

1,032,300

250,429

1,880,805

305,585

151,977

91,271

120,749

164,095

163,737

58,470

53,789

176,755

618,255

1,783,244

6,061,352

2,291,344

962,217

692,471

914,643

1,140,723

1,443,066

454,543

648,445

1,065,378

1,893,026

1,411,928

717,390

888,776

17,099,128

1,382,875

216,333

117,073

96,603

1,705,230

137,218

95,083

19,676

73,883

846,914

122,344

18,219

15,733

4,361

527,613

18,657

142,431

62,770

91,369

1,375,011

125,808

4,059,622

680,617

1,263,834

2,890,041

1,877,785

148,185

60,774

47,055

460,971

280,096

52,558

7,063

97,999

334,887

276,345

46,105

8,156

16,475

36,831

31,194

400,583

82,200

110,546

255,979

211,994

470,374

13,262,646

3,720,152

2,286,439

1,539,048

78,026

1,151,519

470,434

301,374

427,879

7,267

1,509,507

151,470

138,711

114,817

4,079

155,665

37,509

8,072

8,976

32,923

1,203,640

310,097

239,426

170,537

T ota l U nited States. 

C on tin en tal U. S .. 

O ther areas ............

FD IC D istrict

District 1 ...................

District 25.................

District 3 ..................

District 4 ..................

District 5 ...................

District 6 ..................

District 7 ..................

District 8 ..................

District 9 ...................

District 10................

District 11................

District 126...............

State

Alabam a....................

Arizona......................

Arkansas...................

California..................

Colorado....................

Connecticut..............

Delaware...................

District of Columbia

Florida.......................

Georgia......................

Idaho..........................

Illinois........................

Indiana......................

Iow a...........................

Kansas.......................

14,208

14,166

42

812

954

1,419

1,031

1,106

1,508

1,437

1,596

1,122

1,628

1,191

404

237

10

236

139

170

166

30

17

261

412

928

474

668

598

49,836,733

49,639,720

197,013

2,385,010

12,470,521

5,402,507

2,783,553

2,408,083

3,274,921

3,363,517

4,332,156

1,252,463

2,173,886

4,615,949

5,374,167

463,812

189,341

296,164

3,929,461

439,292

568,225

133,171

355,493

996,779

679,832

106,756

3,762,929

1,011,906

569,227

539,291

66,795,281

66,520,890

274,391

5,348,047

15,460,006

7,411,083

3,761,164

2,763,580

3,473,733

6,204,070

6,586,661

1,918,478

2,598,284

3,946,835

7,323,340

521,240

211,322

324,119

5,237,545

547,517

1,331,983

233,502

459,533

1,290,212

654,960

199,150

5,648,567

1,793,390

938,094

699,668

20,556,588

20,461,425

95,163

1,908,477

5,806,247

2,740,535

987,382

793,129

877,485

1,295,187

1,706,025

576,722

720,527

1.034.436

2.110.436

196,253

70,516

130,206

1,530,143

78,611

603,708

115,940

61,552

272,633

160,106

27,115

1,444,721

271,163

261,304

258,312

110,632,011 

110,075,729 

556,282

9,480,412

37,306,958

11,660,547

4,786,938

3,553,415

4,754,902

6,386,606

7,477,091

2,548,462

3,000,303

5,881,417

13,794,960

678,244

432,328

391,872

10,450,564

702,738

2,138,153

344,906

631,394

1,347,930

1,141,080

251,756

6,293,679

1,565,662

1,183,412

746,048

4,144,714

4,066,095

78,619

263,130

1,578,458

390,094

213,922

152,168

133,429

199,657

155,066

67,910

85,664

349,330

555,886

24,445

29,135

12,631

406,183

18,744

64.984 

11,291

27.937 

71,155 

41,436

7,892

133,081

47,541

21.985

17.938

251,965,327

250,763,859

1,201,468

19,385,076

72,622,190

27,604,766

12,532,959

9,670,375

12,514,470

17,449,037

20,256,999

6,364,035

8,578,664

15,827,967

29,158,789

1,883,994

932,642

1,154,992

21,553,896

1,786,902

4,707,053

838,810

1,535,909

3,978,709

2,677,414

592,669

17,282,977

4,689,662

2,974,022

2,261,257

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
K entucky...................... 365 605,873 718,127 110 ,120 831,255

Louisiana....................... 180 828,648 896,214 259,481 967,459

M aine............................. 90 127,374 307,229 128,686 454,602

M aryland...................... 158 538,381 1,006,875 251,980 1,074,347

Massachusetts.............. 362 1,377,755 3,013,877 892,087 5,474,182

M ichigan....................... 408 1,513,471 2,981,204 708,651 3,251,862

Minnesota..................... 683 861,550 1,129,127 387,121 1,813,847

Mississippi.................... 196 267,660 297,168 164,137 386,161

Missouri......................... 610 1,590,063 1,706,965 431,558 2,307,191

M ontana........................ 114 164,893 263,187 65,001 275,286

Nebraska....................... 421 401,838 530,099 130,581 564,233

N evada.......................... 6 50,298 117,911 18,285 138,423

New Hampshire........... 108 89,706 247,831 86,393 461,176

New Jersey................... 299 1,208,213 2,266,070 990,667 3,257,005

New M exico................. 52 159,845 216,854 23,084 201,171

New Y ork ..................... 612 11,070,660 12,883,934 4,650,636 33,427,221

North Carolina............ 214 688,075 659,675 291,657 1,074,895

North D akota.............. 154 107,245 282,143 83,673 229,187

O hio................................ 620 2,346,572 3,491,053 830,355 4,575,785

Oklahoma...................... 386 705,518 678,377 231,926 870,091

Oregon............................ 52 341,111 578,612 188,889 880,912

Pennsylvania................ 799 3,055,935 3,920,030 1,910,180 7,084,762

Rhode Island............... 18 162,134 333,684 163,911 673,811

South Carolina............. 148 234,049 283,760 93,467 320,889

South Dakota............... 171 118,775 244,021 40,927 230,142

Tennessee...................... 297 782,821 724,522 205,601 1,224,584

Texas.............................. 949 3,438,115 2,622,445 681,355 4,280,459

U tah............................... 48 204,287 243,256 50,563 399,979

Verm ont........................ 68 59,816 113,443 33,692 278,488

Virginia.......................... 312 679,277 872,384 213,750 1,264,382

Washington................... 97 603,718 748,975 249,282 1,394,870

West Virginia............... 182 288,278 478,937 74,976 421,031

W isconsin...................... 555 838,140 1,429,476 315,373 1,569,082

W yom ing....................... 53 87,947 142,623 21,097 117,193

O th er area

Alaska............................ 18 36,292 70,336 15,033 52,066

American Sam oa......... 1 336 1,482 216

Hawaii............................ 10 96,587 124,938 31,126 216,852

Mariana Islands7......... 1,244 7,758

Panama Canal Zone7 4,077 1,135 1.564

Puerto R ico7................. 10 55,865 67,093 48,996 271,681

Virgin Islands............... 3 2,612 9,407 8 6,145

18,589

40,324

13,401

70,646

149,738

2,283,964

2,992,126

1,031,292

2,942,229

10,907,639

1,707,472

1,918,091

862,222

2,337,916

8,862,414

170,695

529,750

45,915

220,452

406,587

215,672

338,133

11,853

135,369

442,721

15,249

24,285

9,494

24,592

164,780

174,876

181,867

101,808

223,900

1,031,137

107,939

45,365

15,132

53,539

9,510

8,563,127

4,237,010

1,130,258

6,089,316

777,877

6,939,352

3,191,706

813,451

4,245,354

611,522

720,107

328,308

155,118

490,082

86,237

248,166

362,199

74,595

855,461

31,765

106,351

43,420

5,027

62,764

7,220

549,151

311,377

82,067

435,655

41,133

14,010

6,760

9,554

118,008

8,668

1,640,761

331,677

894,660

7,839,963

609,622

1,195,401

255,349

746,692

6,633,549

427,424

146,742

50,398

31,791

491,942

130,870

160,063

2,039

12,125

92,838

14,836

8,752

3,973

9,680

72,511

3,646

129,803

19,918

94,372

549,123

32,846

1,413,207

39,842

6,882

139,700

31,090

63,445,658

2,754,144

709,130

11,383,465

2,517,002

47,785,258

1,924,161

502,523

9,208,151

1,809,920

2,124,792

256,077

134,946

864,268

256,894

6,411,999

306,550

12,886

413,438

238,808

1,745,228

58,556

4,243

114,175

15,192

5,378,381

208,800

54,532

783,433

196,188

35,166

250,394

19,135

11,314

6,153

2,024,690

16,221,301

1,352,675

943,479

640,018

1,585,169

13,049,126

1,159,278

711,491

498,933

230,473

686,417

51,921

124,569

77,034

28,777

786,437

13,761

28,198

12,963

34,876

191,410

16,708

7,246

3,587

145,395

1,507,911

111,009

71,975

47,501

48,670

271,203

12,239

6,318

49,170

2,986,198

11,293,577

910,324

491,757

3,078,963

2,084,092

7,789,403

680,239

421,366

2,295,859

263,331

1,053,669

121,354

20,156

291,865

387,657

1,529,519

43,150

2,238

230,683

38,375

133,091

9,846

3,662

32,399

212,743

787,895

55,735

44,335

228,157

44,979

15,013

44,177

3,882

3,041,824

1,278,235

4,196,248

372,742

2,479,544

974,445

3,496,407

275,619

224,373

118,501

226,600

56,773

92,275

53,741

171,531

12,029

32,079

12,709

20,235

2,2 12

213,553

118,839

281,475

26,109

2,871

27

11,545

12,868

15,356

176,598

2,061

481,048

21,870

22,132

479,417

18,342

114,929

917

353,999

12,0 21

10,093

269,868

9,802

49,600

900

72,136

9,574

2,10 2

40

9,081

727

2 1

4,764

275

9,240

183

41,068

11,382

96,418

7,204

655 2

35,782

170

7,901

8

54,569

341

50,661

987

1 Includes 20 noninsured banks of deposit (14 in Georgia, 2 in Iowa, and 4 in Texas) for which asset, liability, and capital account data are not available.

2 Demand and time deposits of individuals, partnerships, and corporations, certified and officers* checks, cash letters of credit, etc.

3 Deposits of the United States Government and of States and subdivisions.

< Interbank deposits and postal savings deposits.

5 Includes Puerto Rico and the Virgin Islands.

6 Includes Alaska, American Samoa, Hawaii, Mariana Islands, and the Panama Canal Zone.

7 Includes asset and liability data for the following branches of insured banks in continental United States: 2 insured branches and 1 noninsured branch in the Mariana Islands 

(2 insured in Guam and 1 noninsured in Saipan); 4 noninsured branches in the Panama Canal Zone; and 12 insured branches in Puerto Rico. Data for these branches are not included 

in the figures for the States in which the parent banks are located.

Back figures, 19U5-1955: See the Annual Report for 1955, pp. 126-127, and earlier reports.

ASSETS AND LIABILITIES OF OPERATING BANKS

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 107. A s s e t s a n d L i a b i l i t i e s o f O p e r a t i n g I n s u r e d B a n k s i n t h e U n i t e d S t a t e s ( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ) ,

D e c e m b e r 31, 1956, J u n e 30, 1956, a n d D e c e m b e r 31, 1955

(Amounts in thousands of dollars)

Assets

All insured banks Insured commercial banks1 Insured mutual savings banks

D ec. 31, 

1956

June 30, 

1956

Dec. 31, 

1955

Dec. 31, 

1956

June 30, 

1956

Dec. 31, 

1955

Dec. 31, 

1956

June 30, 

1956

Dec. 31, 

1955

Total assets..........................................................................

Cash, balances with other banks, and cash collection items—total...............................................

Currency and coin..............................................................

Reserve with Federal Reserve banks (member banks) 

Demand balances with banks in the United States 

(except private banks and American branches

of foreign banks)........................................................

Other balances with banks in the United States....

Balances with banks in foreign countries....................

Cash items in process of collection................................

Obligations of the U. S. Government, direct and

guaranteed—total..................................................

Direct:

Treasury bills...................................................................

Treasury certificates of indebtedness........................

Treasury notes................................................................

United States non-marketable bonds........................

Other bonds maturing in 5 years or less..................

Other bonds maturing in 5 to 10 years..................

Other bonds maturing in 10 to 20 years................

Other bonds maturing after 20 years......................

Guaranteed obligations (FHA debentures)................

Other securities—total.................................................

Obligations of States and subdivisions.........................

Other bonds, notes, and debentures..............................

Federal Reserve bank stock.............................................

Other corporate stocks......................................................

Total securities......................................................

241,427,659 228,523,563 232,602,859 216,145,285 204,252,339 209,144,779 25,282,374 24,271,224 23,458,080

49,182,762

3,370,417

18,707,348

12,935,726

202,872

59,533

13,906,866

42,953,472

2,356,624

18,233,783

10,929,352

273,207

66,299

11,094,207

47,345,333

2,784,624

18,722,421

12,164,941

266,079

98,017

13,309,251

48,444,022

3,270,129

18,705,986

12,483,040

46,133

59,533

13,879,201

42,214,582

2,276,039

18,232,470

10,529,397

43,712

66,299

11,066,665

46,559,853

2,683,954

18,721,112

11,732,460

45,208

98,017

13,279,102

738,740

100,288

1,362

452,686

156,739

27,665’

738,890

80,585

1,313

399,955

229,495

27,542

785.480

100,670

1,309

432.481 

220,871

.........30,149

63,475,833

5,877,173

1,997,447

11,919,792

2,985,290

21,198,173

11,492,502

7,506,976

462,439

36,041

61,577,967

2,822,811

1,232,505

12,766,505

3,169,157

12,704,985

20,978,564

7,322,315

553,246

27,879

66,734,713

4,212,896

2,322,688

14,072,973

3,696,038

13,107,027

21,488,954

7,208,743

605,712

19,682

57,957,686

5,779,261

1,985,124

11,746,396

1,882,908

20,677,142

11,007,207

4,683,793

183,104

12,751

55,941,475

2,760,305

1,228,368

12,574,427

2,033,497

12,533,246

20,047,935

4,566,726

183,640

13,331

60,876,637

4,112,240

2,295,833

13,878,904

2,493,775

12,908,772

20,529,312

4,364,924

282,548

10,329

5,518,147

97,912

12,323

173,396

1,102,382

521,031

485,295

2,823,183

279,335

23,290

5,636,492

62,506

4,137

192,078

1,135,660

171,739

930,629

2,755,589

369,606

14,548

5,858,076

100,656

26,855

194,069

1,202,263

198,255

959,642

2,843,819

323,164

9,353

19,099,846

13,278,368

5,033,225

325,564

462,689

19,202,564

13,286,433

5,161,811

315,765

438,555

19,273,939

13,034,895

5,517,344

302,678

419,022

15,989,650

12,716,647

2,829,373

325,489

118,141

16,185,063

12,730,551

3,020,182

315,692

118,638

16,363,782

12,500,910

3,441,695

302,608

118,569

3,110,196

561,721

2,203,852

75

344,548

3,017,501

555,882

2,141,629

73

319,917

2,910,157

533,985

2,075,649

70

300,453

82,575,679 80,780,531 86,008,652 73,947,336 72,126,538 77,240,419 8,628,343 8,653,993 8,768,233

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
L oan s an d d iscou n ts, n e t— t o ta l..................................

Valuation reserves...................................................................

L oan s and d iscou n ts, gross— t o ta l..............................

Real estate loans— total....................................................

Secured by farm land......................................................

Secured by residential properties:

Insured by F H A .........................................................

Insured or guaranteed by V A ..................................

Not insured or guaranteed by FH A or V A ...........

Secured by other properties............................................

Loans to banks....................................................................

Loans to brokers and dealers in securities...................

Other loans for carrying securities................................

Loans to farmers directly guaranteed by the Commodity Credit Corporation.........................................

Other loans to farmers (excl. real estate). ._...............

Commercial and industrial loans (including open

market paper).................................................................

Other loans to individuals................................................

All other loans (including overdrafts)..........................

T o ta l loans and se cu rities ......................................

Bank premises, furniture and fixtures, and other

real estate—total....................................................

Bank premises...............................................................

Furniture and fixtures..................................................

Real estate owned other than bank premises............

Investments and other assets indirectly representing 

bank premises or other real estate..........................

Miscellaneous assets—total........................................

Customers’ liability on acceptances outstanding. . . .

Income accrued but not collected...............................

Prepaid expenses...........................................................

Other assets...................................................................

RATIOS

Percentages of total assets:

Cash and balances with other banks..........................

U. S. Government obligations, direct and guaranteed

Other securities..............................................................

Loans and discounts.....................................................

Other assets...................................................................

Total capital accounts..................................................

105,684,643

1,755,896

107,440,539

38,052,575

1,360,569

101,204,800

1,541,921

102,746,721

36,292,355

1,876,196

95,923,415

1,457,247

97,380,662

34,375,911

1,322,578

90,142,790

1,561,775

91,704,565

22,484,310

1,317,065

86,691,019

1,350,060

88,041,079

21,753,420

1,332,527

82,360,421

1,267,677

83,628,098

20,767,275 

1,278,753

15,541,853

194,121

15,735,974

15,568,265

43,504

14,513,781

191,861

14,705,642

14,538,935

43,669

13,562,994

189,570

13,752,564

13,608,636

43,825

8,702,767

9,681,049

12,395,755

5,912, 435

653,962 

2,565,350 

1,688,023

8,383,401

9,003,907

11,980,313

5,598,538

665,890

2,669,159

1,732,771

8,178,227

8,217,482

11,419,564

5,238,060

572,826 

3,229,525 

1,759,572

4,751,046

3,864,225

8,220,892

4,331,082

653,962

4,614,848

3,797,397

7,918,148

4,091,000

665,890

4,506,346

3,670,740

7,538,257

3,773,179

572,826 

3,229,525 

1,744,381

8,951,721

5,816,824

4,174,863

1,581,353

3,769,058

5,206,510

4,012,165

1,507,538

3.671.881

4,546,742

3,881,307

1.464.881

2,565,350

1,670,750

2,669,159

1,705,396 17,273 27,375 15,191

864,426

3,252,853

585,732

3,622,212

1,146,742

3,266,323

864,426

3,251,264

585,732 1,146,742

3,620,612 3,264,723 1,589 1,600 1,600

38,744,361

18,931,432

2,687,557

36,135,955

18,433,491

2,609,156

33,238,262

17,237,082

2,554,419

38,706,798

18,828,502

2,679,203

36,096,938

18,342,631

2,601,301

33,209,723

17,159,640

2,533,263

37,563

102,930

8,354

39,017

90,860

7,855

28,539

77,442

21,156

188,260,322 181,985,331 181,932,067 164,090,126 158,817,557 159,600,840 24,170,196 23,167,774 22,331,227

2,224,788

1,628,899

416,767

51,304

2,114,323

1,556,430

391,807

45,120

1,994,795

1,480,921

358,062

37,731

2,069,609

1,485,716

407,820

48,255

1,966,359

1,418,030

383,877

43,486

1,854,168

1,349,122

350,914

36,051

155,179

143,183

8,947

3,049

147,964

138,400

7,930

1,634

140,627

131,799

7,148

1,680

127,818 120,966 118,081 127,818 120,966 118,081

1,759,787

709,090

512,890

65,859

471,948

1,470,437

487,918

500,806

84,318

397,395

1,330,664

426,937

487,055

61,016

355,656

1,541,528

709,090

412,953

60,111

359,374

1,253,841

487,918

403,414

76,660

285,849

1,129,918

426,937

218,259 216,596 200,746

394,103

55,739

253,139

99,937

5,748

112,574

97,392

7,658

111,546

92,952

5,277

102,517

20.4%

26.3

7.9

43.8

1.6

7.5

18.8%

26.9

8.4

44.3

1.6

7.7

20.4%

28.7

8.3 

41.2

1.4 

7.3

22.4%

26.8

7.4 

41.7

1.7

7.4

20.7%

27.4 

7.9

42.4 

1.6

7.7

22.3%

29.1

7.8

39.4

1.4

7.2

2.9%

2 1.8

12.3

61.5

1.5

8.4

3.1%

23.2

12.4

59.8

1.5

8.5

3.3%

25.0

12.4

57.8

1.5

8.6

ASSETS AND LIABILITIES OF OPERATING BANKS

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 107. A s s e t s a n d L i a b i l i t i e s o f O p e r a t i n g I n s u r e d B a n k s in t h e U n i t e d S t a t e s ( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ) ,

D e c e m b e r 3 1 , 1956, J u n e 3 0, 1956, a n d D e c e m b e r 3 1, 1955— C o n tin u e d

(Amounts in thousands of dollars)

to

Liabilities and capital

All insured banks

Dec. 31, 

1956

June 30, 

1956

Dec. 31, 

1955

Insured commercial banks1

Dec. 31, 

1956

June 30, 

1956

Dec. 31, 

1955

Insured mutual savings banks

Dec. 31, 

1956

June 30, 

1956

D ec. 31, 

1955

Total liabilities and capital

Business and personal deposits—tota l....................

Deposits of individuals, partnerships, and corporations—demand...................................................

Deposits of individuals, partnerships, and corporations—time.........................................................

Certified and officers’ checks, cash letters of credit 

and travelers' checks outstanding, and amounts 

due to Federal Reserve banks..........................

Government deposits—total...............................

United States Government—demand.................

United States Government—time.......................

States and subdivisions—demand.......................

States and subdivisions—time.............................

Interbank and postal savings deposits— total

Banks in the United States—demand................

Banks in the United States— time......................

Banks in foreign countries—demand..................

Banks in foreign countries—time........................

Postal savings........................................................

Total deposits..................................................

Demand.................................................................

Time......................................................................

Miscellaneous liabilities—total..........................

Bills payable, rediscounts, and other liabilities for

borrowed money........................................................

Acceptances outstanding..............................................

Dividends declared but not yet payable....................

Income collected but not earned.................................

Expenses accrued and unpaid......................................

Other liabilities..............................................................

Total liabilities (excluding capital accoun ts).

241,427,659 228,523,563 232,602,859 216,145,285 204,252,339 209,144,779 25,282,374 24,271,224 23,458,080

185,213,185

110,500,065

70,956,096

3,757,024

173,487,450

101,254,722

69,000,002

3,232,726

179,317,302

108,365,703

67,058,281

3,893,318

162,348,150

110,482,676

48,112,609

3,752,865

151,549,838

101,237,520

47,084,264

3,228,054

158,104,999

108,326,298

45,890,648

3,888,053

22,865,035

17,389

22,843,487

4,159

21,937,612

17,202

21,915,738

4,672

21,212,303

39,405

21,167,633

5,265

16,857,786

3,756,745

316,386

10,407,745

2,376,910

18,742,016

5,255,274

314,982

10,687,006

2,484,754

16,592,560

3,729,538

339,013

10,187,514

2,336,495

16,839,408

3,754,223

316,877

10,405,838

2,362,970

18,723,027

5,252,969

314,967

10,684,522

2,470,569

16,570,473

3,726,758

339,003

10,182,708

2,322,004

18,378

2,522

9

1,907

13,940

18,989

2,305

15

2,484

14,185

22,087

2,78010

4,806

14,491

17,321,718

14,233,338

52,942

1,756,076

1,251,129

28,233

14,908,682

11,974,521

57,217

1,516,739

1,329,742

30,463

16,315,786

13,397,581

53,439

1,516,423

1,317,629

30,714

17,319,567

14,232,998

51,131

1,756,076

1,251,129

28,233

14,906,181

11,974,134

55,103

1,516,739

1,329,742

30,463

16,313,156

13,397,246

51,144

1,516,423

1,317,629

30,714

2,151

340

1,811

2,501

387

2,114

2,630

335

2,295

219,392,689

1U,410,993

74,981,696

207,138,148

133,920,988

73,217,160

212,225,648

141,090,077

71,135,571

196,507,125

144,384,676

52,122,449

185,179,046

133,893,938

51,285,108

190,988,628

141,037,486

49,951,142

22,885,564

26,317

22,859,247

21,959,102

27,050

21,932,052

21,237,020

52,591

21,184,429

3,885,102

63,671

739,674

114,787

904,518

854,476

1,207,976

3,693,961

342,193

512,623

103,244

845,011

719,235

1,171,655

3,362,435

151,618

456,058

104,954

781,944

796,940

1,070,921

3,617,998

63,331

789,674

99,204

881,878

843,543

990,368

3,442,620

341,843

512,623

77,053

831,601

705,579

973,921

3,147,093

150,318

456,058

94,243

766,686

787,582

892,206

267,104

340

251,341

350

215,342

1,300

15,583

22,640

10,933

217,608

26,191

13,410

13,656

197,734

10,711

15,258

9,358

178,715

223,277,791 210,832,109 215,588,083 200,125,123 188,621,666 194,135,721 23,152,668 22,210,443 21,452,362

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
C apital a ccou n ts— t o ta l...................................................

Capital stock, notes, and debentures...........................

Surplus..................................................................................

Undivided profits................................................................

Reserves................................................................................

M EM ORAN DA 

Pledged assets and securities lo a n e d .........................

C apital stock , n otes, and deben tu res:

Par or fa ce value— t o ta l...............................................

Common stock ..........................................................

18,149,868

4,872,220

9,378,151

3,305,715

593,782

17,691,454

4,757,643

9,047,694

3,297,676

588,441

17,014,776

4,567,389

8,723,412

3,143,900

580,075

16,020,162

4,872,220

7,760,016

2,941,353

446,573

15,630,673

4,757,643

7,496,145

2,929,525

447,360

15,009,058

4,567,389

7,208,545

2,776,533

456,591

2,129,706

<*>

1,618,135

364,362

147,209

2,060,781

(*)

1,551,549

368,151

141,081

2,005,718

(2)

1,514,867

367,367

123,484

22,202,637 23,216,543 21,972,415 22,202,637 23,216,543 21,972,415

4,875,740

4,825,397

32,045

18,298

4,761,213

4,710,076

32.068

19.069

4,570,999

4,517,665

33,001

20,333

4,872,620

4,825,397

28,925

18,298

4,758,043

4,710,076

28,898

19,069

4,567,789

4,517,665

29,791

20,333

3,120 3,170 3,210

Capital notes and debentures.....................................

Preferred stock ................................................. . . .

3,120 3,170 3,210

Retirable value of preferred stock................................. 27,941 29,316 30,884 27,941 29,316 30,884

Number of banks........................................................................ 13,441 13,449 13,457 13,218 13,229 13,237 223 220 220

i Includes stock savings banks.

8 N ot reported separately. Included with “ Reserves.”

Back figures, 198U-1955: See the Annual Report for 1955, pp. 128-131, and earlier reports.

ASSETS AND LIABILITIES OF OPERATING BANKS

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 108. 

Table 109. 

Table 110.

Table 111.

Table 112.

Table 113.

Table 114.

Table 115. 

Table 116.

E a r n in g s , E x p e n s e s , a n d D iv id e n d s o f I n s u r e d B a n k s

Earnings, expenses, and dividends of insured commercial banks in the United States 

(continental U. S. and other areas), 1948-1956

Ratios of earnings, expenses, and dividends of insured commercial banks in the 

United States (continental U. S. and other areas), 1948-1956

Earnings, expenses, and dividends of insured commercial banks in the United States 

(continental U. S. and other areas), 1956 

By class of bank

Ratios of earnings, expenses, and dividends of insured commercial banks in the 

United States (continental U. S. and other areas), 1956 

By class of bank

Earnings, expenses, and dividends of insured commercial banks operating throughout 1956 in the United States (continental U. S. and other areas)

Banks grouped according to amount of deposits

Ratios of earnings, expenses, and dividends of insured commercial banks operating 

throughout 1956 in the United States (continental U. S. and other areas)

Banks grouped according to amount of deposits

Earnings, expenses, and dividends of insured commercial banks in the United States 

(continental U. S. and other areas), by State, 1956

Income, expenses, and dividends of insured mutual savings banks, 1951-1956 

Ratios of income, expenses, and dividends of insured mutual savings banks, 1951-1956

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Commercial banks

Reports of earnings, expenses, and dividends are submitted to the 

Federal supervisory agencies on either a cash or an accrual basis.

Earnings data are included for all insured banks operating at the end 

of the respective years, unless indicated otherwise. In addition, appropriate adjustments have been made for banks in operation during part 

of the year but not at the end of the year. Data for 2 insured branches 

in Guam of an insured bank in California and for 12 insured branches 

in Puerto Rico of insured banks in New York are not available.

The uniform report of earnings and dividends for commercial banks 

was revised in 1948 to show separately for the first time charge-offs and 

transfers to valuation reserves as well as recoveries and transfers from 

valuation reserves. Also, the actual recoveries and losses that are credited 

and charged to valuation reserves were reported as memoranda items.

Averages of assets and liabilities shown in Tables 108-111 and 114 are 

based upon figures at the beginning, middle, and end of each year, as 

reported by banks operating on those dates, adjusted to exclude asset 

and liability figures for insured branches in Guam of an insured bank in 

California and in Puerto Rico of insured banks in New York. Consequently, the asset and liability averages are not strictly comparable 

with the earnings data, but the differences are not large enough to 

affect the totals significantly. Some further incomparability is also 

introduced into the data by class of bank by shifts between those 

classes during the year.

Assets and liabilities shown in Table 112, and utilized for computation 

of ratios shown in Table 113, are for the identical banks to which the 

earnings data pertain. The assets and liabilities are as of December 31, 

1956.

Mutual savings banks

A uniform report of income, expenses, and dividends for mutual savings banks was adopted by the Corporation for the calendar year 1951. 

Summaries of these reports for 1951-1956 are given in Tables 115 and 

116. Data prior to 1951 are omitted because of lack of comparability.

The new form attempts to present operations on a basis accurately 

reflecting actual income and profit and loss, and provides more detailed 

information regarding losses and valuation adjustments. For a discussion 

of the history and principles of this uniform report see pp. 50-52 in 

Part Two of the 1951 Annual Report.

Sources of data

National banks and State banks not members of the Federal Reserve 

System in the District of Columbia: Office of the Comptroller of the 

Currency.

State banks members of the Federal Reserve System: Board of 

Governors of the Federal Reserve System.

Other insured banks: Federal Deposit Insurance Corporation.

EARNINGS, EXPENSES, AND DIVIDENDS OF INSURED BANKS

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
(Amounts In thousands of dollars) O)

Table 108. E a r n in g s , E x p e n se s, an d D iv id e n d s o f In s u r e d C o m m e rc ia l B a n k s in t h e

U n it e d St a t e s (C o n t in e n t a l U . S. a n d O t h e r A r e a s ), 1948-1956 h-*

Earnings or expense item 1948 1949 1950 1951 1952 1953 1954 1955 1956

C u rren t op eratin g earnings— t o ta l................... 3,403,586 3,606,879 3,930,696 4,395,411 4,931,688 5,483,954 5,773,787 6,377,705 7,231,921

Interest on U. S. Government obligations. . . . 1,008,138 1,013,515 1,015,456 983,662 1,099,059 1,206,965 1,272,731 1,333,690 1,342,842

Interest and dividends on other securities........ 189,559 201,691 225,425 249,495 276,993 297,739 324,823 351,041 370,045

Interest and discount on loans............................. 1,577,633 1,733,690 1,976,100 2,390,106 2,742,100 3,107,885 3,205,894 3,625,528 4,339,866

Service charges and fees on bank’s loans.......... 22,315 26,090 31,724 34,595 42,295 47,850 57,550 71,048 73,562

Service charges on deposit accounts................... 173,791 194,013 212,272 230,507 244,696 271,444 311,806 339,975 385,927

Other service charges, commissions, fees, 

collection and exchange charges......................

and

97,456 95,420 104,602 116,140 121,868 132,978 144,140 155,004 168,497

Trust department..................................................... 156,678 160,430 180,674 192,313 204,967 217,996 246,223 281,841 322,117

Other current operating earnings........................ 178,016 182,030 184,445 198,593 199,713 2 0 1,10 1 210,621 219,579 229,068

C u rren t op era tin g expenses— to ta l................... 2,163,514 2,283,727 2,444,534 2,701,313 3,028,575 3,375,552 3,638,087 3,960,173 4,457,198

Salaries— officers....................................................... 381,756 410,685 446,043 486,300 530,035 582,405 622,862 666,152 720,866

Salaries and wages— employees............................ 662,696 700,065 755,681 864,519 965,197 1,069,890 1,139,013 1,229,756 1,372,262

Fees paid to directors and members of executive, 

discount, and other committees............................... 20,859 22,608 24,745 27,343 30,871 34,591 37,197 39,563 42,614

Interest on time and savings deposits................ 316,570 328,010 343,040 385,344 458,059 534,493 618,341 678,237 805,857

Interest and discount on borrowed money 3,432 3,582 4,296 9,667 20,921 24,171 8,556 23,093 45,392

Taxes other than on net incom e.......................... 106,163 113,569 128,101 135,590 139,290 148,783 166,452 176,840 187,526

Recurring depreciation on banking house, furniture 

and fixtures.................................................................... 48,271 53,988 59,469 65,845 74,953 84,085 94,720 108,306 128,085

Other current operating expenses........................ 623,767 651,219 683,159 726,707 809,252 897,137 950,945 1,038,228 1,154,600

N et cu rren t operatin g earn in g s......................... 1,240,072 1,323,153 1,486,164 1,694,100 1,903,112 2,108,398 2,135,700 2,417,533 2,774.724

R ecoveries, transfers fro m reserve accou 

and profits— to ta l.............................................

ints,

266,439 213,187 245,461 169,233 144,146 152,373 631,496 239,598 250,171

On securities:

29,221 16,412 14,718 15,292 11,191 11,454 14,912 20,586 14,090

Transfers from reserve accounts...................... 24,161 26,672 38,639 12,285 20,492 27,545 60,555 39,930 41,001

Profits on securities sold or redeemed............ 60,025 73,196 90,469 56,563 33,806 38,865 416,520 57,085 31,151

On loans:

Recoveries.............................................................. 39,748 23,142 28,506 22,595 22,004 28,423 34,014 27,379 20,762

Transfers from reserve accounts...................... 48,934 28,220 29,971 28,453 27,330 18,292 57,965 50,899 77,606

All other..................................................................... 64,350 45,546 43,157 34,046 29,324 27,794 47,530 43,722 65,563

Losses, ch arge-off8, a n d transfers to res 

a ccou n ts— t o ta l................................................. 485,753 379,824 366,932 395,687 362,444 448,323 552,606 707,155 993,534

On securities:

Losses and charge-offs........................................ 78,590 38,671 38,721 83,756 97,512 155,969 66,670

126,173

221,232 317,381

Transfers to reserve accounts........................... 40,941 33,044 54,518 31,680 29,531 54,160 67,276 101,830

On loans:

Losses and charge-offs........................................ 32,393 29,064 23,030 21,215 23,637 31,774 29,269 28,159 32,018

Transfers to reserve accounts........................... 278,666 221,167 191,248 204,202 154,510 132,127 222,998 303,600 452,940

55,163 57,878 59,414 54,836 57,253 74,291 107,497 86,886 89,369

FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
N et profits before in co m e taxes ..................................

Taxes o n n et in com e— t o t a l.........................................

Federal.................................................................................

State.....................................................................................

N et profits after in co m e tax es.....................................

D ividends and interest o n capital— t o ta l...............

Dividends declared on preferred stock and interest

on capital notes and debentures..............................

Cash dividends declared on common stock...............

N et a d d ition s to ca p ita l fro m p ro fits.......................

1,020,758 1,156,514 1,364,690 1,467,645 1,684,813 1,812,451 2,214,591 1,949,976 2,031,360

275,422

258,490

16,932

325,148

304,572

20,576

427,776

402,582

25,194

559,475

530,810

28,664

694,883

662,277

32,606

786,490

750,796

35,693

907,560

862,065

45,495

793,737

753,883

39,855

814,636

769,843

44,793

745,336 831,364 936,915 908,175 989,931 1,025,963 1,307,032 1,156,240 1,216,725

331,833

5,230

326,603

354,144

5,093

349,052

391,249

4,333

386,916

418,860

3,876

414,984

441,971

3,675

438,298

473,866

2,979

470,888

516,977

2,912

514,066

566,124

2,581

563,543

616,890

2,389

614,501

413,503 477,:220 545,666 489,315 547,961 552,097 790,055 590,118 599,835

M em oran d a 

Recoveries credited to reserve accounts (not included 

in recoveries above):

On securities.......................................................................

On loans..............................................................................

Losses charged to reserve accounts (not included in 

losses above):

On securities.......................................................................

On loans..............................................................................

7,224

10,844

18,031

46,487

2,600

19,645

6,104

72,978

3,565

123,507

6,324

157,733

2,363

28,477

17,725

64,735

4,355

31,508

25,598

64,607

2,232

33,612

38,480

89,186

3,154

40,384

15,841

89,495

3,146

39,794

68,140

88,417

3,332

42,717

95,505

123,529

Average assets an d liabilities2

Assets— t o t a l........................................................................

Cash and due from banks..............................................

United States Government obligations......................

Other securities.................................................................

Loans and discounts........................................................

All other assets..................................................................

L iabilities and capital— t o ta l.......................................

Total deposits....................................................................

Demand deposits............................................................

Time and savings deposits...........................................

Borrowings and other liabilities...................................

Total capital accounts.....................................................

150,726,513

36,247,026

64,291,298

8,872,676

39,650,962

1,664,551

151,566,078

35,683,829

63,080,739

9,387,984

41,670,879

1,742,647

158,986,894

36,006,423

63,846,830

11,043,342

46,250,272

1,840,027

169,207,394

40,373,273

59,711,922

12,554,632

54,533,221

2,034,346

179,803,463

42,952,808

61,065,059

13,562,462

59,999,743

2,223,391

185,685,283

43,192,523

60,868,295

14,082,070

65,213,144

2,329,251

193,339,614

42,976,798

64,372,065

15,209,165

68,148,039

2,633,547

202,331,676

43,510,745

63,808,049

16,294,075

75,800,688

2,918,119

209,712,780

45,728,691

58,257,149

16,179,498

86,291,628

3,255,814

150,726,513

139,517,461 

101*,195,068

35,322,898

1,257,852 

9,951,200

151,566,078

139,764,394

108,862,159

35,902,235

1,380,578

10,421,106

158,986,894

146,269,294

109,822,638

36,1*1*6,656

1,710,204

11,007,396

169,207,394

155,460,465

118,189,171

87,271,291*

2,131,162

11,615,767

179,803,463

165,031,495

125,218,81*2

89,817,658

2,501,055

12,270,913

185,685,283

170,075,888

127,028,882

1*8,01*7,556

2,667,917

12,941,478

193,339,614

176,865,497 

130,028,191

1*6,81*2,306

2,712,778 

13,761,339

202,331,676

184,734,232

135,1*22,891

1*9,811,81*1

2,965,764

14,631,680

209,712,780

190,786,522

139,690,1*32

51,096,090

3,372,960

15,553,298

Number of active officers, December 31........................

Number of other employees, December 31...................

67,609

292,015

69,439

296,308

71,566

312,324

73,806

334,961

76,754

358,325

79,574

376,750

82,167

386,625

84,931

408,791

88,462

433,563

Number of banks, December 3 1 ....................................... 13,419 13,436 13,446 13,455 13,439 13,432 13,323 13,237 13,218

Note: Due to rounding differences, data for 1949 through 1956 may not add precisely to the indicated totals.

1 Revised.

2 Asset and liability items are averages of figures reported at beginning, middle, and end of year. ^ 

Bach figures, 19S1*-19U7: See the following Annual Reports: 1950, pp. 250-251, and 1941, pp. 158-159. h -1 E AR N IN G S, E X P E N SE S, AND DIVIDENDS OF INSURED B A N K S

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Federal Reserve Bank of St. Louis
Table 109. R a t io s o f E a r n in g s , E x p e n se s, an d D iv id e n d s o f In s u r e d C o m m e rc ia l B a n k s in t h e hU n it e d St a t e s (C o n t in e n t a l U. S. a n d O t h e r A r e a s ), 1948-1956 oJ

Earnings or expense item 1948 1949 1950 1951 1952 1953 1954 1955 1956

A m ou n ts per $100 o f cu rren t op eratin g 

earnings

C u rren t op eratin g earn in gs— to ta l............................ $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00

Interest on U. S. Government obligations................ 29.62 28.10 25.83 22.38 22.29 22.01 22.04 20.91 18.57

Interest and dividends on other securities................ 5.57 5.59 5.74 5.68 5.62 5.43 5.63 5.51 5.12

Income on loans................................................................ 47.01 48.79 51.08 55.17 56.46 57.55 56.52 57.96 61.03

Service charges on deposit accounts............................ 5.11 5.38 5.40 5.24 4.96 4.95 5.40 5.33 5.33

Other service charges, commissions, fees, and 

collection and exchange charges............................... 2.86 2.65 2.66 2.64 2.47 2.42 2.50 2.43 2.33

Other current operating earnings................................. 9.83 9.49 9.29 8.89 8.20 7.64 7.91 7.86 7.62

C u rren t op eratin g expenses— to ta l........................... 63.57 63.32 62.19 61.46 61.41 61.55 63.01 62.09 61.63

Salaries, wages, and fees................................................ 31.30 31.42 31.20 31.35 30.95 30.76 31.16 30.35 29.53

Interest on time and savings deposits........................ 9.30 9.10 8.73 8.77 9.29 9.75 10.71 10.63 11.14

Taxes other than on net incom e................................... 3.12 3.15 3.26 3.09 2.82 2.71 2.88 2.77 2.60

Recurring depreciation on banking house, furniture 

and fixtures.................................................................... 1.42 1.50 1.51 1.50 1.52 1.53 1.64 1.70 1.77

Other current operating expenses................................ 18.43 18.15 17.49 16.75 16.83 16.80 16.62 16.64 16.59

N et cu rren t op era tin g ea rn in g s.................................. 36.43 36.68 37.81 38.54 38.59 38.45 36.99 37.91 38.37

A m ou n ts per $100 o f tota l assets1

Current operating earnings— total................................... 2.26 2.38 2.47 2.60 2.74 2.96 2.98 3.15 3.45

Current operating expenses— total................................... 1.44 1.51 1.54 1.60 1.68 1.82 1.88 1.96 2.13

Net current operating earnings......................................... .82 .87 .93 1.00 1.06 1.14 1.10 1.19 1.32

Recoveries, transfers from reserve accounts, and 

profits— total...................................................................... .18 .14 .16 .10 .08 .08 .33 .12 .12

Losses, charge-offs, and transfers to reserve ac-

.32 .25 .23 .23 .20 .24 .28 .35 .47

Net profits before income taxes........................................ .68 .76 .86 .87 .94 .98 1.15 .96 .97

Net profits after income taxes........................................... .49 .55 .59 .54 .55 .55 .68 .57 .58

A m ou n ts per $100 o f tota l ca p ita l a c ­

co u n ts 1

Net current operating earnings......................................... 12.46 12.70 13.50 14.58 15.51 16.29 15.52 16.52 17.84

Recoveries, transfers from reserve accounts, and 

profits— total..................................................................... 2.68 2.04 2.23 1.46 1.17 1.18 4.59 1.64 1.61

Losses, charge-offs, and transfers to reserve accounts— total..................................................................... 4.88 3.64 3.33 3.41 2.95 3.46 4.02 4.83 6.39

Net profits before income taxes........................................ 10.26 1 1 .1 0 12.40 12.63 13.73 14.01 16.09 13.33 13.06

Taxes on net incom e............................................................ 2.77 3.12 3.89 4.81 5.66 6.08 6.59 5.43 5.24

Net profits after income taxes........................................... 7.49 7.98 8.51 7.82 8.07 7.93 9.50 7.90 7.82

Cash dividends declared..................................................... 3.33 3.40 3.55 3.61 3.60 3.66 3.76 3.87 3.96

Net additions to capital from profits.............................. 4.16 4.58 4.96 4.21 4.47 4.27 5.74 4.03 3.86

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Special ra tios 1

Income on loans per $100 of loans..................................

Income on U. S. Government obligations per $100

of U. S. Government obligations.................................

Income on other securities per $100 of other securities.

Service charges per $100 of demand deposits...............

Interest paid per $100 of time and savings deposits. .

4.04

1.57

2.14

.17

.90

4.22

1.61

2.15

.19

.91

4.34

1.59

2.04

.19

.94

4.45

1.65

1.99

.20

1.03

4.64

1.80

2.04

.20

1.15

4.84

1.98

2 . 1 1

.21

1.24

4.79

1.98

2.14

.24

1.32

4.88

2.09

2.15

.25

1.38

5.11

2.31

2.29

.28

1.58

Assets an d liabilities per $100 o f total 

assets1

Assets— t o ta l........................................................................ 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

Cash and due from banks.............................................. 24.05 23.55 22.65 23.86 23.89 23.26 22.23 21.51 21.81

United States Government obligations...................... 42.65 41.62 40.16 35.29 33.96 32.78 33.29 31.54 27.78

Other securities................................................................. 5.89 6.19 6.94 7.42 7.54 7.58 7.87 8.05 7.71

Loans and discounts........................................................ 26.31 27.49 29.09 32.23 33.37 35.12 35.25 37.46 41.15

All other assets.................................................................. 1.10 1.15 1.16 1.20 1.24 1.26 1.36 1.44 1.55

L iabilities and ca p ita l— to ta l....................................... 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

Total deposits.................................................................... 92.56 92.21 92.00 91.88 91.78 91.59 91.48 91.30 90.97 Demand deposits............................................................ 69.13 68.52 69.08 69.85 69.6* 68.*1 67.25 66.93 66.61 Time and savings deposits........................................... 23.*3 23.69 22.92 22.03 22.1* 23.18 2 *.23 2 *.37 2*.36

Borrowings and other liabilities.................................. .84 .91 1.08 1.26 1.39 1.44 1.40 1.47 1.61

Total capital accounts.................................................... 6.60 6.88 6.92 6.86 6.83 6.97 7.12 7.23 7.42

Number of banks, December 31...................................... 13,419 13,436 13,446 13,455 13,439 13,432 13,323 13,237 13,218

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.

Back figures, 1934-19*7: See the following Annual Reports: 1950, pp. 252-253, and 1941, pp. 160-161.

EARNINGS, EXPENSES, AND DIVIDENDS OF INSURED BANKS

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Federal Reserve Bank of St. Louis
BY CLASS OF BANK °

(Amounts in thousands of dollars)

Table 110. E a r n in g s , E x p e n ses, an d D iv id e n d s o f In s u r e d C o m m e rc ia l B a n k s in t h e

U n it e d St a t e s (C o n t in e n t a l U. S. a n d O t h e r A r e a s), 1956 to

Earnings or expense item Total

Members F . R . System N ot 

members 

F. R . 

System

Operating 

throughout 

the year

Operating 

less than 

full year1

National State

Service charges on deposit accounts............................................................... ................

Other service charges, commissions, fees, and collection and exchange charges. .

7,231,921

1,342,842

370,045

4,339,866

73,562

385,927

168,497

322,117

229,068

3,820,540

735,039

201,823

2,314,120

37,773

210,674

69,931

116,794

134,386

2,256,697

365,226

105,947

1,347,884

24,901

99,491

51,643

192,280

69,326

1,154,684

242,577

62,275

677,862

10,888

75,762

46,923

13,043

25,356

7,162,228

1,329,704

367,450

4,314,788

73,244

382,894

167,636

299,964

226,550

69,693

13,138

2,595

25,078

319

8,033

861

22,153

2,518

4,457,198

720,866

1,372,262

42,614

805,857

45,392

187,526

128,085

1,154,600

2,327,841

358,031

716,822

19,252

435,444

25,542

106,219

69,967

596-564

1,351,302

195,164

465,010

9,903

213,778

18,251

50,989

32,880

365,326

778,055

167,671

190,430

13,459

156,635

1,599

30,318

25,238

192,710

4,409,292

713,342

1,356,018

42,268

800,140

45,270

186,104

126,935

1,139,219

47,906

7,525

16,244

347

5,717

122

1,422

1,150

15,382

Fees paid to directors and members of executive, discount, and other committees

Interest and discount on borrowed m oney....................................................................

Recurring depreciation on banking house, furniture and fixtures...........................

2,774,724 1,492,699 905,395 376,630 2,752,938 21,787

R ecoveries, transfers fro m reserve a cco u n ts, and profits— t o ta l.....................

On securities:

250,171

14,090

41,001

31,151

20,762

77,606

65,563

119,005

10,082

25,462

11,414

10,494

32,930

28,623

106,801

2,496

14,283

16,112

3,815

40,349

29,747

24t365

1,512

1,256

3,625

6,453

4,327

7,193

239,459

12,987

35,991

30,876

20,349

77,421

61,835

10,713

1,103

5,010

275

413

185

3,727

Profits on securities sold or redeemed.........................................................................

On loans:

Losses, ch arge-offs, an d transfers to reserve a cco u n ts— to ta l...........................

On securities:

On loans:

993,534

317,881

101,830

32,018

452,940

89,369

536,031

182,519

61,319

11,119

232,893

48,181

343,793

94,052

35,682

10,732

174,651

28,677

113,710

40,810

4,829

10,167

45,396

12,511

987,624

314,204

101,623

31,755

451,240

88,804

5,910

3,177

207

264

1,699

565

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
N et profits before in co m e taxes...................................................................................... 2,031,360 1,075,673 j 668,404 j 287,283 2,004,771 26,589

Taxes o n n e t in co m e — t o t a l.............................................................................................. 814,636

769,843

44,793

430,366

411,649

18,717

287,318

265,553

21,765

96,952

92,641

4,311

805,626

761,715

43,911

9,011

8,128

883

Federal.....................................................................................................................................

N et profits after in co m e tax es......................................................................................... 1,216,725 645,307 381,086 190,332 1,199,146 17,579

D ividends and in terest o n ca p ita l— t o ta l................................................................... 616,890

2,389

614,501

329,230

177

329,053

217,681

1,415

216,266

69,979

797

69,182

612,055

2,387

609,669

4,835

2

4,833

Dividends declared on preferred stock and interest on capital notes and 

debentures..........................................................................................................................

Cash dividends declared on common stock...................................................................

N et a d d ition s to cap ital fro m p ro fits........................................................................... 599,835 316,077 163,405 120,353 587,091 12,744

M em oran da

Recoveries credited to reserve accounts (not included in recoveries above):

On securities........................................................................................................................... 3,332

42,717

95,505

123,529

2,945

26,663

56,170

66,863

240

8,780

36,660

41,673

147

7,274

2,675

14,993

2,846

42,600

95,471

123,319

486

117

34

210

On loans. ................................................................................................................................

Losses charged to reserve accounts (not included in losses above):

On securities...........................................................................................................................

On loans..................................................................................................................................

Average assets and liabilities*

Assets— t o ta l............................................................................................................................ 209,712,780

45,728,691

58,257,149

16,179,498

86,291,628

3,255,814

113,819,808

25,415,842

31,900,555

8,994,661

45,799,314

1,709,436

65,855,444

15,201,124

16,253,144

4,422,079

28,790,315

1,188,782

30,037,528

5,111,725

10,103,450

2,762,758

11,701,999

357,596

Cash and due from banks..................................................................................................

United States Government obligations..........................................................................

Other securities......................................................................................................................

Loans and discounts.............................................................................................................

All other assets......................................................................................................................

Liabilities and capital— to ta l........................................................................................... 209,712,780

190,786,522 

189,690,432

51,096,090

3,372,960 

15,553,298

113,819,808

103,963,387

76,155,822

27,807,565

1,657,346

8,199,075

65,855,444

59,362,059 

45,775,316

13,586,743

1,451,336 

5,042,049

30,037,528

27,461,076

17,759,294

9,701,782

264,278

2,312,174

Total deposits........................................................................................................................

Demand deposits................................................................................................................

Time and savings deposits...............................................................................................

Borrowings and other liabilities........................................................................................

Total capital accounts.........................................................................................................

Number of active officers, December 3 1 ............................................................................ 88,462

433,563

41,923

228,463

19,386

135,151

27,153

69,949

87,903

430,402

559

Number of other employees, December 31........................................................................ 3,161

Number of banks, December 31......................................................................................... 13,218 4,651 1,807 6,760 13,101 117

Note: Due to rounding differences, earnings data of State banks may not add precisely to the indicated totals.

1 Includes banks operating less than full year and a few banks which engage primarily in fiduciary business.

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.

Back figures, 1934-1955: See Table 108, pp. 116-117, the Annual Report for 1955, pp. 138-139, and earlier reports. bOEARNINGS, EXPENSES, AND DIVIDENDS OF INSURED BANKS

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
BY CLASS OF BANK

Table 111. R a t io s o f E a r n in g s , E x p e n ses, an d D iv id e n d s o f In s u r e d C o m m e rc ia l B a n k s in t h e

U n it e d St a t e s (C o n t in e n t a l U . S. a n d O t h e r A r e a s ), 1956

Total

Members F. R . System N ot 

members 

F. R .

System

Earnings or expense item

National State

Amounts per $100 of current operating earnings $100.00 $100.00 $100.00 $100.00

18.57 19.24 16.18 21.0 1

5.12 5.28 4.70 5.39

61.03 61.56 60.83 59.65

5.33 5.51 4.41 6.56

2.33 1.83 2.29 4.06

7.62 6.58 11.59 3.33

61.63 60.93 59.88 67.38

29.53 28.64 29.69 32.18

11.14 11.40 9.47 13.56

2.60 2.78 2.26 2.62

1.77 1.83 1.46 2.19

16.59 16.28 17.00 16.83

38.37 39.07 40.12 32.62

Amounts per $100 of total assets1

3.45 3.36 3.42 3.84

2.13 2.05 2.05 2.59

1.32 1.31 1.37 1.25

Recoveries transfers from reserve accounts, and profits— total ............................................................................ .12 .10 .16 .08

Losses charge-offs and transfers to reserve accounts— total .......................................................................... .47 .47 .52 .38

.97 .94 1.0 1 .95

.58 .57 .58 .63

Memoranda

Recoveries credited to reserve accounts (not included in recoveries above):

(2) (2) (2) (2)

.02 .02 .01 .02

Losses charged to reserve accounts (not included in losses above):

.05 .05 .06 .01

.06 .06 .06 .05

FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
A m ou n ts per $100 o f tota l capital a ccou n ts 1

Net current operating earnings.................................................................................................

Recoveries, transfers from reserve accounts, and profits— total......................................

Losses, charge-offs, and transfers to reserve accounts— total...........................................

Net profits before income taxes.................................................................................................

Taxes on net income.....................................................................................................................

N et profits after income taxes...................................................................................................

Cash dividends declared..............................................................................................................

Net additions to capital from profits.......................................................................................

^ M em oranda

Recoveries credited to reserve accounts (not included in recoveries above):

On securities...............................................................................................................................

On loans.......................................................................................................................................

Losses charged to reserve accounts (not included in losses above):

On securities...............................................................................................................................

On loans.......................................................................................................................................

Special ratios 1

Income on loans per $100 of loans . .........................................................................................

Income on U. S. Government obligations per $100 of U. S. Government obligations

Income on other securities per $100 of other securities......................................................

Service charges per $100 of demand deposits........................................................................

Interest paid per $100 of time and savings deposits...........................................................

Assets and liabilities per $100 o f total assets1

Assets— t o ta l................................................................................................................................

Cash and due from banks.......................................................................................................

United States Government obligations...............................................................................

Other securities....................................... ..................................................................................

Loans and discounts.................................................................................................................

All other assets..........................................................................................................................

L iabilities and ca p ita l— t o ta l...............................................................................................

Total deposits.............................................................................................................................

Demand deposits.....................................................................................................................

Time deposits........................................................................................................... ’ ............

Borrowings and other liabilities................................................................................. ..........

Total capital accounts.............................................................................................................

Number of banks, December 31...............................................................................................

17.84 18.21 17.96 16.29

1.61 1.45 2 .12 1.05

6.39 6.54 6.82 4.92

13.06 13.12 13.26 12.42

5.24 5.25 5.70 4.19

7.82 7.87 7.56 8.23

3.96 4.01 4.32 3.03

3.86 3.86 3.24 5.20

.02 .04 (8> .01

.27 .33 .17 .31

.61 .69 .73 .12

.79 .82 .83 .65

5.11 5.14 4.77 5.89

2.31 2.30 2.25 2.40

2.29 2.24 2.40 2.25

.28 .28 .22 .43

1.58 1.57 1.57 1.61

100.00 100.00 100.00 100.00

21.81 22.33 23.08 17.02

27.78 28.03 24.68 33.63

7.71 7.90 6.71 9.20

41.15 40.24 43.72 38.96

1.55 1.50 1.81 1.19

100.00 100.00 100.00 100.00

90.97 91.34 90.14 91.42

66.61 66.91 69.51 59.12

24.36 24.43 20.63 32.30

1.61 1.46 2.20 .88

7.42 7.20 7.66 7.70

13,218 4,651 1,807 6,760

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.

* Less than .005.

Back figures, 1934-1955: See Table 109, pp. 118-119, the Annual Report for 1955, pp. 140-141, and earlier reports.

to

coE A R N IN G S, E X P E N SE S, AND DIVIDENDS OF INSURED B A N K S

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Federal Reserve Bank of St. Louis
Table 112, E a r n in g s , E x p e n s e s , an d D iv id e n d s o f In su r e d C o m m e rc ia l B a n k s O p e r a tin g T h r o u g h o u t 1956

in t h e U n it e d St a t e s (C o n t in e n t a l U . S. a n d O t h e r A r e a s )

b a n k s gro u p e d a c co r d in g to a m o u n t o f d e p o sit s

Banks with deposits of— *

Earnings or expense item All

banks1 Less

than

$1 ,000,000

$1 ,000,000

to

$2 ,000,000

$2 ,000,000

to

$5,000,000

$5,000,000

to

$10 ,000,000

$10 ,000,000

to

$25,000,000

$25,000,000

to

$50,000,000

$50,000,000

to

$100,000,000

$100,000,000

to

$500,000,000

$500,000,000

or

more

C u rren t op eratin g earnings— t o ta l.............. 7,162,228 47,752 160,515 529,974

(Amount

565,686

s in thousand 

787,339

Is of dollars) 

546,803 539,843 1,475,561 2,508,756

Interest on U. S. Government obligations.. . 1,329,704 10,487 38,110 125,768 128,237 171,310 116,415 105,965 261,159 372,254

Interest and dividends on other securities. . . 367,450 1,686 6,846 29,660 34,561 42,991 28,787 27,491 70,350 125,080

Interest and discount on loans........................ 4,314,788 29,360 96,199 312,237 328,908 453,041 311,581 315,064 882,060 1,586,339

Service charges and fees on bank’s loans----- 73,244 251 592 2,591 3,805 7,374 4,994 6,257 12,881 34,500

Service charges on deposit accounts............... 382,894 2,195 7,775 30,140 39,894 60,475 39,184 34,227 71,621 97,382

Other service charges, commissions, fees, 

and collection and exchange charges......... 167,636 3,048 8,298 19,041 14,945 19,305 12,272 11,765 29,395 49,567

299,964 39 200 954 3,637 12,832 14,990 20,482 89,353 157,478

Other current operating earnings.................... 226,550 687 2,495 9,583 11,699 20,010 18,581 18,594 58,744 86,158

C u rren t op eratin g expenses— to ta l.............. 4,409,292 32,250 105,530 348,226 374,084 525,718 362,530 352,928 910,600 1,397,425

Salaries— officers.................................................. 713,342 13,180 36,069 94,077 79,823 92,138 56,647 52,534 124,205 164,668

Salaries and wages— employees....................... 1,356,018 4,127 16,587 69,302 90,567 145,494 106,841 110,919 309,146 503,036

Fees paid to directors and members of executive, discount, and other committees........ 42,268 940 3,097 9,531 7,367 7,464 3,363 2,596 4,451 3,461

Interest on time and savings deposits........... 800,140 4,407 18,189 69,009 76,808 104,371 72,085 59,134 138,914 257,224

Interest and discount on borrowed m oney. . 45,270 41 123 546 618 1 , 1 1 1 1,457 2,675 10,362 28,336

Taxes other than on net incom e...................... 186,104 1,405 4,851 15,229 16,208 20,952 15,096 15,254 40,294 56,816

Recurring depreciation on banking house, 

furniture and fixtures..................................... 126,935 730 3,010 11,947 13,666 19,529 12,613 11,608 25,643 28,187

Other current operating expenses.................... 1,139,219 7,422 23,605 78,585 89,028 134,659 94,430 98,210 257,585 355,696

N et cu rren t operatin g earn in g s..................... 2,752,938 15,502 54,985 181,748 191,601 261,620 184,271 186,916 564,961 1,111.333

R ecoveries, transfers fro m reserve a c ­

cou n ts, and profits— to ta l........................ 239.459 1,230 3,541 10,155 9,436 13,084 10,714 9,465 46,193 135,639

On securities:

Recoveries.......................................................... 12,987 40 113 753 1,096 912 1,779 740 4,989 2,565

Transfers from reserve accounts................. 35,991 3 75 197 607 1,207 1,162 1,10 2 12,198 19,442

Profits on securities sold or redeemed. . . . 30,876 36 2 1 1 894 1,301 1,528 1,215 2 ,10 1 6,843 16,747

On loans:

20,349 907 2,231 4,916 3,191 2,574 1,370 686 2,023 2,453

Transfers from reserve accounts................. 77,421 77 183 939 1,246 2,318 1,692 2,435 12,484 56,047

61,835 169 728 2,457 1,996 4,545 3,497 2,402 7,658 38,385

L osses, ch arge-off8, an d transfers to re ­

serve a ccou n ts— t o t a l................................. 987,624 3,180 11.951 47,550 60,779 90,175 70,793 67,002 204,161 432,035

On securities:

Losses and charge-offs.................................... 314,204 372 2,422 16,834 25,143 37,879 28,912 22,792 69,607 110,244

Transfers to reserve accounts...................... 101,623 139 463 1.330 1,498 3,133 2,535 4,654 15,664 72,209

On loans;

Losses and charge-offs.................................... 31,755 1,506 3,890 7,779 5,005 3,169 1,179 575 1,402 7,247

Transfers to reserve accounts...................... 451,240 783 3,302 15,372 22,015 36,164 31,138 31,614 97,597 213,260

88,804 382 1,875 6,236 7,118 9,830 7,030 7,367 19,892 29,076

DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
N et profits b efore in co m e taxes.....................

Taxes o n n e t in co m e — t o ta l............................

Federal....................................................................

State........................................................................

N et profits after in co m e taxes........................

D ividends an d in terest o n ca p ita l— t o t a l ..

Dividends declared on preferred stock and 

interest on capital notes and debentures.. 

Cash dividends declared on common stock..

N et a d d ition s to ca p ita l fro m p ro fits ..........

2,004,771 13,553 46,575 144,353 140,259 184,529 124,194 129,379 406,992 814,937

805,626

761,715

43,911

3,700

3,545

155

13,119

12,571

547

43,588

42,006

1,582

49,249

47,697

1,552

72,110

69,802

2,309

50,659

49,127

1,533

53,061

51,037

2,024

174,537

167,303

7,236

345,601

318,628

26,973

1,199,146 9,852 33,456 100,766 91,010 112,419 73,534 76,319 232,455 469,336

612,055

2,387

609,669

3,440

7

3,434

11,517

23

11,494

36,526

94

36,432

35,769

84

35,685

46,974

250

46,725

33,491

206

33,285

36,493

550

35,942

118,577

1,175

117,402

289.269

289.269

587,091 6,412 21,940 64,240 55,241 65,446 40,044 39,826 113,878 180,066

' M em oranda

Recoveries credited to reserve accounts (not 

included in recoveries above):

On securities..........................................................

On loans.................................................................

Losses charged to reserve accounts (not included in losses above):

On securities..........................................................

On loans.................................................................

2,846

42,600

95,471

123,319

232

1

451

*8

942

60

1,914

55

3,727

238

7,787

82

4,549

670

9,471

17

5,258

1,869

11,679

57

3,372

1,779

8,290

23

3,274

5,549

8,349

751

6,945

16,942

17,808

1,853

14,303

68,365

57,574

Assets and liabilities7

Assets— t o ta l...........................................................

Cash and due from banks.................................

United States Government obligations.........

Other securities....................................................

Loans and discounts...........................................

All other assets.....................................................

L iabilities and capital— to ta l..........................

Total deposits.......................................................

Demand deposits...............................................

Time and savings deposits..............................

Borrowings and other liabilities......................

Total capital accounts........................................

215,388,851

48,274,049

57,721,093

15,948,275

89,893,937

3,551,497

1,278,201

281,656

443,688

75,274

470,011

7,572

4,491,759

919,444

1,612,080

314,678

1,611,442

34,115

15,304,399

3,055,213

5,304,817

1,378,393

5,419,250

146,726

16,309,124

3,186,379

5,464,056

1,637,117

5,832,840

188,732

22,435,817

4,398,420

7,322,692

2,078,961

8,329,277

306,467

15,923,960

3,231,470

5,088,221

1,338,560

6,030,958

234,751

15,871,886

3,518,087

4,677,789

1,253,924

6,181,152

240,934

44,674,956

10,988,283

11,468,614

2,977,819

18,538,770

701,470

79,098,749

18,695,097

16,339,136

4,893,549

37,480,237

1,690,730

215,388,851

195,896,830

148,948,518

51,948,812

3,569,403

15,922,618

1,278,201

1,136,518

867,225

269,293

2,838

138,845

4,491,759

4,050,200

2,882,408

1,167,792

13,841

427,718

15,304,399

13,969,122

9,455,959

4,518,168

60,598

1,274,679

16,309,124

14,988,817

9,834,342

5,154,475

100,138

1,220,169

22,435,817

20,678,880

13,481,208

7,197,672

198,383

1,558,554

15,923,960

14,706,814 

9,898,879

U,812,935

167,409 

1,049,737

15,871,886

14,641,959

10,706,060

3,935,899

186,827

1,043,100

44,674,956

41,027,278 

81,950,459

9,076,819

582,012 

3,065,666

79,098,749

70,697,242

54,876,978

15,820,264

2,257,357

6,144,150

Number of active officers, December 3 1 ...........

Number of other employees, December 3 1 . ...

87,903

430,402

3,673

2,427

7,795

7,979

16,375

28,426

11,397

33,474

11,223

51,145

6,279

36,518

5,383

37,230

11,399

97,142

14,379

136,061

Number of banks, December 31.......................... 13,101 1,606 2,758 4,345 2,144 1,369 433 209 192 45

NoteJ Due to rounding^ differences, components may not add precisely to the indicated totals.

1 This group of banks is the same as the group shown in Table 110 under the heading “ Operating throughout the year.”

* Asset and liability items are as of December 31, 1956.

Back figures, 194.1-1955: See the Annual Report for 1955, pp. 142-143, and earlier reports. t3

EARNINGS. EXPENSES, AND DIVIDENDS OF INSURED BANKS

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
BANKS GROUPED ACCORDING TO AMOUNT OF DEPOSITS Cft

Table 113. R a t io s o f E a r n in g s , E x p e n s e s , an d D iv id e n d s o f In s u r e d C o m m e rc ia l B a n k s O p e r a tin g T h r o u g h o u t 1956

in t h e U n it e d St a t e s (C o n t in e n t a l U . S. a n d O t h e r A r e a s ) hBanks with deposits of— 2

Earnings or expense item Ail

banks1 Less

than

$1 ,000,000

$1 ,000,000

to

$2 ,000,000

$2 ,000,000

to

$5,000,000

$5,000,000

to

$10 ,000,000

$10 ,000,000

to

$25,000,000

$25,000,000

to

$50,000,000

$50,000,000

to

$100,000,000

$100,000,000

to

$500,000,000

$500,000,000

or

more

A m ou n ts per $100 o f cu rren t 

op eratin g earnings 

C u rren t op era tin g earnings— to ta l.............. $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00 $100.00

Interest on U . S. Government obligations.. 18.56 21.96 23.74 23.73 22.67 21.76 21.29 19.63 17.70 14.84

Interest and dividends on other securities. . . 5.13 3.53 4.27 5.60 6 .11 5.46 5.26 5.09 4.77 4.98

61.27 62.01 60.30 59.40 58.82 58.48 57.90 59.52 60.65 64.61

Service charges on deposit accounts............... 5.35 4.60 4.84 5.69 7.05 7.68 7.17 6.34 4.85 3.88

Other service charges, commissions, fees,

and collection and exchange charges......... 2.34 6.38 5.17 3.59 2.64 2.45 2.24 2.18 1.99 1.98

Other current operating earnings.................... 7.35 1.52 1.68 1.99 2.71 4.17 6.14 7.24 10.04 9.71

C urren t operatin g expenses— t o ta l.............. 61.56 67.54 65.74 65.71 66.13 66.77 66.30 65.38 61.71 55.70

Salaries, wages, and fees................................... 29.48 38.21 34.73 32.63 31.42 31.13 30.51 30.76 29.67 26.75

Interest on time and savings deposits........... 11.17 9.23 11.33 13.02 13.58 13.26 13.18 10.95 9.41 10.25

Taxes other than on net incom e...................... 2.60 2.94 3.02 2.87 2.86 2.66 2.76 2.83 2.73 2.27

Recurring depreciation on banking house,

furniture and fixtures..................................... 1.77 1.53 1.88 2.26 2.42 2.48 2.31 2.15 1.74 1.12

Other current operating expenses.................... 16.54 15.63 14.78 14.93 15.85 17.24 17.54 18.69 18.16 15.31

N et cu rren t operatin g ea rn in g s..................... 38.44 32.46 34.26 34.29 33.87 33.23 33.70 34.62 38.29 44.30

A m ou n ts per $100 o f tota l assets2

Current operating earnings— total......................

Current operating expenses— total......................

3.33 3.73 3.57 3.46 3.47 3.51 3.43 3.40 3.30 3.17

2.05 2.52 2.35 2.27 2.29 2.34 2.27 2.22 2.04 1.76

N et current operating earnings............................ 1.28 1 .2 1 1.22 1.19 1.18 1.17 1.16 1.18 1.26 1.41

Recoveries, transfers from reserve accounts,

and profits— total............................................ .1 1 .10 .08 .06 .05 .05 .07 .06 .10 .17

Losses, charge-offs, and transfers to reserve

.46 .25 .26 .31 .37 .40 .45 .42 .45 .55

Net profits before income taxes........................... .93 1.06 1.04 .94 .86 .82 .78 .82 .91 1.03

N et profits after income taxes.............................. .56 .77 .74 .66 .56 .50 .46 .48 .52 .59

M em oran da

Recoveries credited to reserve accounts (not 

included in recoveries above):

On securities.................................... ..................... (3) (*) (8) (3) (*) (*) (*)

.02

(3)

.02

(3)

.02 .02 .03 .02 .02 .02 .02 .02

Losses charged to reserve accounts (not included in losses above):

.04 (3) (3) (3) (3) .01 .01 .03 .04 .09

.06 .04 .04 .05 .06 .05 .05 .05 .04 .07

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
A m ou n ts per $100 o f to ta l cap ital 

a ccou n ts 2

N et current operating earnings............................

Recoveries, transfers from reserve accounts,

and profits— total............................................

Losses, charge-offs, and transfers to reserve

accounts— total................................................

Net profits before income taxes...........................

Taxes on net incom e...............................................

Net profits after income taxes..............................

Cash dividends declared.........................................

N et additions to capital from profits.................

17.29

1.50

6.20

12.59

5.06

7.53

3.84

3.69

11.16

.89

I 2.29 

9.76 

2.66

7.10 

2.48 

4.62

12.85

.83

2.79

10.89

3.07

7.82

2.69

5.13

14.26

.80

3.73

11.33

3.42

7.91

2.87

5.04

15.70

.78

4.98

11.50

4.04

7.46

2.93

4.53

16.79

.84

5.79

11.84

4.63

7.21

3.01

4.20

17.55

1.02

6.74

11.83

4.83

7.00

3.19

3.81

17.92

.91

6.42

12.41

5.09

7.32

3.50

3.82

18.43

1.51

6.66

13.28

5.70 

7.58 

3.87

3.71

18.09

2.20

7.03

13.26

5.62

7.64

4.71

2.93

M em oran d a

Recoveries credited to reserve accounts (not 

included in recoveries above):

On securities..........................................................

On loans.................................................................

.02

.27 .17

(3)

.22

(*)

.29

.01

.37

(»)

.34

.01

.32

(*)

.31

.02

.23

.03

.23

Losses charged to reserve accounts (not included in losses above):

On securities.......................................................... .60 (3) .01 .02 .05 .12 .17 .53 .55 1 .1 1 On loans................................................................. .77 .32 .45 .61 .78 .75 .79 .80 .58 .94

S pecial ratios2

Income on loans per $100 of loans...................... 4.88 6.30 6.01 5.81 5.70 5.53 5.25 5.20 4.83 4.32

Income on U . S. Government obligations per

$100 of U. S. Government obligations___ 2.30 2.36 2.36 2.37 2.35 2.34 2.29 2.27 2.28 2.28

Income on other securities per $100 of other

securities............................................................. 2.30 2.24 2.18 2.15 2 . 1 1 2.07 2.15 2.19 2.36 2.56

Service charges per $100 of demand deposits.. .27 .25 .27 .32 .41 .45 .40 .32 .22 .18

Interest paid per $100 of time and savings

deposits............................................................... 1.54 1.64 1.56 1.53 1.49 1.45 1.50 1.50 1.53 1.63

Assets a n d liabilities per $100 o f 

to ta l assets2

Assets— t o ta l........................................................... 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

Cash and due from banks................................. 22.41 22.04 20.47 19.96 19.54 19.60 20.29 22.17 24.60 23.63

United States Government obligations......... 26.80 34.71 35.89 34.66 33.50 32.64 31.95 29.47 25.67 20.66

Other securities..................................................... 7.40 5.89 7.01 9.01 10.04 9.27 8.41 7.90 6.66 6.19

Loans and discounts........................................... 41.74 36.77 35.87 35.41 35.76 37.12 37.87 38.94 41.50 47.38

All other assets..................................................... 1.65 .59 .76 .96 1.16 1.37 1.48 1.52 1.57 2.14

Liabilities and capital— t o ta l.......................... 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

Total deposits....................................................... 90.95 88.92 90.17 91.28 91.90 92.17 92.36 92.25 91.84 89.38

Demand deposits............................................... 66.83 67.85 61*.17 61.79 60.30 60.09 62.13 67.1*5 71.52 69.38

Time deposits.................................................... 21*.12 21.07 26.00 29.1*9 SI.60 32.08 S0.23 2I*.80 20.32 20.00

Borrowings and other liabilities...................... 1.66 .22 .31 .39 .62 .88 1.05 1.18 1.30 2.85

Total capital accounts........................................ 7.39 10.86 9.52 8.33 7.48 6.95 6.59 6.57 6.86 7.77

Number of banks, December 3 1 .......................... 13,101 1,606 2,758 4,345 2,144 1,369 433 209 192 45

1 This group of banks is the same as the group shown in Table 110 under the heading “ Operating throughout the year.” These ratios differ slightly from the ratios for all insured 

commercial banks shown in Tables 109 and 1 1 1 .

2 Asset and liability items are as of December 31, 1956.

1 Less than .005.

Back figures, 191*1-1955: See the Annual Report for 1955, pp. 144-145, and earlier reports.

E A R N IN G S, E X P E N SE S, AND DIVIDENDS OF INSURED B A N K S

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
(Amounts in thousands of dollars) ___________________________________________________________________________________________ i

T a b l e 1 1 4 . E a r n i n g s , E x p e n s e s , a n d D iv id e n d s o f I n s u r e d C o m m e r c ia l B a n k s in t h e

U n it e d St a t e s (C o n t in e n t a l U . S. a n d O t h e r A r e a s ), b y S t a t e , 1956

Earnings or expense Item

U . S.

(continental 

U . S .a n d 

other 

areas)

Other areas

Continental

United

States

Alabama Arizona Arkansas California Colorado Connecticut

Alaska Puerto

Rico Other1

C u rren t op era tin g earnings— to ta l.............. 7,231,921 6,658 11,759 2,424 7,211,080 64,138 37,359 37,017 811,064 63,844 88,758

Interest on U . S. Government obligations.. 1,342,842 1,316 738 479 1,340,309 11,698 4,849 7,260 126,062 12,686 15,110

Interest and dividends on other securities.. 370,045 272 788 125 368,860 4,170 1,710 2,971 35,525 1,811 4,267

Interest and discount on loans......................... 4,339,866 3,361 8,027 1,374 4,327,104 39,005 23,978 20,943 512,802 38,399 49,991

Service charges and fees on bank's loans----- 73,562 310 282 37 72,933 366 909 83 19,481 729 472

Service charges on deposit accounts............... 385,927 463 312 162 384,990 3,666 2,875 2,210 57,769 5,561 5,605

Other service charges, commissions, fees,

and collection and exchange charges.......... 168,497 745 1,417 176 166,159 1,905 899 2,297 15,213 1,311 1,756

322,117 51 8 322,058 1,478 715 339 24,473 2,027 8,422

Other current operating earnings.................... 229,068 140 189 70 228,669 1,851 1,424 914 19,738 1,323 3,136

C u rren t op era tin g expenses— t o ta l.............. 4,457,198 4,508 9,331 1,900 4,441,459 38,402 26,076 23,381 512,827 39,909 59,431

Salaries— officers.................................................. 720,866 893 1,325 276 718,372 8,263 4,063 5,986 60,915 7,714 10,008

Salaries and wages— employees........................ 1,372,262 1,569 2,739 553 1,367,401 11,065 8,986 5,593 166,238 11,913 19,354

Fees paid to directors and members of executive, discount, and other com m ittees.. . . 42,614 26 113 42 42,433 490 62 565 1,054 540 561

Interest on time and savings deposits........... 805,857 501 1,813 431 803,112 5,420 3,452 2,987 145,956 7,017 8,457

Interest and discount on borrowed m o n e y .. 45,392 171 3 45,218 146 57 38 4,211 353 467

Taxes other than on net incom e.................... 187,526 122 557 44 186,803 730 687 945 19,355 805 1,851

Recurring depreciation on banking house,

furniture and fixtures..................................... 128,085 224 319 62 127,480 1,355 1,066 819 10,926 961 1,656

Other current operating expenses.................... 1,154,600 1,174 2,295 489 1,150,642 10,930 7,704 6,449 104,173 10,607 17,078

N et cu rren t op era tin g e a rn in g s ..................... 2,774,724 2,151 2,428 524 2,769,621 25,737 11,282 13,635 298,237 23,935 29,326

R ecoveries, transfers fro m reserve a c ­

co u n ts, a n d profits— to ta l........................ 250,171 137 60 58 249,916 1,051 516 771 17,755 1,246 1,215

On securities:

Recoveries.......................................................... 14,090 14,090 9 7 2,060 137 106

Transfers from reserve accounts................. 41,001 14 1 40,986 66 51 6,971 69

Profits on securities sold or redeemed. . . . 31,151 4 20 31,127 2 2 1 96 65 2,033 75 139

On loans:

Recoveries.......................................................... 20,762 48 32 20,682 285 36 432 614 657 123

Transfers from reserve accounts................. 77,606 23 13 24 77,546 152 300 89 1,128 144 326

65,563 49 27 1 65,486 320 84 127 4,949 234 452

L osses, ch arge-offs, an d transfers to re ­

serve a ccou n ts— t o ta l................................. 993,534 935 295 91 992,213 7,779 2,289 4,642 67,482 7,853 11,375

On securities:

Losses and charge-offs.................................... 317,381 313 1 1 317,066 3,104 974 2,480 13,346 1,801 2,549

Transfers to reserve accounts...................... 101,830 26 37 101,767 27 76 18,526 10 634

On loans:

Losses and charge-offs.................................... 32,018 66 23 15 31,914 437 18 353 1,026 662 265

Transfers to reserve accounts...................... 452,940 521 107 30 452,282 3,472 1,099 1,420 28,650 3,694 5,748

All other................................................................. 89,369

1 8 5

138 9 89,187 740 198 814 5,936 1,686 2,179

N et profits before in com e taxes..................... 2,031,360 | 1,352 2,193 491 2,027,324! 19,008 9,509 9,765 248.509 17,328 19,167

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Taxes o n n et in com e— t o ta l............................

Federal....................................................................

State........................................................................

N et profits after in com e taxes........................

D ividends and interest o n cap ital— t o ta l..

Dividends declared on preferred stock and 

interest on capital notes and debentures.. 

Cash dividends declared on common s to c k ..

N et a d d ition to capital fro m p rofits ...........

814,636

769,843

44,793

559

549

10

286

190

96

150

150

813,641

768,954

44,687

7,372

6,618

754

4,147

3,894

253

2.871

2.871

110,603

102,422

8,181

8,470

7,803

667

7,906

6,944

962

1,216,725 794 1,907 341 1,213,683 11,636 5,362 6,893 137,906 8,858 11,261

616,890

2,389

614,501

275 848 109 615,658

2,389

613,269

5,075 2,716 2,913 76,632

50

76,581

4,327 7,226

275 848 109 5,075 2,716 2,913 4,327 7,226

599,835 518 1,060 232 598,025 6,561 2,646 3,980 61,275 4,530 4,035

M em oran da 

Recoveries credited to reserve accounts (not 

included in recoveries above):

On securities.......................................................... 3,332

42,717

95,505

123,529

3,332

42,338

95,470

123,073

5 

12 2

6

514

692

4,998

21,353

9,851

6

1,166

14

2,090

On loans.................................................................

Losses charged to reserve accounts (not included in losses above):

On securities..........................................................

139 234 6

35

33

394

4

884

649 396

704 On loans................................................................. 259 164 940 1,236

Average assets and liabilities 3

Assets— t o ta l...........................................................

Cash and due from banks.................................

United States Government obligations.........

Other securities.....................................................

Loans and discounts............................................

All other assets.....................................................

Liabilities and capital— t o ta l..........................

Total deposits.......................................................

Time and savings deposits..............................

Borrowings and other liabilities.......................

Total capital accounts........................................

209,712,780

45,728,691

58,257,149

16,179,498

86,291,628

3,255,814

143,019

28,252

57,276

12,531

42,518

2,442

248,281

38,038

35,785

33,701

131,742

9,015

61,620

11,017

20,125

4,264

24,895

1,319

209,259,860

45,651,384

58,143,963

16,129,002

86,092,473

3,243,038

1,819,710

434,991

502,111

196,770

662,704

23,134

862,210

153,765

212,738

72,571

399,105

24,031

1,111,958

282,868

305,624

123,069

388,863

11,534

20,954,173

3,666,228

5,503,842

1,599,630

9,812,153

372,320

1,726,031

414,184

533,635

79,021

682,633

16,558

2,370,858

483,679

673,151

242,876

936,937

34,215

209,712,780

190,786,522 

189,690,*32

51,096,090

3,372,960 

15,553,298

143,019

135,475

85,750

*9,725

626

6,918

248,281

218,369 

116,*67

101,902

10,297 

19,615

61,620

56,594

28,628

27,966

577

4,449

209,259,860

190,376,084 

139,*59,587

50,916,*97

3,361,460 

15,522,316

1,819,710

1,666,042

1,303,8*8

362,19*

15,450

138,218

862,210

791,405 

58*,623

206,782

13,423 

57,382

1,111,958

1,019,393

8*3,660

175,733

4,013

88,552

20,954,173

19,150,275 

10,8*3,836

8,306,*39

497,102 

1,306,796

1,726,031

1,589,975 

1,199,*06

390,569

15,975 

120,081

2,370,858 

2,169,417 

1,66*,*56

50*,961

26,508 

174,933

Number of active officers, December 3 1 ...........

Number of other employees, December 3 1 ... .

88,462

433,563

79

389

236

1,205

39

206

88,108

431,763

1,146

4,132

467

2,870

1,016

2,169

7,086

46,491

1,005

3,991

1,027

6,258

Number of banks, December 31.......................... 13,218 12 7 5 13,194 237 9 231 132 156 85

Note: Due to rounding differences, components may not add precisely to the indicated totals.

1 Includes 3 banks in Hawaii, and 2 banks in the Virgin Islands, not members of the Federal Reserve System.

* Asset and liability items are averages of figures reported at beginning, middle, and end of year, adjusted to exclude data for 2 insured branches as of December 31, 1956 in 

Guam of an insured bank in California and insured branches (12 as of December 31, 1956, 12 as of June 30, 1956, and 9 as of December 31, 1955) in Puerto Rico of insured banks 

In New York; earnings data of these branches are not available.

Back figures, 19*6-1955: See the Annual Report for 1955, pp. 146-155, and earlier reports. CO

EARNINGS, EXPENSES, AND DIVIDENDS OF INSURED BANKS

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 114. E a r n in g s , E x p e n ses, an d D iv id en d s o f In s u r e d C o m m e rc ia l B a n k s in t h e

U n ite d S t a t e s ( C o n t in e n t a l U . S. an d O th e r A r e a s ), b y S t a t e , 1956—Continued

(Amounts in thousands of dollars)

Earnings or expense item Delaware District of 

Columbia Florida Georgia Idaho Illinois Indiana Iowa Kansas Kentucky Louisiana

C u rren t op eratin g earnings— t o ta l.............. 25,078 49,580 129,416 103,516 22,646 501,602 147,025 97,968 68,870 69,998 88,659

Interest on U. S. Government obligations. . 4,288 10,421 30,303 14,787 4,794 130,227 40,794 22,322 16,376 15,487 20,865

Interest and dividends on other securities. . 875 1,660 6,079 4,128 635 32,115 5,480 4,967 5,204 2,835 5,426

Interest and discount on loans......................... 14,596 27,987 69,162 64,226 14,276 265,839 81,506 58,575 37,804 43,152 48,831

Service charges and fees on bank’s loans. . . . 343 486 2,145 1,286 324 4,813 730 319 418 584 419

Service charges on deposit accounts............... 525 3,443 10,929 6,284 1,582 20,746 6,867 6,198 5,005 2,665 5,198

Other service charges, commissions, fees,

and collection and exchange charges......... 177 1,517 3,662 5,444 415 7,239 3,270 2,641 1,326 914 3,753

3,993 2,880 2,910 3,196 113 28,301 3,633 952 654 2,752 897

Other current operating earnings.................... 280 1,186 4,227 4,167 509 12,322 4,744 1,996 2,083 1,609 3,270

C u rren t op era tin g expenses— t o ta l.............. 13,713 31,917 81,179 69,793 14,461 293,627 95,014 61,439 42,813 41,363 55,578

Salaries— officers.................................................. 2,757 5,060 13,715 12,866 3,113 47,982 17,291 16,490 12,023 9,537 10 ,12 1

Salaries and wages— employees....................... 4,699 10,670 25,092 18,562 3,846 88,388 26,764 13,868 10,280 10,996 15,666

Fees paid to directors and members of executive, discount, and other committees. . . . 215 341 990 925 93 2,744 1,346 724 710 793 795

Interest on time and savings deposits........... 1,346 5,128 10,857 9,110 3,153 56,872 16,723 11,285 5,240 4,920 6,721

Interest and discount on borrowed m oney. . 118 169 308 495 5 5,142 187 284 90 273 642

Taxes other than on net incom e.................... 349 1,967 2,284 4,231 271 11,890 6,503 2,088 1,929 2,612 4,701

Recurring depreciation on banking house,

furniture and fixtures..................................... 495 1,12 2 4,139 2,488 539 5,975 2,568 1,580 1,071 1,177 1,676

Other current operating expenses.................... 3,735 7,462 23,795 21,116 3,444 74,634 23,634 15,121 11,470 11,056 15,257

N et cu rren t op era tin g e a rn in g s ..................... 11,364 17,662 48,237 33,723 8,186 207,974 52,010 36,528 26,057 28,634 33,082

R ecoveries, transfers fro m reserve a c ­

co u n ts, and profits— t o ta l........................ 882 296 1,169 1,120 110 17,985 6,285 2,273 1,382 926 3,572

On securities:

Recoveries ....................................... 354 51 62 3 3,030 1,726 510 49 32 131

Transfers from reserve accounts . . . . 2 28 2 5,994 2,039 28 43 22 1,489

Profits on securities sold or redeemed. . . . 67 23 194 315 23 2,661 222 305 76 144 148

On loans:

18 63 151 359 35 1,096 605 403 867 239 191

Transfers from reserve accounts . . . 373 42 202 78 1,278 862 350 103 290 635

68 169 542 306 49 3,926 833 677 244 200 979

L osses, ch arge-offs, and transfers to reserve a ccou n ts— t o ta l................................. 2,786 3,358 13,226 12,711 4,205 88,119 23,121 10,922 6,907 7,488 9,917

On securities:

Losses and charge-offs.................................... 657 862 4,454 7,560 2,269 41,427 9,991 6,316 2,354 2,340 2,157

Transfers to reserve accounts . . . . . . . . 332 238 92 158 6 ,2 11 2,028 32 1 1 1 1,0 2 1 1,510

On loans:

Losses and charge-offs.................................... 37 12 1 455 498 89 1,045 761 794 1,392 524 480

Transfers to reserve accounts...................... 1,528 1,933 7,496 3,251 1,236 32,368 6,173 2,905 1,845 2,887 4,349

233 203 728 1,243 611 7,069 4,168 875 1,205 716 1,421

N et profits b efore in co m e taxes..................... 9,459 14,601 36,181 22,134 4,091 137,840 35,174 27,880 20,533 22,072 26,737

DEPOSIT INSURANCE C O R P O R A T IO N

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Taxes o n n e t in co m e — t o ta l............................

Federal....................................................................

State........................................................................

4.285

4.285

6.893

6.893

13.758

13.758

8.796

8.796

2,329

2,088

240

49.024

49.024

13.779

13.779

9.449

9.449

6.758

6.758

8.290

8.290

9.604

9.604

N et profits after in co m e tax es ........................

D ividen ds and in terest o n ca p ital— t o ta l..

Dividends declared on preferred stock and 

interest on capital notes and debentures. . 

Cash dividends declared on common stock. .

N et a d d ition to ca p ita l fro m p ro fits ...........

5,174 7,708 22,422 13,338 1,762 88,817 21,396 18,430 13,775 13,782 17,133

3.199

3.199

4.449

4.449

6,677

10

6,667

7.456

7.456

1.536

1.536

35,642

68

35,574

7,582

8

7,573

6,794

28

6,766

4,352

3

4,349

5,313

4

5,309

4,956

1

4,955

1,975 3,259 15,745 5,882 227 53,175 13,814 11,637 9,423 8,469 12,177

M em oran da 

Recoveries credited to reserve accounts (not 

included in recoveries above):

On securities.......................................................... 12

389

51

2,083

27

2,881

4,769

11,520

4

1,023

2,623

2,046

3

576

1,437

140

328

2,173

736

12

236

689

816

On loans.................................................................

Losses charged to reserve accounts (not included in losses above):

On securities..........................................................

On loans.................................................................

151

371

473

110

362

302

749

23

1,271

58

1

172

824

16

1,257

Average assets and liabilities 1

Assets— t o ta l...........................................................

Cash and due from banks.................................

United States Government obligations.........

Other securities....................................................

Loans and discounts............................................

All other assets.....................................................

L iabilities and capital— t o ta l..........................

Total deposits.......................................................

Demand deposits...............................................

Time and savings deposits..............................

Borrowings and other liabilities.......................

Total capital accounts........................................

670,916

111,652

217,765

26,946

304,790

9,763

1,512,398

349,720

462,578

66,087

606,745

27,268

3,736,264

935,095

1,258,569

267,084

1,211,589

63,927

2,564,625

644,274

619,668

158,150

1,103,531

39,002

574,119

98,999

194,927

26,233

246,693

7,267

16,803,274

3,601,648

5,659,618

1,454,788

5,969,097

118,123

4,491,031

943,614

1,756,385

267,633

1,478,124

45,275

2,835,419

536,877

895,636

252,598

1,129,205

21,103

2,102,568

488,337

671,924

245,832

680,594

15,881

2,144,369

529,830

687,963

109,295

799,395

17,886

2,820,718

747,050

883,730

244,565

906,951

38,422

670,916

601,033

489,467

111,566

7,435

62,448

1,512,398

1,389,882

1,068,887

320,995

15,198

107,318

3,736,264

3,467,899

2,737,815

780,584

33,984

234,381

2,564,625

2,333,310

1,870,184

463,126

31,717

199,598

574,119

537,651

867,998

169,658

3,632

32,836

16,803,274

15,536,575

11,336,242

4,200,338

139,108

1,127,591

4,491,031

4,165,424

2,977,377

1,188,047

35,422

290,185

2,835,419

2,602,972

1,899,268

703,704

7,329

225,118

2,102,568

1,938,943

1,640,657

298,286

8,020

155,605

2,144,369

1,960,366

1,610,106

350,260

15,199

168,804

2,820,718

2,621,792

2,199,541

422,251

26,944

171,982

Number of active officers, December 3 1 ...........

Number of other employees, December 3 1 . ...

298

1,562

457

3,271

1,798

9,200

1,758

6,380

364

1,369

5,325

26,665

2,353

9,311

2,452

5,334

1,979

3,946

1,624

4,330

1,198

5,400

Number of banks, December 3 1 .......................... 27 17 256 352 33 922 463 622 548 352 179

Note: Due to rounding differences, components may not add precisely to the indicated totals.

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.

Back figures, 1946-1955: See the Annual Report for 1955, pp. 146-155, and earlier reports.

EARNINGS, EXPENSES, AND DIVIDENDS OF INSURED BANKS

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
T a b l e 1 1 4 . E a r n in g s , E x p e n se s, an d D iv id e n d s o f I n s u r e d C o m m e r cia l B a n k s in t h e

U n it e d S t a t e s (C o n t in e n t a l U. S. a n d O t h e r A r e a s ), b y S ta te , 1956—Continued

(Amounts in thousands of dollars)

Earnings or expense item Maine Maryland Massachusetts Michigan M innesota Mississippi Missouri Montana Nebraska Nevada New

Hampshire

C u rren t op eratin g earnings— t o ta l.............. 23,420 70,539 201,225 292,347 142,829 39,313 181,665 28,782 50,874 13,048 13,236

Interest on U. S. Government obligations.. 4,192 16,248 29,920 70,285 26,187 7,202 37,516 6,408 11,674 2,699 2,037

Interest and dividends on other securities.. 845 3,241 7,386 14,340 7,428

83,413

3,737 9,710 1,497 2,566 418 611

Interest and discount on loans......................... 15,255 39,964 118,251 170,952 21,476 113,951 16,287 29,966 7,848 8,628

Service charges and fees on bank’s loans___ 109 295 900 2,124

15,012

1,129 10 1 666 401 96 481 59

Service charges on deposit accounts............... 1,484 5,365 12,451 8,726 2,173 8 ,110 2,174 3,181 741 1,147

Other service charges, commissions, fees, 

and collection and exchange charges.......... 428 1,399 6,247 6,059 8,539 3,209 2,826 864 1,139 226 240

Trust department................................................ 647 1,883 17,048 8,166 3,815 267 4,467 133 636 356 173

Other current operating earnings.................... 459 2,145 9,024 5,410 3,594 1,151 4,421 1,017 1,615 281 341

C u rren t op eratin g expenses— t o ta l.............. 16,180 44,886 118,648 187,817 92,618 26,155 105,115 17,991 31,131 8,438 8,922

Salaries— officers.................................................. 2,472 6,470 18,930 24,474 19,978 6,280 20,348 3,686 9,225 1,496 1,532

Salaries and wages— employees....................... 4,595 14,312 42,581 61,706 24,078 6,598 31,548 4,599 7,891 2,830 2,144

Fees paid to directors and members of executive, discount, and other com m ittees.. . . 231 640 1,001 1,477 1,287 470 1,324 158 579 15 159

Interest on time and savings deposits........... 3,586 7,825 9,906 39,611 18,346 2,754 14,394 2,476 1,800 1,696 1,891

Interest and discount on borrowed m oney.. 57 300 945 1,605 1,438 71 775 66 394 1 51

Taxes other than on net incom e.................... 684 2,375 4,383 9,393 1,873 1,620 3,812 1,783 1,203 407 294

Recurring depreciation on banking house, 

furniture and fixtures..................................... 421 1,455 4,344 5,270 1,919 807 3,358 503 888 273 278

Other current operating expenses.................... 4,135 11,507 36,560 44,283 23,701 7,555 29,559 4,719 9,149 1,719 2,576

N et cu rren t op era tin g ea rn in g s ..................... 7,240 25,653 82,578 104,530 50,211 13,160 76,550 10,791 19,744 4,611 4,313

R ecoveries, transfers from reserve a c ­

co u n ts, an d profits— t o ta l........................ 508 886 11,192 10,921 2,853 1,178 4,928 1,640 1,299 45 254

On securities:

R ecoveries........................................................ 43 55 799 133 413 148 1 12 141 2 2 1 54

Transfers from reserve accounts.................

Profits on securities sold or redeemed. . . . 68

300

86

1,326

447

1,255

927

512

260

243

55

561

1,160

312

63

18

52 9

25

66

On loans:

Recoveries.......................................................... 82 116 650 255 910 289 588 777 355 1 36

Transfers from reserve accounts................. 34 124 3,945

4,025

6,807

1,545

69 146 2,096

411

261 172 12

All other................................................................. 281 206 688 298 85 480 35 61

Losses, ch arge-offs, and transfers to re ­

serve a ccou n ts— t o ta l................................. 2,648 7,606 33,784 39,418 15,297 5,512 21,800 5,682 6,484 542 1,686

On securities:

Losses and charge-offs.................................... 951 3,777 11,269 12,485 7,821 2,019 10,424 2,123 2,580 134 806

Transfers to reserve accounts...................... 8 198 1,277

105

3,974

827

97 476 1,651

888

801 424 110

On loans:

Losses and charge-offs.................................... 72 115 960 349 666 574 1 61

Transfers to reserve accounts...................... 1,235 2,524 14,802 19,125 4,680 2,058 6,167 1,751 1,944 330 520

All other................................................................. 383 992 6,332 3,006 1,739 610 2,670 340 961 77 189

N et profits before in com e tax es ..................... 5,099 18,934 59,985 76,034 37,766 8,826 59,679 6,748 14,558 4,115 2,880

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Taxes o n n e t in co m e — t o ta l............................

Federal....................................................................

2.167

2.167

7.807

7.807

25,928

21,805

4,123

28.391

28.391

14,694

12,522

2,172

2.265

2.265

24,502

23,662

840

2,915

2,854

61

5.481

5.481

1.961

1.961

927

927

N et profits after in co m e taxes ........................

D ividen ds and in terest o n ca p ita l— t o ta l. .

Dividends declared on preferred stock and 

interest on capital notes and debentures.. 

Cash dividends declared on common stock ..

N et a d d ition to ca p ita l fro m p ro fits ...........

2,933 11,127 34,058 47,643 23,072 6,561 35,177 3,833 9,077 2,154 1,953

1,589

5

1,584

5,373

13

5,360

20,297

14

20,283

19,631

124

19,507

11,068

11,068

2,692

20

2,672

13,985

34

13,951

2.432

2.432

3,848

1

3,847

1.196

1.196

833

833

1,345 5,754 13,762 28,012 12,004 3,869 21,192 1,401 5,229 958 1,121

M em oran da 

Recoveries credited to reserve accounts (not 

included in recoveries above):

On securities.......................................................... 43

1,232

1,813

3,897

719

1,893

4,464

6,219

35

347

71

577

13

1,183

2,601

1,902

On loans.................................................................

Losses charged to reserve accounts (not included in losses above):

On securities..........................................................

104

4

388

191

148

584

543

10

987

291 588

841

1,199

97 51

On loans................................................................. 553 284 141

Average assets and liabilities1

Assets— t o t a l...........................................................

Cash and due from banks.................................

United States Government obligations.........

Other securities.....................................................

Loans and discounts............................................

All other assets.....................................................

L iabilities and ca p ita l— t o ta l..........................

Total deposits........................................................

Demand deposits...............................................

Time and savings deposits..............................

Borrowings and other liabilities.......................

Total capital accounts........................................

587,182

104,978

175,425

39,885

257,841

9,053

2,158,384

455,540

721,696

157,493

790,939

32,716

5,336,845

1,196,781

1,298,435

330,691

2,417,472

93,466

8,372,555

1,506,158

2,987,287

680,213

3,097,438

101,459

3,806,038

773,611

1,068,041

329,961

1,593,953

40,472

1,080,304

252,480

283,650

154,946

375,546

13,682

5,826,527

1,456,185

1,634,505

417,838

2,261,327

56,672

749,056

154,153 

256,507 

j 61,987 

267,342 

9,067

1,567,761

364,658

508,192

129,378

552,621

12,912

318,384

48,798

113,616

17,898

131,659

6,413

333,276

69,669

84,973

26,186

148,765

3,683

587,182

530,807

814,804

216,003

5,801

50,574

2,158,384

1,990,620

1,460,566

530,054

17,270

150,494

5,336,845

4,767,267

4,048,936

718,331

102,109

467,469

8,372,555

7,741,770

4,578,400

3,163,370

112,152

518,633

3,806,038

3,475,328

2,357,808

1,117,520

49,250

281,460

1,080,304

995,207

814,091

181,116

5,002

80,095

5,826,527

5,364,272

4,355,782

1,008,490

56,322

405,933

749,056

702,471

555,265

147,206

6,557

40,028

1,567,761

1,432,327

1,273,405

158,922

13,577

121,857

318,384

295,295

197,374

97,921

3,702

19,387

333,276

297,905

210,536

87,369

2,527

32,844

Number of active officers, December 31...........

Number of other employees, December 3 1 ... .

375

1,816

957

5,165

2,048

14,737

2,555

18,440

2,889

8,549

942

2,462

2,904

11,301

503

1,656

1,402

2,957

204

857

246

833

Number of banks, December 31........................ 51 149 167 401 672 193 588 113 382 6 62

Note: Due to rounding differences, components may not add precisely to the indicated totals.

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.

Back figures, 1946-1955: See the Annual Report for 1955, pp. 146-155, and earlier reports.

EARNINGS. EXPENSES, AND DIVIDENDS OF INSURED BANKS

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
(Amounts in thousands of dollars) 00

___________________________________ _____________________________________________________________________________________________________________________ ^

Table 114. E a r n in g s , E x p e n se s, an d D iv id e n d s o f In s u r e d C o m m e rc ia l B a n k s in t h e

U n ite d S t a t e s ( C o n t in e n t a l U . S. an d O t h e r A r e a s ), b y S t a t e , 1956— C o n tin u e d

Earnings or expense item New

Jersey

New

Mexico

New

York

North

Carolina

North

Dakota Ohio Oklahoma Oregon Pennsylvania Rhode

Island

South

Carolina

C u rren t op era tin g earnings— t o ta l..............

Interest on U. S. Government obligations.. 

Interest and dividends on other securities..

Interest and discount on loans.........................

Service charges and fees on bank’s loans. . . .

Service charges on deposit accounts...............

Other service charges, commissions, fees, 

and collection and exchange charges.........

Other current operating earnings....................

227,102

45,249

16,949

131,392

1,273

15,923

3,061

7,012

6,243

20,822

4,608

430

12,589

167

1,661

691

174

501

1,393,402

191,597

65,078

866,420

14,173

51,792

31,002

114,674

58,669

97,904

15,150

6,186

58,049

1,203

5,257

6,408

2,946

2,705

21,528

5,070

987

11,148

140

1,377

2,256

88

463

353,363

81,931

18,770

200,729

3,279

17,757

5,765

13,100

12,034

82,846

16,037

4,591

50,100

317

6,066

1,318

777

3,640

73,522

11,811

4,184

46,257

622

6,086

1,363

1,621

1,579

502,372

85,680

32,706

306,221

3,063

17,549

7,184

34,648

15,322

34,147

4,908

1,542

21,359

23

1,505

314

2,816

1,680

33,623

6,910

2,058

18,462

85

2,688

2,279

541

600

C u rren t op era tin g expenses— t o ta l..............

Salaries— officers..................................................

Salaries and wages— employees.......................

Fees paid to directors and members of executive, discount, and other committees. . . .

Interest on time and savings deposits...........

Interest and discount on borrowed m oney. .

Taxes other than on net in com e..................

Recurring depreciation on banking house,

furniture and fixtures.....................................

Other current operating expenses....................

161,109

21,730

47,732

1,957

37,081

721

8,104

5,891

37,894

13,744

2,698

4,178

132

1,877

18

695

680

3,467

793,547

99,474

288,130

4,494

116,566

15,010

20,870

17,772

231,231

61,571

12,460

17,386

546

9,779

710

1,835

2,077

16,780

12,870

3,427

2,972

148

2,165

24

361

320

3,452

217,856

30,288

62,655

2,097

45,589

1,774

16,565

5,660

53,229

49,273

12,090

13,249

546

5,556

624

1,032

1,919

14,259

47,315

8,033

14,535

172

12,004

290

1,166

1,560

9,555

303,455

46,280

92,870

4,311

53,894

3,570

13,359

10,320

78,851

22,391

2,693

6,822

2 2 1

5,215

128

1,268

664

5,378

20,538

4,802

6,316

294

1,747

39

387

761

6,192

N et cu rren t op era tin g e a rn in g s ..................... 65,993 7,077 599,856 36,333 8,657 135,508 33,573 26,208 198,918 11,756 13,085

R ecoveries, transfers fro m reserve a c ­

cou n ts, and profits— to ta l........................

On securities:

Recoveries ..............................

5,359

338

219 93,358

444

2,885

89

382

85

8,197

752

1,541

9

819

157

20,115

583

1,934 194

2

Transfers from reserve accounts ............... 928 12,007 5 30 998 78 888 719 3

Profits on securities sold or redeemed. . . . 

On loans:

Trflnsfors from rcs^rvG sccounts ...............

1,126 25 13,393 678 34 1,146 104 341 1,778 8 22

751

1,325

892

99

17

2,331

34,770

30,413

297

1,298

518

80

28

478

3,817

894

217

36 886

11,562

12

1,156

73

10

77 126 1,006 239 284 4,417 39 85

L osses, ch arge-offs, an d transfers to re ­

serve a ccou n ts— t o ta l.................................

On securities:

Losses and charge-offs....................................

T’l'Qncforo f a voQPfVP flPPftUDtR

25,927

7,506

925

2,559

390

272,513

73,718

21,176

7,198

157,081

13,341

12,318

5,608

62

3,055

1,321

34

41,855

9,937

6,953

598

21,342

3,025

8,342

3,319

108

4,031

1,382

77,312

13,872

26,176

1,000

28,058

8,206

6,456

2,764

3,449

1,232

444

On loans:

Losses and charge-offs....................................

Transfers to reserve accounts......................

463

14,438

2,595

312

1,467

389

284

5,400

965

119

1,051

531

1,331

3,009

575

39

2,296

315

47

2,863

783

106

1,311

357

N et profits before in co m e tax es ..................... 45,425 4,737 420,701 26,900 5,984 101,850 26,773 22,995 141,720 7,232 9,829

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Taxes o n n et in co m e — t o ta l............................

Federal..............................................................

State........................................................................

14.669

14.669

1,866

1,866

185,967

163,861

22,106

10,193

9,857

336

2,160

2,056

104

40.324

40.324

10,026

9,341

685

10,358

8,549

1,808

47.842

47.842

2,514

2,293

2 2 1

4,061

3,774

287

N et profits after in co m e taxes ........................

D ividends and interest o n cap ital— t o ta l..

Dividends declared on preferred stock and 

interest on capital notes and debentures. . 

Cash dividends declared on common stock. .

N et a d d ition to capital fro m p rofits ...........

30,755 2,871 234,733 16,707 3,824 61,527 16,748 12,637 93,879 4,718 5,769

14,809

623

14,186

1,116

1

1,116

158,982

1,154

157,828

6,117

1

6,116

1.914

1.914

24,247

19

24,228

6.148

6.148

6,188

6,188

51,053

15

51,039

2.545

2.545

2,622

1

2,621

15,946 1,755 75,751 10,591 1,910 37,278 10,599 6,449 42,826 2,173 3,148

M emoranda 

Recoveries credited to reserve accounts (not 

included in recoveries above):

On securities..................................................... 4

1,719

1,036

3,003

955

7,689

8,135

37,073

382

1,267

10,177

2,602

31

1,958

28,582

8,037

On loans.................................... ...............

Losses charged to reserve accounts (not included in losses above):

On securities.....................................................

273

125

863

266

42

682

184 478 395 134 123

116

364 On loans............................................................ 270 765 1,156 945

Average assets an d liab ilities 1

Assets— t o t a l...........................................................

Cash and due from banks...............................

United States Government obligations.........

Other securities................................................

Loans and discounts........................................

All other assets.................................................

L iabilities and capital— t o ta l..........................

Total deposits...................................................

Demand deposits...............................................

Time and savings deposits..................

Borrowings and other liabilities.....................

Total capital accounts........................

6,411,964

1,073,667

1,956,943

770,274

2,513,479

97,601

572,246

154,925

191,005

21,860

196,578

7,878

42,369,022

10,026,317

8,866,062

2,731,865

19,788,576

956,202

2,625,174

620,900

642,520

280,083

1,044,245

37,426

543,944

84,016

205,209

46,432

202,030

6,257

10,707,156

2,148,939

3,480,019

810,326

4,140,024

127,848

2,437,339

685,088

664,298

220,513

839,708

27,732

1,946,779

319,977

565,995

187,828

840,005

32,974

14,043,320

2,804,231

3,663,493

1,320,090

6,034,471

221,035

884,894

143,187

219,808

70,216

436,135

15,548

911,591

219,867

280,380

87,646

313,018

10,680

6,411,964

5,910,756

3,552,061

2,358,695

58,842

442,366

572,246

537,349

1*19,71*6

117,603

3,481

31,416

42,369,022

37,469,170

30,822,688

6,61*6,1*82

1,365,813

3,534,039

2,625,174

2,367,284

1,810,502

556,782

59,439

198,451

543,944

499,206

366,897

132,309

4,552

40,186

10,707,156

9,874,914

6,1*92,525

3,382,389

101,134

731,108

2,437,339 

2,231,040 

1,931,198

299,81*2

16,456 

189,843

1,946,779

1,776,338

1,111,21*5

665,093

31,306

139,135

14,043,320

12,494,802

8,763,730

3,731,072

202,812

1,345,706

884,894

805,387

510,21*7

295,11*0

12,364

67,143

911,591

835,574

713,193

122,381

6,683

69,334

Number of active officers, December 3 1 ...........

Number of other employees, December 3 1 ... .

2,524

15,086

347

1,480

8,401

77,568

1,632

6,309

539

1,207

3,628

19,909

1,798

4,769

1,093

4,382

5,630

30,062

287

2,384

714

2,362

Number of banks, December 31.......................... 273 52 472 213 149 615 378 49 778 8 139

Note: Due to rounding differences, components may not add precisely to the indicated totals.

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.

Back figures, 194.6-1955: See the Annual Report for 1955, pp. 146-155, and earlier reports.

05

O i EARNINGS, EXPENSES, AND DIVIDENDS OF INSURED BANKS

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
(Amounts in thousands of dollars) CO 

_________________________________________________________________________________________________________________________________________________________ O i

Table 114. E a r n in g s , E x p e n se s, an d D iv id e n d s o f In s u r e d C o m m e rc ia l B a n k s in t h e

U n ite d S t a t e s ( C o n t in e n t a l U . S. an d O t h e r A r e a s ), b y S t a t e , 1956— C o n tin u e d

Earnings or expense item South

Dakota Tennessee Texas Utah Vermont Virginia W ashington West

Virginia Wisconsin Wyoming

C u rren t op eratin g earn in gs— t o ta l.............. 24,507 99,518 340,218 32,878 14,235 109,677 101,771 43,084 128,248 12,500

Interest on U. S. Government obligations.. 5,889 16,705 56,474 5,960 2,232 19,794 14,469 11,246 32,879 3,014

Interest and dividends on other securities. . 931 4,825 16,906 1,12 2 693 4,652 5,545 1,669 6,885 519

Interest and discount on loans......................... 13,517 66,979 217,719 20,626 9,582 69,928 63,292 25,070 73,521 7,083

Service charges and fees on bank’s loans___ 182 578 2,894 1,176 137 812 1,152 381 889 126

Service charges on deposit accounts............... 1,565 2,978 17,557 1,809 841 6,197 9,793 1,442 6,596 862

Other service charges, commissions, fees,

and collection and exchange charges......... 1,816 2,680 5,237 1,014 197 2,386 2,792 933 2,126 428

Trust department................................................ 155 1,923 5,921 693 293 3,630 2,455 1,128 2,077 66

Other current operating earnings.................... 452 2,851 17,512 476 261 2,276 2,276 1,218 3,277 402

C u rren t op era tin g expenses— to ta l.............. 15,455 64,094 211,975 21,158 10,433 71,353 67,525 25,188 83,902 7,883

Salaries— officers.................................................. 4,366 11,197 43,302 3,290 1,519 12,409 11,094 4,943 17,622 1,865

Salaries and wages— employees....................... 3,474 16,305 57,534 5,523 2,172 18,818 22,107 6,507 21,272 1,982

Fees paid to directors and members of executive, discount, and other com m ittees.. . . 293 587 2,466 248 2 12 1,031 278 487 1,492 136

Interest on time and savings deposits........... 2,635 14,041 22,403 5,877 3,816 16,384 12,617 4,784 18,601 1,557

Interest and discount on borrowed m oney. . 56 523 1,576 92 34 386 254 70 613 28

Taxes other than on net incom e.................... 357 3,801 17,314 294 199 3,101 1,763 1,072 1,923 316

Recurring depreciation on banking house,

furniture and fixtures..................................... 431 1,996 8,287 523 298 2,867 2,560 967 2,461 339

Other current operating expenses.................... 3,844 15,645 59,093 5,314 2,184 16,357 16,851 6,359 19,917 1,660

N et cu rren t op era tin g e a rn in g s ..................... 9,052 35,424 128,243 11,720 3,802 38,323 34,246 17,897 44,347 4,618

R ecoveries, transfers fro m reserve a c ­

c o u n ts, and profits— t o ta l........................ 528 2,546 8,639 633 298 2,348 2,900 633 1,814 323

On securities:

Recoveries.......................................................... 31 88 86 3 4 197 429 19 383 5

Transfers from reserve accounts ............... 45 1,062 2,035 680 12 6 137

Profits on securities sold or redeemed 44 614 537 84 57 444 169 67 449 13

On loans:

Recoveries.......................................................... 225 193 2,907 412 49 193 73 178 122 168

Transfers from reserve accounts................. 48 173 826 19 69 330 1,623 55 140 42

135 417 2,249 115 118 503 595 310 583 96

L osses, ch arge-offs, and transfers to re ­

serve a ccou n ts— t o ta l................................. 2,964 10,437 40,483 3,881 1,395 11,299 13,551 4,081 20,462 1,207

On securities:

Losses and charge-offs.................................... 867 3,070 8,150 1,651 499 4,697 3,192 1,737 12,716 409

Transfers to reserve accounts...................... 10 685 1,385 39 2 ,1 1 2 1,504 45 91

On loans:

Losses and charge-offs.................................... 458 515 4,756 127 58 336 124 153 113 200

Transfers to reserve accounts...................... 1,443 5,119 21,385 1,986 659 3,335 5,940 1,635 6,828 452

All other................................................................. 188 1,048 4,807 117 141 821 2,791 511 714 146

N et profits before in com e taxes..................... 6,614 27,533 96,399 8,472 2,703 29,372 23,595 14,449 25,699 3,735

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Taxes o n n et in co m e — t o t a l............................

Federal....................................................................

State........................................................................

2,440

2,316

124

11,195

11,0 12

184

37.433

37.433

3,785

3,612

173

848

754

94

10.775

10.775

9.525

9.525

6.315

6.315

8,264

7,951

313

1.715

1.715

N et profits after in co m e tax es ........................

D ividends an d in terest o n ca p ita l— t o t a l ..

Dividends declared on preferred stock and 

interest on capital notes and debentures.. 

Cash dividends declared on common stock ..

N et a d d ition to ca p ita l fro m p ro fits ...........

4,175 16,337 58,966 4,687 1,856 18,597 14,071 8,134 17,436 2,020

1,895

2

1,893

7.398

7.398

30.200

30.200

2,069

5

2,064

866

33

833

8,069

50

8,019

6.995

6.995

3,235

1

3,234

8,523

94

8,429

882

6

876

2,280 8,939 28,766 2,617 989 10,526 7,076 4,899 8,913 1,138

M em oran da 

Recoveries credited to reserve accounts (not 

included in recoveries above):

On securities.......................................................... 116

3,571

28

7,252

130

414

1,609

1,002

5

634

5

1,1 1 2

On loans.................................................................

Losses charged to reserve accounts (not included in losses above):

On securities..........................................................

195 406

224

1,016

153 81

7

183

548

2,277

1,246

159 127

On loans.................................................................. 353 339 287 174

Average assets and liabilities1

Assets— t o ta l...........................................................

Cash and due from banks.................................

United States Government obligations.........

Other securities.....................................................

Loans and discounts...........................................

All other assets.....................................................

Liabilities an d capital— t o ta l..........................

Total deposits.......................................................

Demand de-posits...............................................

Time and savings deposits..............................

Borrowings and other liabilities.......................

Total capital accounts........................................

625,108

109,344

239,390

39,469

230,996

5,909

2,857,155

737,239

713,422

199,003

1,166,474

41,017

10,718,412

3,215,735

2,463,866

639,067

4,174,083

225,661

879,461

185,205

255,959

48,362

378,453

11,482

348,629

50,222

91,084

30,404

172,224

4,695

2,942,795

621,959

849,009

205,195

1,220,019

46,613

2,587,730

540.179

617.180 

227,295

1,162,752

40,324

1,228,810

267,995

465,378

73,963

406,629

14,845

4,023,781

752,485

1,407,363

318,159

1,503,437

42,337

357,597

84,085

133,389

21,328

115,125

3,670

625,108

575,049

425,643

149,406

3,735

46,324

2,857,155

2,623,983

1,899,925

724,058

28,864

204,308

10,718,412

9,877,058

8,426,490

1,450,568

89,953

751,401

879,461

816,602

542,328

274,274

8,684

54,175

348,629 

313,089 

131,746

181,343

2,873 

32,667

2,942,795

2,689,851

1,743,136

946,715

30,702

222,242

2,587,730

2,378,538

1,669,412

709,126

28,884

180,308

1,228,810

1,104,452

789,900

314,552

10,506

113,852

4,023,781

3,729,854

2,286,084

1,443,770

21,174

272,753

357,597

330,165

247,058

83,107

2,475

24,957

Number of active officers, December 3 1 ...........

Number of other employees, December 3 1 . ...

703

1,355

1,718

6,140

5,535

19,860

433

1,977

247

817

1,836

6,985

1,306

6,864

730

2,295

2,371

7,850

258

650

Number of banks, December 31.......................... 171 290 917 47 60 312 90 178 545 53

Note: Due to rounding differences, components may not add precisely to the indicated totals.

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.

Back figures, 1946-1955: See the Annual Report for 1955, pp. 146-155, and earlier reports. ^

COEARNINGS, EXPENSES, AND DIVIDENDS OF INSURED BANKS

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 115. I n co m e , E x p e n s e s , a n d D iv id e n d s o f I n s u r e d M u t u a l S a v in g s B a n k s, 1951-1956

(Amounts in thousands of dollars)

Sources and disposition of income 1951 1952 1953 1954 1955 1956

CO

00

Current operating income— total.........................................

Interest on U. S. Government obligations.......................... .

Interest and dividends on other securities............................

Interest and discount on real estate mortgage loans—net. . 

Interest and discount on real estate mortgage loans— gross.

Less: Mortgage servicing fees...................................................

Premium amortization.....................................................

Interest and discount on other loans and discounts—net..

Income on real estate other than bank building—net.........

Income on real estate other than bank building— gross...........

Less: Operating expense..............................................................

Income on other assets...........................................................

Income from service operations..............................................

Current operating expense—total...........................................................................................................

Salaries—officers...........................................................................................................................................

Salaries and wages—employees..................................................................................................................

Pension, hospitalization and group insurance payments, and other employee benefits......................

Fees paid to trustees and committee members.........................................................................................

Occupancy, maintenance, etc. of bank premises (including taxes and recurring depreciation)—net. 

Occupancy, maintenance, etc. of bank premises {including taxes and recurring depreciation)— gross. . 

Less: Income from bank building.......................................................................................................................

Deposit insurance assessments.

Furniture and fixtures (including recurring depreciation). 

All other current operating expense.....................................

Net current operating income..........

Franchise and income taxes—total.

State franchise and income taxes 

Federal income taxes...........................

Net current operating income after taxes.

Dividends and interest on deposits............

Net current operating income after taxes and dividends...............................................................

Non-recurring income, realized profits and recoveries credited to profit and loss, and transfers

from valuation adjustment provisions— total............................................................................

Non-recurring income..........^.....................................................................................................................

Realized profits and recoveries on:

Securities sold or matured.....................................................................................................................

Real estate mortgage loans....................................................................................................................

Other real estate.....................................................................................................................................

All other assets........................................................................................................................................

Transfers from valuation adjustment provisions1 on:

Securities..................................................................................................................................................

Real estate mortgage loans....................................................................................................................

Other real estate.....................................................................................................................................

All other assets........................................................................................................................................

513,817 

171,169 

49,630 

279,405 

291,790

6.051

6,834

3,878

163

699

536

5.052 

4,520

106,654

18,030

37,707

8,939

1,872

11,589

18,248

6,659

5,907

2,280

20,330

407,163

6.094

6.094

401,069

282,235

118,834

128,790

21,045

8,567

484

300

2,843

11,968

80,676

373

2,534

568,498

163,879

62,958

326,785

340,497

7,666

6,046

4,068 102

533

431

5,833

4,873

647,067

164,630

82,003

381,895

396,264

9,483 4,886

5,184

77

338

261

7,171

6,107

721,323

155,869 

96,205 

447,022 

461,769

11,922

2,825

6,642

206

7,746

7,753

801,682

150,657

99,190

528,426

545,841

15,623

1,792

7,322

-17

247

264

8,171

7,933

116,763

19,249

40,996

10,648

2,123

12,162

19,104

6,942

6,203

2,387

22,995

127,336

21,142

44,351

11,566

2,303

13,521

20,926

7,405

6,837

2,445

25,171

139,931

22,870

48,074

12,623

2,526

15,019

22,495

7,476

7,562

2,755

28,502

147,678

24,200

50,879

13,544

2,697

15,094

22,793

7,699

7,979

2,790

30,495

451,735 519,731 581,392 654,004

9,189

6,962

2,227

8,569

6,459

2,110

10,643

7,231

3,412

9,047

7,818

1,229

442,546 511,162 570,749 644,957

365,481 414,951 466,119 536,256

77,065 96,211 104,630 108,701

57,917

14,893

5,243

155

216

240

12,223

24,692

111

144

36,962

12,372

5,287

783

304

1,489

6,132

9,965

275

355

59,228

12,334

23,914

389

219

943

10,858

8,450

126

1,995

44,430

11,586

18,070

481

3,179

977

1,878

7,710

157

392

898,440

146,624

102,590

623,586

645,592

20,475

1,531

8,439

6

103

97

8,328

8,867

158,317

25,861

53,962

14,643

2,809

17,492

25,380

7,888

8,437

3,058

32,055

740,123

8,955

8,321

634

731,168

609,335

121,833

48,192

10,537

17,355

456

413

1,435

4,463

12,501

29

1,003

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
N on -recu rrin g expense, realized losses ch arged to profit and loss, and transfers to valuation

124,491

24,724

25,264

179

84,023

23,804

25,875

176

70,507

12,156

28,333

152

65,050

14,279

12,773

1 1 2

49

66,385

10,087

21,673

636

71,580

10,645

26,991

542

171

149

16,689

16,194

46

153

Realized losses on:

Real estate mortgage loans..................................................................................... ............................................

20 110 39 10 1

823

10,630

19,219

42

200 62 106 551

12,403

20,380

7

Transfers to valuation adjustment provisions1 on:

52,574

18,580

37

14,359

15,474

63

10,639

17,005

1 1

Real estate mortgage loans..................................................................................................................................

2,913 4,100 2,066 4,496 3,174

N et addition s to total surplus a ccou n ts fro m op eration s........................................................................ 123,133 50,959 62,666 98,808 86,746 98,445

M em oranda

Recoveries credited to valu ation a d ju stm en t provisions1 (n ot included in recoveries above) o n :

445 135 15 220

41

23

50

1,151

274 69 33 268

Other real estate......................................................................................................................................................... 1 10

All other assets............................................................................................................................................................ 105 218 1 2 24 9

Realized losses charged to valu ation a d ju stm en t provisions1 (n ot included in realized losses 

above) o n :

S ecurities..................................................................................................................................................................... 9,175

255

14,581

882

12,523

469

7,527

166

4,250

326

4,055

Real estate mortgage loans...................................................................................................................................... 318

Other real estate......................................................................................................................................................... 294 206 683 234 180

All other assets............................................................................................................................................................ 108 616 89 45 326 51

Average assets and liabilities2

Assets— to ta l.................................................................................................................................................................. 16,694,810

662,190

7,292,576

1,662,971

6,764,780

79,331

3,386

17.905.674

728,979

6,755,471

2,064,761

8,012,488

85,996

2,675

255,304

17.905.674

16,102,806

16,080,015

22,791

93,253

1,709,615

19,625,429

744,369

6,620,535

21.872.622 

874,215

6,755,391

3,015,662

10,802,477

120,350

2,957

301,570

21.872.622 

19,738,300 

19,694,981

43,319

159,912

1,974,410

22.740.783

809,152

5,993,243

3,008,656

12,467,355

130,165

2,019

330,193

22.740.783 

20,577,403 

20,525,629

51,774

199,228 

1,964,152

24.533.839

757,496

5,730,449

3,034,920

14,494,241

155,376

2,197

359,160

24.533.839

22,202,156

22,167,537

34,619

249,779

2,081,904

Cash and due from banks........................................................................................................................................

United States Government obligations................................................................................................................

Other securities........................................................................................................................................................... 2,591,176

9,288,364

102,768

2,432

275,785

19,625,429

17,718,957

17,688,777

30,180

119,359

1,787,113

Real estate mortgage loans......................................................................................................................................

Other loans and discounts........................................................................................................................................

Other real estate.........................................................................................................................................................

All other assets............................................................................................................................................................ 229,576

16,694,810

15,000,933

14,982,411

18,522

80,463

1,613,414

Liabilities and surplus a ccou n ts— to ta l............................................................................................................

Total deposits..............................................................................................................................................................

Savings and time deposits......................................................................................................................................

Demand deposits......................................................................................................................................................

Other liabilities............................................................................................................................................................

Total surplus accounts..............................................................................................................................................

Number of active officers, December 31.................................................................................................................. 1,714

11,530

1,810

11,932

1,908

12,525

1,999

13,227

2,042

13,618

2,130

Number of other employees, December 31.............................................................................................................. 13,860

Number of banks, December 31................................................................................................................................. 202 206 219 218 220 223

1 Includes “ Valuation reserves” and “ Other asset valuation provisions (direct write-downs)” .

* Asset and liability items are averages of figures reported at beginning, middle, and end of year.

Back figures, 1934-1950: Data for 1934-1950, which however are not comparable with figures for 1951-1956, may be found in the following Annual Reports: 1950, pp. 272-273, 

and 1941, p. 173.

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 116. R a t i o s o f I n c o m e , E x p e n s e s , a n d D iv id e n d s o f I n s u r e d M u t u a l S a v in g s B a n k s , 1951-1956

S ources an d d isp osition o f in co m e 1951 1952 1953 1954 1955 1956

A m ou n ts per $100 o f cu rren t op era tin g in co m e 

C u rren t op eratin g in co m e — to ta l..................................................................................................................................... $100.00

33.31

$100.00

28.83

$100.00

25.44

$100.00

21.61

$100.00

18.79

$100.00

16.32

11.42

69.41

.94

.92

.99

Interest on U. S. Government obligations.......................................................................................................................

Interest and dividends on other securities........................................................................................................................ 9.66 11.07 12.67 13.34 12.37

Interest and discount on real estate mortgage loans— n et........................................................................................... 54.38 57.48 59.02 61.97 65.92

Interest and discount on other loans and discounts— net............................................................................................ .75 .72 .80 .92 .91

Income on other assets........................................................................................................................................................... 1.02 1.04 1 .1 2 1.09 1.02

Income from service operations........................................................................................................................................... .88 .86 .95 1.07 .99

C u rren t operatin g expense— to ta l.................................................................................................................................... 20.76 20.54 19.68 19.40 18.42 17.62

2.88

6.00

1.63

.31

1.95

.94

.34

3.57

Salaries— officers.................................................. .................................................................................................................... 3.51 3.39 3.27 3.17 3.02

Salaries and wages— employees............................................................................................................................................ 7.34 7.21 6.85 6.67 6.35

Pension, hospitalization and group insurance payments, and other employee benefits....................................... 1.74 1.87 1.79 1.75 1.69

Fees paid to trustees and committee members............................................................................................................... .36 .37 .35 .35 .34

Occupancy, maintenance, etc. of bank premises (including taxes and recurring depreciation)— net................ 2.26 2.14 2.09 2.08 1.88

Deposit insurance assessments ........................................................................................................................................... 1.15 1.09 1.06 1.05 .99

Furniture and fixtures (including recurring depreciation)............................................................................................ .44 .42 .38 .38 .35

All other current operating expense................................................................................................................................... 3.96 4.05 3.89 3.95 3.80

N et cu rren t operatin g in c o m e ............................................................................................................................................ 79.24 79.46 80.32 80.60 81.58 82.38

Franchise and in com e taxes— t o ta l.................................................................................................................................. 1.18 1.62 1.32 1.47 1.13 1.00

.93

.07

State franchise and income taxes........................................................................................................................................ 1.18 1.23 1.00 1.00 .98

Federal income taxes............................................................................................................................................................... .39 .32 .47 .15

N et cu rren t operatin g in com e after taxes.................................................................................................................... 78.06 77.84 79.00 79.13 80.45 81.38

D ividends and interest on d ep osits.................................................................................................................................. 54.93 64.29 64.13 64.62 66.89 67.82

N et cu rren t operatin g in com e after taxes and d ivid en d s...................................................................................... 23.13 13.55 14.87 14.51 13.56 13.56

FEDERAL DEPOSIT INSURANCE CORPORATION

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
A m ou n ts per $100 o f tota l assets1

Current operating income— total............................................................................................................................................

Current operating expense— total...........................................................................................................................................

Net current operating incom e..................................................................................................................................................

State franchise and income taxes............................................................................................................................................

Net current operating income after taxes.............................................................................................................................

Dividends and interest on deposits.........................................................................................................................................

Net current operating income after taxes and dividends.................................................................................................

Non-recurring income, realized profits and recoveries credited to profit and loss, and transfers from valuation

adjustment provisions*— total..............................................................................................................................................

Non-recurring expense, realized losses charged to profit and loss, and transfers to valuation adjustment provisions2— total.......................................................................................................................................

Net additions to total surplus accounts from operations.............................................................

Special ratios1

Interest on U. S. Government obligations per $100 of U. S. Government obligations........

Interest and dividends on other securities per $100 of other securities....................................

Interest and discount on real estate mortgage loans per $100 of real estate mortgage loans 

Interest and discount on other loans and discounts per $100 of other loans and discounts.

Dividends and interest on deposits per $100 of savings and time deposits.............................

Net additions to total surplus accounts from operations per $100 of total surplus accounts

Assets a n d liabilities per $100 o f tota l 

A ssets— t o ta l...................................................................

Cash and due from banks..........................................

United States Government obligations..................

Other securities.............................................................

Real estate mortgage loans.......................................

Other loans and discounts.........................................

Other real estate...........................................................

All other assets..............................................................

L iabilities and surplu s a ccou n ts— t o ta l.............

Total deposits................................................................

Savings and time deposits........................................

Demand deposits........................................................

Other liabilities.............................................................

Total surplus accounts................................................

Number of banks, December 31..................................

3.08 3.17 3.30 3.30 3.53 3.66

.64 .65 .65 .64 .65 .64

2.44 2.52 2.65 2.66 2.88 3.02

.04 .05 .05 .05 .04 .04

2.40 2.47 2.60 2.61 2.84 2.98

1.69 2.04 2 . 1 1 2.13 2.36 2.48

.71 .43 .49 .48 .48 .50

.77 .32 .19 .27 .19 .19

.74 .47 .36 .30 .29 .29

.74 .28 .32 .45 .38 .40

2.35 2.43 2.49 2.31 2.51 2.56

2.98 3.05 3.16 3.19 3.30 3.38

4.13 4.08 4.11 4.14 4.24 4.30

4.89 4.73 5.04 5.52 5.63 5.43

1.88 2.27 2.35 2.37 2.61 2.75

7.63 2.98 3.51 5.00 4.42 4.73

100.00 100.00 100.00 100.00 100.00 100.00

3.97 4.07 3.79 4.00 3.56 3.09

43.68 37.73 33.74 30.88 26.36 23.36

9.96 11.53 13.20 13.79 13.23 12.37

40.52 44.75 47.33 49.39 54.82 59.08

.48 .48 .52 .55 .57 .63

.02 .01 .01 .01 .01 .01

1.37 1.43 1.41 1.38 1.45 1.46

100.00 100.00 100.00 100.00 100.00 100.00

89.85 89.93 90.28 90.24 90.49 90.50

89.74 89.80 90.13 90.04- 90.26 90.36

.11 .13 .15 .20 .23 .14

.48 .52 .61 .73 .87 1.02

9.67 9.55 9.11 9.03 8.64 8.48

202 206 219 218 220 223

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.

2 Includes “ Valuation reserves” and “ Other asset valuation provisions (direct write-downs)” .

Back figures, 193U and 1941-1950: Data for 1934 and 1941-1950, which however are not comparable with figures for 1951-1956, may be found in the following Annual Reports: 

1950, pp. 274-275, and 1947, pp. 156-157. b p

E A R N IN G S, E X P E N SE S, AND DIVIDENDS OF INSURED B A N K S

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
D e p o s it I n s u r a n c e D is b u r s e m e n t s

Table 117.

Table 118. 

Table 119. 

Table 120.

Depositors, deposits, and disbursements in insured banks requiring disbursements 

by the Federal Deposit Insurance Corporation, 1934-1956 

Banks grouped by class of bank, year of deposit pay-off or deposit assumption, 

amount of deposits, and State

Assets and liabilities of insured banks requiring disbursements by the Federal 

Deposit Insurance Corporation, 1934-1956

Insured banks requiring disbursements by the Federal Deposit Insurance Corporation during 1956

Recoveries and losses by the Federal Deposit Insurance Corporation on principal 

disbursements for protection of depositors, 1934-1956

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Disbursements by the Federal Deposit Insurance Corporation 

to protect depositors are made when the insured deposits of banks 

in financial difficulties are paid off, or when the deposits of a failing 

bank are assumed by another insured bank with the financial aid of the 

Corporation. In deposit pay-off cases the disbursement is the amount 

paid by the Corporation on insured deposits. In deposit assumption 

cases the principal disbursement is the amount loaned to failing banks, 

or the price paid for assets purchased from them; additional disbursements are made in those cases as advances for protection of assets in 

process of liquidation and for liquidation expenses.

Noninsured bank failures

One noninsured bank failed in 1956. This was Smolan State Bank, 

Smolan, Kansas, February 17, 1956, deposits $359,664. For suspensions 

of noninsured banks in previous years see the Annual Reports of the 

Corporation as follows: 1943, p. 102; 1946, p. 167; 1947, p. 159; 1949, 

p. 187; 1950, p. 277; 1951, p. 187; 1952, p. 139; 1953, p. 131; 1954, 

p. 165; and 1955, p. 161.

Sources o f data

Insured banks: books of bank at date of closing; and books of FDIC, 

December 31, 1956.

DEPOSIT INSURANCE DISBURSEMENTS

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Federal Reserve Bank of St. Louis
Table 117. D e p o s ito r s , D e p o s its , an d D isb u r se m e n ts in In s u r e d B a n k s R e q u ir in g

D is b u r s e m e n ts b y t h e F e d e r a l D e p o s it In s u r a n c e C o r p o r a tio n , 1934-1956

b a n k s g r o u p e d b y c l a s s o f b a n k , y e a r o f d e p o s it p a y - off o r d e p o s it a s s u m p t io n , a m o u n t o f d e p o s it s, a n d s t a t e

Classification

Number of banks Number of depositors1

Deposits1

(in thousands of dollars)

Disbursements by FDIC* 

(in thousands of dollars)

Total

Deposit

pay-off

cases

Deposit

assumption

cases

Total

Deposit

pay-off

cases

Deposit

assumption

cases3

Total

Deposit

pay-off

cases

Deposit

assumption

cases

Principal disbursements Advances and 

expenses

Total

Deposit

pay-off

cases4

Deposit

assumption

cases6

Deposit

pay-off

cases8

Deposit

assumption

cases7

A ll b a n k s ...................................... 431 250 181 1,425,735 396,258 1,029,477 583,192 120,795 462,397 292,238 94,469 197,769 1,018 46,779

Class o f ban k

National banks......................... 76 23 53 305,657 61,088 244,619 123,734 24,082 99,652 56,293 17,755 38,538 209 6,180

State banks members F . R . S. 22 6 16 368,424 82,818 285,606 187,656 26,537 161,119 101,205 20,934 80,271 89 19,268

Banks not members F. R . S .. 333 2 2 1 1 1 2 751,654 252,402 499,252 271,802 70,176 201,626 134,740 55,780 78,960 720 21,331

Y ea r8

1934 9 9 15,767 15,767 1,968 1,968 941 941 46

1935............................................. 25 24 1 44,655 32,331 12,324 13,320 9,091 4,229 8,890 6,025 2,865 114 272

1936............................................. 69 42 27 89,018 43,225 45,793 27,508 11,241 16,267 14,781 8,056 6,725 67 934

1937............................................. 75 50 25 130,387 74,148 56,239 33,349 14,960 18,389 19,160 12,044 7,116 103 882

1938............................................. 74 50 24 203,961 44,288 159,673 59,684 10,296 49,388 30,479 9,092 21,387 92 4,902

1939............................................. 60 32 28 392,718 90,169 302,549 157,772 32,738 125,034 67,770 26,197 41,573 162 17,603

1940............................................. 43 19 24 256,361 20,667 235,694 142,430 5,657 136,773 74,134 4,895 69,239 89 17,234

1941............................................. 15 8 7 73,005 38,594 34,411 29,717 14,730 14,987 23,880 12,278 11,602 50 1,476

1942............................................. 20 6 14 60,688 5,717 54,971 19,185 1,816 17,369 10,825 1,612 9,213 38 1,076

1943............................................. 5 4 1 27,371 16,917 10,454 12,525 6,637 5,888 7,172 5,500 1,672 54 72

1944............................................. 2 1 1 5,487 899 4,588 1,915 456 1,459 1,503 404 1,099 9 37

1945 1 1 12,483 12,483 5,695 5,695 1,768 1,768 97

1946 1 1 1,383 1,383 347 347 265 265 1 1

1947 5 5 10,637 10,637 7,040 7,040 1,724 1,724 296

1948 3 3 18,540 18,540 10,674 10,674 2,990 2,990 199

1949 4 4 5,671 5,671 5,475 5,475 2,552 2,552 166

1950 4 4 6,365 6,365 5,502 5,502 3,986 3,986 475

1951 2 2 5,276 5,276 3,408 3,408 1,885 1,885 126

1952 3 3 6,752 6,752 3,171 3,171 1,369 1,369 178

1953 2 2 24,469 24,469 18,262 18,262 5,017 5,017 363

1954 2 2 1,807 1,807 997 997 913 913 98

1955............................................. 5 4 1 17,804 8,082 9,722 11,968 6,503 5,465 6,789 4,443 2,346 119 207

1956............................................. 2 1 1 15,130 5,454 9,676 11,280 4,702 6,578 3,445 2,982 463 75 75

B anks w ith deposits of—

$100,000 or less........................ 107 83 24 38,350 29,695 8,655 6,426 4,947 1,479 4,998 4,308 690 89 153

$100,000 to $250,000.............. 109 86 23 83,370 65,512 17,858 17,759 13,920 3,839 12,906 11,554 1,352 213 150

$250,000 to $500,000.............. 59 36 23 89,949 56,777 33,172 20,976 12,462 8,514 14,588 10,223 4,365 146 592

$500,000 to $1 ,000,000........... 63 27 ^ m 162,579 67,219 95,360 52,623 20,379 32,244 33,423 16,222 17,201 231 2,061

$1 ,000,000 to $2 ,000,000____ 42 9 8* 193,531 54,324 139,207 60,554 11,748 48,806 31,140 8,961 22,179 61 3,227

$2,000,000 to $5,000,000____ 31 7 24^ 234,992 61,560 173,432 96,749 24,695 72,054 51,917 17,525 34,392 194 5,525

«pD>UUUjUl/V tU ^Ivjvvl/jV/V/v. • • nnn non tn i n non nftO 1 1 41 -' 180 517 180,517 71,975 71,975 23,866 23,866 5,011

$10,000,000 to $25,000,000. . 5 2 3 170,119 61,171 108,948 96,712 32,644 64,068 45,747 *2*5* ,676* 20,071 84 5,341

$25,000,000 to $50,000,000. . 4 4 272,328 272,328 159,418 159,418 73,653 73,653 24,719

FEDERAL DEPOSIT INSURANCE CORPORATION

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State

Alabama..................................... 3 1 2 7,906 794 7,112 2,286 10 1 2,185 1,089 94 995 1 81

Arkansas..................................... 6 5 1 4,433 3,529 904 1,764 1,168 596 985 841 144 8 48

California................................... 2 1 1 7,519 4,350 3,169 4,791 3,713 1,078 2,984 2,123 861 50 138

Colorado..................................... 1 1 10 10 8 8 8 8 (#)

Connecticut............................... 2 2 5,379 5,379 1,526 1,526 1,242 1,242 8

Florida........................................ 2 1 1 1,642 448 1,194 491 217 274 300 203 97 3 13

9 7 2 8,387 7,773 614 1,089 998 91 915 846 69 16 32

Idaho........................................... 2 2 2,450 2,450 1,893 1,893 1,495 1,495 26

Illinois......................................... 18 6 12 43,291 5,372 37,919 27,321 1,637 25,684 9,225 1,242 7,983 30 720

Indiana....................................... 20 15 5 30,006 12,549 17,457 13,594 3,932 9,662 6,197 3,096 3,101 39 384

Iow a............................................. 6 3 3 13,665 1,676 11,989 5,516 498 5,018 1,456 385 1,071 6 113

Kansas........................................ 9 5 4 5,145 2,254 2,891 1,233 539 694 974 482 492 6 72

K entucky................................... 23 18 5 36,134 18,490 17,644 8,886 3,954 4,932 5,455 3,329 2,126 44 153

3 3 6,087 6,087 1,652 1,652 668 668 10

M aine.......................................... 1 1 9,722 9,722 5,465 5,465 2,346 2,346 207

M aryland................................... 5 2 3 22,567 6,643 15,924 4,566 828 3,738 3,109 735 2,374 9 371

Massachusetts........................... 2 2 9,046 9,046 3,019 3,019 1,564 1,564 1,030

M ichigan.................................... 8 3 5 31,663 928 30,735 13,531 160 13,371 6,289 139 6,150 1 752

Minnesota.................................. 5 5 2,650 2,650 818 818 640 640 17

Mississippi................................. 3 3 1,651 1,651 334 334 257 257 5

M issouri..................................... 46 34 12 34,929 26,760 8,169 7,149 5,116 2,033 4,981 4,335 646 79 77

M ontana..................................... 5 3 2 1,500 849 651 1,095 215 880 639 186 453 5 2 1

Nebraska.................................... 4 4 2,224 2,224 538 538 469 469 6

New Hampshire....................... 1 1 1,780 1,780 296 .........296 118 .........118 .............7

New Jersey................................ 38 1 1 27 520,380 ‘ 101,614 418,766 192,417 80,915 161,502 80,760 25,103 55,657 147 20,153

New Y ork.................................. 26 3 23 269,565 28,440 241,125 145,389 13,286 132,103 67,797 10,835 56,962 32 10,870

North Carolina......................... 7 2 5 10,408 3,677 6,731 3,266 1,421 1,845 2,387 1,156 1,231 23 181

North D akota........................... 29 18 1 1 14,103 6,760 7,343 3,830 1,552 2,278 2,656 1,397 1,259 23 203

Ohio............................................. 3 2 1 8,544 7,585 959 3,139 2,345 794 1,868 1,610 258 9 14

Oklahoma................................... 8 5 3 10,795 5,874 4,921 4,371 1,659 2,712 2,444 1,133 1,311 44 104

Oregon......................................... 1 1 2,209 2,209 1,302 1,302 962 962 81

Pennsylvania............................. 29 8 2 1 166,893 43,828 123,065 75,746 14,340 61,406 51,292 10,133 41,159 75 9,479

South Carolina.......................... 2 1 1 1,848 403 1,445 850 136 714 274 136 138 ( 9) 10

South Dakota............................ 23 22 1 12,515 11,412 1,103 2,988 2,862 126 2,412 2,388 24 27 9

Tennessee................................... 12 8 4 12,358 9,993 2,365 1,942 1,620 322 1,278 1,164 114 28 25

Texas........................................... 20 18 2 26,598 25,070 1,528 9,524 8,838 686 6,568 6,275 293 145 44

Verm ont..................................... 3 2 1 11,057 8,687 2,370 3,725 3,375 350 3,445 3,259 186 2 1 22

Virginia....................................... 8 3 5 26,041 2,964 23,077 10,756 629 10,127 4,907 511 4,396 8 505

W ashington............................... 1 1 4,179 4,179 1,536 1,536 935 935 512

West Virginia............................ 3 3 8,346 8,346 2,006 2,006 1,458 1,458 1 1 325

W isconsin................................... 31 20 1 1 26,898 18,739 8,159 9,511 5,966 3,545 7,188 5,096 2,092 56 23

W yom ing.................................... 1 1 3,212 3,212 2,033 2,033 202 202

1 Adjusted to December 31, 1956.

* Excludes $17 thousand of non-recoverable insurance expenses in cases which were resolved without payment of claims or a disbursement to facilitate assumption of deposits by 

another insured bank.

* Number of deposit accounts.

4 Includes estimated additional disbursements in active cases.

5 Excludes excess collections turned over to banks as additional purchase price at termination of liquidation.

8 None of these disbursements, which include estimated additional disbursements in active cases, are recoverable by the Corporation; they consist almost wholly of field pay-off 

expenses.

7 Includes advances to protect assets and liquidation expenses of $46,606 thousand, all of which have been fully recovered by the Corporation, and $173 thousand of non-recoverable 

expenses.

8 Disbursement totals for each year relate to cases occurring during that year and may thus contain some amounts disbursed in subsequent years for such cases.

» Less than $500.

DEPOSIT INSURANCE DISBURSEMENTS

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o>

Table 118. A s s e t s an d L ia b ilitie s o f In su re d B a n k s R e q u ir in g D is b u r s e m e n ts b y t h e

F e d e r a l D e p o s it In su ra n c e C o r p o r a tio n , 1934-19561

Year Cash and 

due from 

banks

T o t a l... . $132,953,429 $93,982,038

DEPO SIT P A Y -O F F CASES 

T o t a l . ... $24,789,737 $12,615,103

U. S. Government 

obligations

1934-19515

195 5 

195 6 

22,620,382

1,584,793

584,562

10,154,078

1,861,820

599,205

DE PO SIT A SSU M PTIO N CASES 

T o t a l.. . . $108,163,692 $81,366,935

1935-19517

195 2 

195 3 

195 4 

195 5 

195 6 

100,209,306

552,710

4,485,650

88,414

2,523,201

304,411

71,078,303

781,093

8,326,289

141,600

600,000

439,650

Other

securities

$75,517,919

$16,161,189

15,946,562

154,627

60,000

$59,356,730

58,427,796

40,728

660,548

2,000

80,000

145,658

Loans,

discounts,

and

overdrafts

$259,238,402

$70,603,989

65,569,217

2,191,398

2,843,374

$188,634,413

173,946,208

924,419

4,878,142

884,925

2,695,617

5,305,102

Banking 

house, 

furniture &

fixtures

$23,108,322

$5,557,145

5,375,616

104,298

77,231

$17,551,177

17,157,906

35,121

141,556

1,306

96,671

118,617

Other

real

estate

$59,587,391

$12,293,686

12,293,686

$47,293,705

47,270,110

18,067

5,528

Other

assets

$16,543,096

$9,420,763

8,330,507

52,663

1,037,593

$7,122,333

5,314,676

54,320

319,032

19,431

22,185

1,392,689

Total

$660,930,597

$151,441,612

140,290,048

5,949,599

5,201,965

$509,488,985

473,404,305

2,388,391

18,811,217

1,137,676

6,035,741

7,711,655

Liabilities and capital accounts

Total

deposits

$579,802,988

$118,575,110

107,374,564

6,497,918

4,702,628

$461,227,878

426,926,717

3,006,036

18,262,055

990,283

5,464,660

6,578,127

Other

liabilities

$12,134,399

$10,267,478

10,122,023

7,713

137,742

$1,866,921

1,562,284

8,908

22,339

13

240

273,137

Capital

stock

$64,748,7253

$18,540,545^

18,150,545

140.000

250.000

$46,208,1806

45,406,180

62,000

250.000 

50,000

160.000 

280,000

Other

capital

accounts2

$4,244,485

$4,058,479

4,642,916

-696,032

111,595

$186,006

-490,876

-688,553

276,823

97,380

410,841

580,391

1 As shown by books of banks after adjustments, if any, for liabilities or overdrafts discovered subsequent to closing.

2 Includes surplus, undivided profits, and reserve funds, minus deficit, if any, as determined after adjustment of books of banks.

8 Includes R . F . C. capital of $25,180,114.

* Includes R . F. C. capital of $5,896,246. ^ .

6 There were no deposit pay-off cases from 1945 through 1954. For data by years see Annual Report of the Corporation for 1950, p. 280. 

« Includes R . F. C. capital of $19,283,868.

7 For data by years see Annual Report of the Corporation for 1954, p. 168.

FEDERAL DEPOSIT INSURANCE CORPORATION

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Federal Reserve Bank of St. Louis
Table 119. In s u r e d B a n k s R e q u ir in g D isb u r se m e n ts b y t h e F e d e r a l D e p o s it In s u r a n c e C o r p o r a tio n D u r in g 1956

Case

number Name and location Class of bank

Number of 

depositors 

or

accounts1

Date of closing

First payment to 

depositors, or 

disbursement by 

FD IC

Disbursement2

Receiver or 

assuming bank

Deposit

pay-off

250 River Oaks State Bank, 

Fort W orth, Texas

State bank not 

member F. R . System

5,465

1

October 15, 1956 October 23, 1956 $2,981,466 Federal Deposit Insurance 

Corporation

Deposit

assumption

181 The Home National Bank of 

Ellenville,

Ellenville, New York

National 9,676 December 4, 1956 December 21,1956 $463,022 Ellenville National Bank3

Ellenville, New York

Assets4 Liabilities and capital accounts4

Case

number Cash and 

due from 

banks

U. S. Government 

obligations

Other

securities

Loans,

discounts,

and

overdrafts

Banking 

house, 

furniture & 

fixtures

Other

real

estate

Other

assets6

Total

Deposits Other

liabilities

Capital

stock

Other

capital

accounts

T ota l $888,973 $1,038,855 $205,658 $8,148,476 $195,848 $5,528 $2,430,282 $12,913,620 $11,280,755 $410,879 $530,000 $691,986

Deposit

pay-off

250 584,562 599,205 60,000 2,843,374 77,231 1,037,593 5,201,965 4,702,628 137,742 250,000 111,595

Deposit

assumptk

181

)n

304,411 439,650 145,658 5,305,102 118,617 5,528 1,392,689 7,711,655 6,578,127 273,137 280,000 580,391

1 At date of closing. Number of depositors in deposit pay-off case; number of deposit accounts in deposit assumption case.

8 In deposit pay-off case includes disbursements made to December 31, 1956, plus estimated additional disbursements.

* The Home National Bank of Ellenville was placed in receivership, and the Corporation named receiver, on December 4, 1956; the assumption of deposits by the Ellenville National Bank was facilitated by a loan to the receiver by the Corporation on December 21, 1956.

4 As determined by F D IC agents after adjustment of books of bank for liabilities or overdrafts discovered subsequent to closing.

* In deposit pay-off case includes $962,862 of items involved in kite which caused bank’s suspension; in deposit assumption case includes $1,079,510 of “ unreconciled differences,”

most or all of which is attributable to overdrafts.

DEPOSIT INSURANCE D IS B U R SE M E N T S

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Table 120. R e c o v e r ie s an d L o sse s by t h e F e d e r a l D e p o s it In s u r a n c e C o r p o r a tio n on

P r in c ip a l D isb u r se m e n ts f o r P r o te c tio n o f D e p o s ito r s , 1934-1956

(Amounts in thousands of dollars)

Liquidation 

status and 

year of deposit pay-off 

or deposit 

assumption

All cases

Number

of

banks

Principal

disbursements

Recoveries 

to Dec. 

31, 19561

Estimated

additional

recoveries

Losses2

Deposit pay-off cases

Number

of

banks

Principal

disbursements*

Recoveries 

to Dec. 

31, 1956

Estimated

additional

recoveries

Deposit assumption cases

Number

of

banks

Principal

disbursements4

Recoveries 

to Dec. 

31, 19561

Estimated

additional

recoveries

Losses2

Total...........

Status

Active.........

Terminated.

Year

193 4 

193 5 

193 6 

193 7 

193 8 

193 9 

194 0 

194 1 

194 2 

194 3 

194 4 

194 5 

194 6 

194 7 

194 8 

194 9 

195 0 

195 1 

195 2 

195 3 

195 4 

195 5 

195 6

431

35

396

9

25

69

75

74

60

43

15

20

5

2

1

1

5

3

4

4

2

3

2

2

5 

2

292,238

109,626

182,612

941

8,890

14,781

19,160

30,479

67,770

74,134

23,880

10,825

7,172

1,503

1,768

265

1,724

2,990

2,552

1,885

1,369

5,017

913

6,789

3,445

259,077

96,554

162,523

734

6,154

12,315

15,610

28,054

60,597

70,100

23,233

10,136

7,048

1,463

1,768

265

1,480

2,350

2,179

2,573

1,792

563

5,017

531

5,114

4,417

4,417

20

7

16

162

52

170

3

25

22

80

1,394

2,373

28,744

8,655

20,089

207

2,716

2,459

3,550

2,425

7,157

3,872

595

689

124

40

74

640

370

1,388

784

302

281

1,072

250

5

245

9

24

42

50

50

32

19

8

6

4

1

94,469

7,425

87,044

941

6,025

8,056

12,044

9,092

26,197

4,895

12,278

1,612

5,500

404

4,443

2,982

76,530

3,662

72,868

734

4,274

6,596

9,519

7,908

20,399

4,313

12,065

1,320

5,376

364

3,662

2,565

2,565

500

2,065

15,374

1,198

14,176

207

1,751

1,460

2,525

1,184

5,798

582

213

292

124

40

281

917

181

30

151

1

27 

25 

24

28 

24

7

14

1

1

1

1

5

3

4 

4

2

3

2

2

1

1

197,769

102,201

95,568

182,547

92,892

89,655

2,865

6,725

7,116

21,387

41,573

69,239

11,602

9,213

1,672

1,099

1,768

265

1,724

2,990

2,552

3,986

1,885

1,369

5,017

913

2,346

463

1,880

5,719

6,091

20,146

40,198

65,787

11,168

8,816

1,672

1,099

1,768

265

1,480

2,350

2,179

2,573

1,792

563

5,017

531

1,452

1,852

1,852

20

7

16

162

52

170

3

25

93

22

80

894

308

13,370

7,457

5,913

965

999

1,025

1,241

1,359

3,290

382

397

74

640

370

1,388

784 

’ 302 

* 155

Note: Due to rounding differences, components may not add precisely to the indicated totals.

1 Excludes in deposit assumption cases recovery of all advances for asset protection, totaling $32,490 thousand, and of all liquidation expenses, totaling $14,116 thousand.

2 Includes estimated losses in active cases. N ot adjusted for interest or allowable return, which was collected in some cases in which the disbursement was fully recovered.

* Includes estimated additional disbursements in active cases.

^Excludes excess collections turned over to banks as additional purchase price at termination of liquidations.

FEDERAL DEPOSIT INSURANCE C O R P O R A T IO N

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INDEX

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I n d e x

Page

Absorptions:

Applications to permit....................................................................................... 8

Of insured banks requiring disbursements by the Corporation. See Banks 

in financial difficulties.

Of operating banks, 1956................................................................ 6, 7, 25-26, 90-91

Admission of banks to insurance:

Applications for.................................................................................................. 6-8

Number of banks admitted, by class of bank, 1956....................................... 90-91

American Institute of Banking............................................................................... 19

Applications from banks.......................................................................................... 6-8

Areas outside continental United States, banks and branches located in:

Assets and liabilities, December 31, 1956...................................................... 108-109

Deposits, December 31, 1956.......................................................... 100-101, 108-109

Earnings, expenses, profits, and dividends, 1956...........................................128-129

Number, December 31, 1956...............................................................92, 99, 100-101

Assessments for deposit insurance. See Federal Deposit Insurance Corporation.

Assets and liabilities of closed banks. See Banks in financial difficulties.

Assets, liabilities, and capital of operating banks {see also Deposits):

All banks:

Amount and changes in, by type and insurance status, 1956. .28-29, 33-34, 36

Amount and changes in, 1947-1956.......................................... xv, 27-30, 33-36

By FDIC district and State, December 31, 1956....................................108-109

In banks grouped according to insurance status and type of bank,

June 30 and December 31, 1956..........................................................104-107

Percentage changes, half-years and years, 1947-1956............................... 34-36

Percentage distribution and amount, 1947-1956............................. 27-30, 34-35

Commercial banks, June 30 and December 31, 1956..................... 29, 33, 104-107

Insured banks, December 31, 1955, June 30 and December 31, 1956.29, 33, 110-113 

Insured commercial banks:

Amount and changes in, 1947-1956...................................... 29-32, 33-34, 37-38

Amount, December 31, 1955, June 30 and December 31, 1956..............

........................................................................ 27-29, 32-34, 104-107, 110-113

Average for each year, 1948-1956................................................................ 117

Average for 1956, by class, size of bank, or State.....................................

.......................................................................121, 125, 129, 131, 133, 135, 137

Percentage comparison with mutual savings banks, December 31,

1956......................................................................................................27, 32, 33

Percentage distributions, average for each year, 1948-1956..................... 119

Percentage distributions, average for 1956, by class or size of bank. .. 123, 127 

Percentage distributions, December 31, 1955, June 30 and December

31, 1956..............................................................................................31-32, 111

Ratio of capital to total assets, by State, 1936, 1946, 1956..................... 37-38

Insured mutual savings banks:

Amount, December 31, 1955, June 30 and December 31, 1956..............

....................................................................................... 27-29, 32, 33, 110-113

Major categories, average, 1951-1956......................................................... 139

Percentage comparison with commercial banks, 1956.......................... 27, 32-34

Percentage distributions, 1951-1956............................................................ 141

Mutual savings banks, June 30 and December 31, 1956................. 29, 33, 104-107

Noninsured banks, June 30 and December 31, 1956........................29, 33, 104-107

Sources of data................................................................................................. 7-9, 103

State legislation.................................................................................................. 85-86

151

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Assets and liabilities of the Federal Deposit Insurance Corporation... .15-16, 19-20

Assets pledged to secure bank obligations............................................................. 113

Assets purchased by the Federal Deposit Insurance Corporation from banks 

in financial difficulties. See Banks in financial difficulties.

Assumption of deposits of insured banks with financial aid of the Corporation.

See Banks in financial difficulties.

Audit of the Federal Deposit Insurance Corporation........................................... 19-21

Bad-debt reserves. See Valuation reserves.

Bank Holding Company Act of 1956.................................................................17, 77-83

Bank supervision. See Supervision of banks; Examination of insured banks.

Banking Act of 1933................................................................................................ 3

Banking offices, number of. See Number of operating banks and branches.

Banking practices. See Unsafe and unsound banking practices.

Banks, applications from, acted on by the Federal Deposit Insurance

Corporation.............................................................................................. 6-8

Banks in financial difficulties:

Insured banks requiring disbursements by the Corporation:

Assets and liabilities of, 1934-1956.............................................................. 146

Assets and liabilities of, 1956....................................................................... 147

Deposits protected, 1934-1956.........................................................9-12, 144-147

Disbursements by the Corporation, 1934-1956........xv, 9-12, 144-145, 147-148

Loans made and assets purchased by the Corporation..........9-12, 15-16, 20, 21

Location, by State, 1934-1956.....................................................................10, 145

Losses incurred by the Corporation...................................10-11, 13, 14, 15, 148

Losses incurred by depositors...................................................................... 11-12

Name and location of, 1956......................................................................... 9, 147

Number of, 1934-1956...................................................... 9-10, 144-145, 147-148

Number of deposit accounts....................................................9-10, 144-145, 147

Recoveries by the Corporation on assets acquired............................... 9-12, 148

Sources of data.................................................................................................... 143

Suspensions of noninsured banks, 1956............................................................90, 143

Banks, number of. See Number of operating banks and branches.

Banks operating branches. See Number of operating banks and branches.

Board of Directors of the Federal Deposit Insurance Corporation. See Federal 

Deposit Insurance Corporation.

Board of Governors of the Federal Reserve System....................... 3-4, 6, 19, 103, 115

Branches (see also Number of operating banks and branches):

Establishment approved by Federal Deposit Insurance Corporation, 1956.. 8

Examination o f................................................................................................... 4

Increase, all banks, 1946-1956........................................................................... 25-26

Legislation, State................................................................................................ 84

Business and personal deposits. See Deposits (items referring to type of 

account).

Call reports. See Assets, liabilities, and capital of operating banks; Reports 

from banks.

Capital of banks. See Assets, liabilities, and capital of operating banks; Banks 

in financial difficulties; Earnings and expenses of insured commercial

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banks; Earnings and expenses of insured mutual savings banks; 

Examination of insured banks.

Charge-offs by banks. See Earnings and expenses of insured mutual savings 

banks; Earnings and expenses of insured commercial banks; Valuation reserves.

Class of bank, banking data presented by:

Admissions to and terminations of insurance.................................................. 90-91

Assets and liabilities of operating banks, June 30 and December 31, 1956. . 104-107

Deposits.........................................................................................100-101, 105, 107

Earnings of insured commercial banks, 1956................................................ 120-123

Insured banks requiring disbursements by the Corporation, 1934-1956.... 144

Insured banks requiring disbursements by the Corporation, 1956.............. 147

Number of banks and banking offices, 1956.................................................... 90-99

Ratios of earnings of insured commercial banks, 1956................................. 122-123

Classification of banks............................................................................................. 88-89

Closed banks. See Banks in financial difficulties.

Commercial banks. See Assets, liabilities, and capital of operating banks;

Deposits; Earnings and expenses of insured commercial banks; 

Number of operating banks and branches; Trust departments of 

insured commercial banks.

Comptroller General of the United States........................................................ 17, 19-21

Comptroller of the Currency....................................................iv-v, 6-7, 8. 9, 103, 115

Consolidations. See Absorptions.

Coverage of deposit insurance, banks participating..........xv, 3, 17, 26-27, 77, 90-101

Credit, bank. See Assets, liabilities, and capital of operating banks.

Demand deposits. See Assets, liabilities, and capital of operating banks; Deposits (items referring to type of account).

Deposit insurance fund....................................................................... xv, 13-16, 20-21

Deposits:

All banks:

By insurance status of bank and type of account, December 31, 1956. .

........................................................................................................... 33-34, 107

By insurance status of bank and type of account, June 30, 1956.......... 105

By type of account in each State and FDIC district, December 31,

1956........................................................................................................ 108-109

By type of bank and insurance status, December 31, 1956................. 26-27

By type of bank in each State and FDIC district, December 31, 1956. . 100-101

Growth rates, 1947-1956....................................................................... xv, 33-36

Percentage change, half-years and years, 1947-1956................................. 36

Percentage distribution, by amount and type of account, 1947-1956___ 35

All insured banks:

By type of account, December 31, 1956.............................................. 33-34, 107

By type of account, December 31, 1955, June 30 and December 31, 1956 112

By type of account, June 30, 1956.............................................................. 105

Ratios of deposit insurance fund to............................................................xv, 16

Commercial banks:

By FDIC district and State, December 31, 1956....................................100-101

By type of account, December 31, 1956.............................................. 33-34, 107

By type of account, June 30, 1956.............................................................. 105

Insured banks requiring disbursements by the Corporation. See Banks in 

financial difficulties.

Insured commercial banks:

Amount, by type of account, December 31, 1955, June 30 and December

31, 1956..............................................................................................33-34, 112

Percentage decline, June 30, 1954-1956...................................................... 34

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Insured mutual savings banks:

By FDIC district and State, December 31, 1956....................................100-101

By type of account, December 31, 1955, June 30 and December 31,

1956..........................................................................................................33,112

Interest and dividends on, 1951-1956...........................................39-41, 138-141

Mutual savings banks:

By FDIC district and State, December 31, 1956....................................100-101

By type of account, December 31, 1956....................................................33, 107

By type of account, June 30, 1956............................................................. 105

Noninsured banks:

By FDIC district and State, December 31, 1956....................................100-101

By type of account and type of bank, December 31, 1956..................... 33, 107

By type of account and type of bank, June 30, 1956............................... 105

Sources of data................................................................................................... 103

State legislation.................................................................................................. 85

Directors of the Federal Deposit Insurance Corporation. See Federal Deposit 

Insurance Corporation.

Disbursements. See Banks in financial difficulties.

Dividends:

To depositors in insured mutual savings banks...............................39-41, 138, 140

To stockholders of operating insured commercial banks. See Earnings and 

expenses of insured commercial banks.

Earnings and expenses of insured commercial banks:

Amounts of principal components:

Annually, 1948-1956...................................................................................116-117

By class of bank, 1956............................................................................... 120-121

By size of bank, 1956.................................................................................124-125

By State, 1956............................................................................................ 128-137

Charge-offs, recoveries, and changes in valuation reserves............................. 41-42

Income, sources and disposition of total, 1947, 1952-1956..................... xv, 38-42

Profits, 1947-1956............................................................................................... 42-44

Rate of income on assets, 1948-1956................. 38-40, 118-119, 122-123, 126-127

Rate of net profit on total capital accounts, 1956...................................... xv, 43-44

Ratios of earnings items:

Annually, 1948-1956.......................................................................40, 43, 118-119

By class of bank, 1956............................................................................... 122-123

By size of bank, 1956..................................................................... 43-44, 126-127

Ratios of expense items..................................................................................... 41

Sources of data................................................................................................... 115

Earnings and expenses of insured mutual savings banks:

Amounts of principal components, 1951-1956............................................... 138-139

Income, sources and disposition of total, 1947, 1952-1956.................... . .38-42, 44

Rates of income on assets, 1951-1956........................................................ 38-40, 141

Ratios of earnings items, 1951-1956......................................................... 40, 140-141

Ratios of expense items..................................................................................... 41

Sources of data................................................................................................... 115

Educational program for bank examiners. See Federal Deposit Insurance 

Corporation.

Employees:

Federal Deposit Insurance Corporation........................................................... 18-19

Insured commercial banks:

Number and compensation, 1947-1956...................................38, 40-41, 116-117

Number and compensation, by class of bank, by size of bank, and by

State, 1956............................................................. 120-121, 124-125, 128-137

Insured mutual savings banks, number and compensation, 1951-1956....

.................................................................................................... 39-41, 138-139

State legislation.................................................................................................. 86

Examination of insured banks:

Banks examined by the Federal Deposit Insurance Corporation, 1955-1956. 3-5 

Examination staff............................................................................................vi, 18-19

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Expenses of banks. See Earnings and expenses of insured commercial banks; 

Earnings and expenses of insured mutual savings banks.

Expenses of the Corporation. See Federal Deposit Insurance Corporation, 

income and expenses.

Failures. See Banks in financial difficulties.

Federal bank supervisory authorities...................................................................3-4, 6-8

Federal Deposit Insurance Act (see also Legislation relating to deposit insurance and banking):........................................................ 3, 5, 13, 17, 19, 21

Amendment, 1956............................................................................................... 17

Federal Deposit Insurance Corporation:

Assessments on insured banks.................................................................13-16, 20-21

Assets and liabilities.......................................................................................15-16, 20

Audit........................................ ......................................................................17, 19-21

Banks examined by, and submitting reports to............................................3-5, 7-8

Board of Directors, actions on applications and banking practices.............. 5-7

Borrowing power..............................................................................................15n, 21n

Capital stock....................................................................................................... 15n

Coverage of deposit insurance.................................................................. 3, 11-12, 17

Deposit insurance fund (surplus)............................................................13-16, 20-21

Directors (members of the Board)................................................................iv-v, 18

Disbursements for protection of depositors. See Banks in financial difficulties.

Districts.............................................................................................................. vi, vii

Divisions............................................................................................................ iv-v, 18

Educational program for bank examiners........................................................ 19

Employees........................................................................................................... 18-19

Examination of banks. See Examination of insured banks.

Expenses. See Income and expenses.

Financial statements................................................................................ 13-16, 20-21

Income and expenses..................................................................................... 13-15, 21

Insured banks requiring disbursements by. See Banks in financial difficulties.

Interest rate, change in maximum......................................................... xv, 17, 83-84

Liabilities........................................................................................................ 15-16, 20

Loans to and purchase of assets from insured banks. See Banks in financial 

difficulties.

Losses incurred, 1934-1956. See Banks in financial difficulties.

Methods of protecting depositors. See Banks in financial difficulties.

Organization and staff...............................................................................iv-vi, 18-19

Payments to insured depositors. See Banks in financial difficulties.

Protection of depositors. See Banks in financial difficulties.

Recoveries. See Banks in financial difficulties.

Reports from banks............................................................................................ 7-8

Reserve for losses on assets acquired........................................................... 15, 20-21

Retirement of capital stock of the Corporation.............................................. 15n

Rules and regulations..............................................................................xv, 17, 83-84

Supervisory activities......................................................................................... 3-9

Federal Deposit Insurance Corporation districts, banking, data classified by:

Assets and liabilities of all banks, December 31, 1956................................... 108

Number and deposits of banks, by tj^pe of bank, December 31, 1956.... 100

Federal Reserve System. See Board of Governors of the Federal Reserve System.

General Accounting Office...................................................................................17, 19-21

Government deposits. See Deposits (items referring to type of account).

Guam, extension of deposit insurance to ........................................................xv, 17, 77

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History of bank obligation insurance, State deposit insurance systems,

1908-1930:

Appraisal...................................................................................... xv, 47-48, 59, 64-65

Assessments (see also Insolvency of funds).............................49, 53-55, 62-65, 73

Rate.....................................................................................................55, 62-63, 73

Relative to losses.......................................................................................... 63-64

Security for...............................................................................................54, 56, 58

Bank failures (see also Insolvency of funds).......................................... 51-52, 69-72

Banks participating..................................................................................49-50, 66-68

Bond security system......................................................................................... 57

Character............................................................................................................. 49

Comparison with earlier systems, 1829-1866................................................... 47, 49

Court decisions............................................................................................... 50, 56-58

Coverage.............................................................................................................. 49-51

Depression of 1921, effects on........................................................................... 54, 65

Federal deposit insurance, proposals for.......................................................... 47

Income and expenditures of funds.................................................................... 62-63

Insolvency of funds.................................................................................. 54-60, 64-65

Losses to depositors....................................................................................... 61-64, 72

Losses to funds............................................................................................... 61-64, 71

Methods of paying depositors........................................................................... 52-53

National banks....................................................................................................47, 65

Payment of insured deposits......................................................................... 61-64, 71

Periods of operation........................................................................................... 49

Purpose................................................................................................................ 47

Sources of data.................................................................................................... 65

States participating............................................................................................ 49

Income of insured banks. See Earnings and expenses of insured commercial 

banks; Earnings and expenses of insured mutual savings banks

Income of the Federal Deposit Insurance Corporation. See Federal Deposit 

Insurance Corporation.

Insolvent banks. See Banks in financial difficulties.

Insurance status, banks classified by:

Assets and liabilities, December 31, 1955, June 30 and December 31, 1956..

................................................................................................ 104-107, 110-113

Changes in number, 1956................................................................................... 90-91

Deposits, June 30 and December 31, 1956.................................... 100-101, 105, 107

Number, December 31, 1956............................................................................. 92-101

Percentage of banks insured, by State, December 31, 1956........................... 92-99

Insured banks. See Assets, liabilities, and capital of operating banks; Banks in 

financial difficulties; Deposits; Earnings and expenses of insured 

commercial banks; Earnings and expenses of insured mutual savings 

banks;;'Number of operating banks and branches.

Insured commercial banks not members of the Federal Reserve System. See

Class of bank, banking data presented by.

Insured deposits. See Banks in financial difficulties.

Insured State banks members of the Federal Reserve System. See Class of bank, 

banking data presented by.

Interbank deposits. See Deposits (items referring to type of account).

Interest. See Earnings and expenses of insured commercial banks; Earnings 

and expenses of insured mutual savings banks; Federal Deposit 

Insurance Corporation, rules and regulations.

Investments. See Assets, liabilities, and capital of operating banks; Assets 

and liabilities of the Federal Deposit Insurance Corporation; Banks 

in financial difficulties; Examination of insured banks.

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Law, violations of by insured banks. See Unsafe and unsound banking 

practices.

Legislation relating to deposit insurance and banking:

Federal, enacted in 1956................................................................................17, 77-84

State, enacted in 1956................................................................................... 17, 84-86

Loans. See Assets, liabilities, and capital of operating banks; Banks in financial 

difficulties; Examination of insured banks.

Losses:

Of banks, charged off. See Earnings and expenses of insured commercial 

banks; Earnings and expenses of insured mutual savings banks.

Of the Federal Deposit Insurance Corporation. See Federal Deposit Insurance Corporation; Banks in financial difficulties.

Provision for, in banks, 1948-1956............................................42, 116-117, 138-139

Mergers. See Absorptions.

Methods of tabulating banking data:

Assets and liabilities of operating banks.......................................................... 103

Deposit insurance disbursements...................................................................... 143

Earnings, expenses and dividends of insured banks........................................ 115

Number, offices, and deposits of operating banks........................................... 88-89

Mutual savings banks. See Assets, liabilities, and capital of operating banks;

Deposits; Earnings and expenses of insured mutual savings banks; 

Number of operating banks and branches.

National banks. See Class of bank, banking data presented by.

Net assessment income credits. See Federal Deposit Insurance Corporation, 

assessments on insured banks.

Net earnings of insured commercial banks. See Earnings and expenses of insured 

commercial banks.

Net profits of insured commercial banks. See Earnings and expenses of insured 

commercial banks.

New banks. See Number of operating banks and branches.

Noninsured banks. See Absorptions; Admission of banks to insurance; Assets, 

liabilities, and capital of operating banks; Class of bank, banking data 

presented by; Deposits; Number of operating banks and branches; 

Reports from banks.

Number of operating banks and branches:

Banking offices (banks and branches):

By insurance status, type of bank, and State, December 31, 1956.... 92-99

Changes, 1946 to 1956.................................................................................. 25-26

Relative to population, 1946 and 1956....................................................... 26

Banks:

By insurance status and type of bank, December 31, 1956___26-27, 90, 107

By insurance status and type of bank, June 30, 1956............................. 105

By insurance status, type of bank, and State, December 31, 1956......... 92-99

By insurance status, type of bank, FDIC district and State, December

31, 1956..................................................................................................100-101

Changes during 1956, by insurance status and type of bank................... 90

Banks operating branches, by insurance status and State, December 31,

1956.......................................................................................................... 92-99

Branches:

By insurance status, type of bank, and State, December 31, 1956.... 92-99

Changes during 1956, by insurance status and type of bank................. 90

Insured banks, December 31, 1955, June 30 and December 31, 1956.......... 113

Insured commercial banks:

December 31, 1948-1956.............................................................................. 117

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December 31, 1956, by class, and operating throughout the year.......... 121

December 31, 1956, by size of bank............................................................ 125

Mutual savings banks, December 31, 1956...................................................... 26-27

Trust companies, December 31, 1956............................................................... 26-27

Unit banks, by insurance status and State, December 31, 1956................. 92-99

Obligations of banks. See Assets, liabilities, and capital of operating banks; 

Deposits.

Officers of insured banks. See Employees.

Officers of the Federal Deposit Insurance Corporation......................................v-vi, 18

Operating banks. See Number of operating banks and branches.

Payments to depositors in closed insured banks. See Banks in financial 

difficulties.

Personnel. See Employees.

Possessions, banks and branches located in. See Areas outside continental 

United States, banks and branches located in.

Profits. See Earnings and expenses of insured commercial banks.

Protection of depositors. See Banks in financial difficulties.

Public funds. See Deposits (items referring to type of account).

Receivership, insured banks placed in. See Banks in financial difficulties.

Recoveries:

By banks on assets charged off. See Earnings and expenses of insured 

commercial banks; Earnings and expenses of insured mutual savings 

banks.

By the Corporation on disbursements. See Banks in financial difficulties.

Reports from banks.................................................................................................. 7-8

Reserves:

Of Federal Deposit Insurance Corporation, for losses on assets acquired..

........................................................................................................14-15, 20-21

Of insured banks for losses on assets. See Valuation reserves.

With Federal Reserve banks. See Assets, liabilities, and capital of operating 

banks.

Salaries and wages:

Federal Deposit Insurance Corporation...........................................................14, 21

Insured banks. See Earnings and expenses of insured commercial banks; 

Earnings and expenses of insured mutual savings banks.

Savings and time deposits. See Deposits (items referring to type of account).

Securities. See Assets, liabilities, and capital of operating banks; Assets and 

liabilities of the Federal Deposit Insurance Corporation; Banks in 

financial difficulties; Examination of insured banks.

Size of banks, data for banks classified by amount of deposits:

Assets and liabilities, insured commercial banks operating throughout

1956.......................................................................................................125, 127

Banks requiring disbursements by the Corporation, 1934-1956................. 144

Disbursements for protection of depositors, 1934-1956................................. 144

Earnings data of insured commercial banks, 1956........................................ 124-125

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Earnings ratios of insured commercial banks, 1956................................ 44, 126-127

Number of employees of insured commercial banks operating throughout

1956.......................................................................................................... 125

Number of insured commercial banks operating throughout 1956............. 125, 127

State bank supervisory authorities:

Data obtained from............................................................................................8, 103

State legislation regarding................................................................................. 84

State, banking data classified by:

Assets and liabilities of operating banks, December 31, 1956................. 108-109

Capital accounts, ratio to assets....................................................................... 37

Deposits of operating banks, December 31, 1956..........................................100-101

Disbursements, deposits, and depositors in insured banks requiring disbursements by the Corporation, 1934-1956......................................... 10, 145

Earnings and expenses of insured commercial banks, 1956..........................128-137

Number of operating banks and branches, December 31, 1956, by class of

bank and type of office........................................................................... 92-99

Number of operating banks, December 31, 1956, by class...........................100-101

Proportion of banks insured, December 31, 1956............................................ 92-99

State banking legislation enacted in 1956......................................................... 17, 84-86

State banks members of the Federal Reserve System. See Class of bank, banking 

data presented by.

State banks not members of the Federal Reserve System. See Class of bank, 

banking data presented by.

State deposit insurance systems. See History of bank obligation insurance, 

1908-1930.

Stockholders of banks, net profits available for. See Earnings and expenses of

insured commercial banks.

Summary of this report......................................................................................... xv

Supervision of banks (see also Examination of insured banks):

By the Federal Deposit Insurance Corporation.............................................. vi, 3-9

State legislation, 1956........................................................................................ 84

Suspensions. See Banks in financial difficulties.

Taxes paid by insured banks. See Earnings and expenses of insured commercial 

banks; Earnings and expenses of insured mutual savings banks.

State legislation.................................................................................................. 86

Terminations of insurance for unsafe and unsound practices............................. 5-7

Time and savings deposits. See Deposits (items referring to type of account).

Trust companies, classification of........................................................................... 88-89

Trust departments of insured commercial banks, examination of....................... 4

Trust powers:

Applications for.................................................................................................. 8

State legislation.................................................................................................. 86

Unit banks. See Number of operating banks and branches.

Unsafe and unsound banking practices................................................................xv, 5-7

Valuation reserves (see also Assets, liabilities, and capital of operating banks):

Amounts held, December 31, 1956............................................ 41-42, 104, 106, 111

Changes, 1948-1956............................. ................................ 41-42, 116-117, 138-139

Violations of law or regulations, banks charged with. See Unsafe and unsound 

banking practices.

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