The Sumter banner. [volume] (Sumterville, S.C.) 1846-1855, 1852-11-30


1Dsiis cause. In some nstanccs long
indulgence has secured the final pay
ment ofthc debt, aud at the same
time enabled the creditor to secure Il
competence TO his family, when the
sudden calling in OF the debts would
lave resulted i'll heavy losses to
the Bank, and brought ruin and bank
ruptcy upon the debtor. S.
1t is much more creditable to the.
management of this Institution that it
should have erred in this particular,
that it should have proved relentless
creditor, by forcing sales of property
tn ruinons sacrifice. IL any real
abuses do exist, they ought, most Ger.
tainlv, to BE Reformed. The existence
of them in q system Is no proof that
tley arc incident to it, or that tho sys-
tom itself is bad one.
The Charters Of many Of the Private
BANKS are about to expire; and i'll all
probability application will be made
to you for q renewal of ,hem. What
ever may be thought of the policy of
the Banking System, wcic the question
of its Introduction amongst us for the
first time made one thing is certain, it
has so completely interviewer itsclfin-
to all our habits Of business, that to
abandon it now would greatly embar-
rass the commercial interest, and proba-
bly, bring ruin on the country. 1t per-
haps would be wise to rc.chartcr them
all; yet some check ought to be laced
upon them. | know of no better. than
a strong Bank of the State.
Another argument in favor of its re-
charter is the amount of taxes it saves
to our citizens. During. the past year,
rs have already stated, its profits
have amounted to $219;725, which of
course, has relieved orr people of that
amount of taxation. But above all
other reasons why yon should renew
its Charter, the fact that the honor of
the State is pledged to it should have
greater influence with you than any
thing else. WEcn the Fire Loan
Bonds were negaliated in England BY
Ex.G Goyqs sla:is 5:a ',s;it sce'lIifs ii
s.Y3or tlieShi fSificftt: fl'his it would np-
spcar that n refusal to rc.chartcr this
Bank, at least until these Bonds are Ii.
qnidatcd, would involve u violation of
the pledges, affect the credit, and tarn.
ish tsN honor of the State, which every
Carroll lE9n should regard rs sacred us
Without making positive recon-.
incubation on the subject, suggest thc
propr;c'y of considering at time wEIlcth-
or it would not be wise, under existing
circumstances, to increase the capital of
the Bank of the State. The great in
crease of all kinds of business, caused
by our Rail Roads, calls her additional
Banking Capital. Some of the large
manufacturing establishments which
have recently sprung up amongst us,
have been greatly embarrassed during
the past summer for the want of Bank
accommodation. In fact, the complaint
is very general on this subject. No
doubt this state of things will produce
applications for charters for more
Banks. Now, as the Banking system
has proved SO highly profitable, would
1t not be wise to appropriate u large
portim of it to the State, and thus in a
measure free onr people from taxation.
But still stronger reason for an in
crease, is to give it the power of acting
as check upon the private BnrksS
They are certainly much to be dreaded.
if left entirely uncontrolled. When
The condition of the country is prosper
Gus, the temptation to expand their
currency, and thus increase their profits
is almost irresistible. Such cxpan-
slons cause all kinds of property to as
sumo n fictitious value, and the whole
country runs riot in the widest specu.
lations. Scenes of great distress al
ways follow such periods rs thcsc, and
is generally FASTENED and rendered still
more terrible by the sudden calling in
OF the debts, and the contraction ofthc
currency. An expansion always )
it far beyond its value, and contrac
ton far below. Even the price of our
great staple can be affected by the
Banks refusing to lend money freely,
and thus seriously injure the planter.
There should be some check upon
this immense, this fearful power.
|, know that great fears are enter
taincd rs to the political power which
a strong Bank Of the State would WELD
but these are rather imaginary than
real, ifyou will reflect that it will be
entirely under the control otthe Lcgis-
laturc. It's officers are elected annual
ly, and of course could be removed if
found cxerting any influence at vari-
ance with the true interest of the peo-
pie. All the arguments which go to
establish our fears that corrupting in
ih'ence might be exercised upon the
politics OF tho country, would equally
apply to private Banks. If there is
any real danger Of such influences from
moneyed monopolfes, IT is far better
that they should be under the control of
the State, than that they should control
!, See NIr. McDnfIie's letter to. Col. Elmor ..
1ank Compilation, p. 66I,