The western Democrat. [volume] (Charlotte, N.C.) 1852-1870, 1857-10-20
TIE BANKS I'M rH1s rowr

last month"; have sustained heavy demand
for specie. They have promptly redeemed
their notes, and are able to continue to do
so' out such q course cannot but eramp
business and tighten the money market.
we learn that the Bank of Charlotte has
taken in about $3.50, 900 Of its notes. and
.he Branch Bank about $I2O,OOO mostly
from brokers'. This prevents the Banks
from discounting good paper to relieve
business men and the community generally.
we think it is the wish of business men
and others that car Banks should suspend,
as 1t will afford an opportunity for the notes
to circulate without being hurried back on
the banks for redemption. If the banks
were to suspend, no one would lose a cent.
as their notes would remain entirely good
All who are in the least acquainted with the
firm basis of North Carolina banks would
not fear to use their bills in business trans
actions if every one were to suspend i'm
mediately. Entertaining these views, sew
eral of our merchants. manufacturers and
farmers have petitioned the banks in this
town as follows:
To the Presidents and Directors of the
Banks aa Charlotte, ". c.:
Gentlemen: The undersigned merchants,
produce-dealers, farmers and others, of this
place and vicinity, would respectfully call
your attention to the difficulties under
which all classes in our community now
labor In consequence of want of the usual
pecunlary facilities for the conduct of the
different branches of business and trade
we represent to you our opinion that, not
outstanding the general arrangement of
the monetary affairs of the country. our
own more Immediate embarrassments result
from the contraction of the issues of your
Banks. Of this withdrawal of your eireu-
iation, however, we do not doubt the neces-
sity while your banks, in this crisis. remain
subject to constant calls for specie from the
banks OF other States, and more especially
while you are liable to incessant visitations
tor the same object from an active army of
money brokers.
We express our unbounded confidence in
your institutions, and do not believe that
your circulation would be returned by our
own citizens; but under present circum-
stances your banks have been compelled, in
self-defence, to pursue course which has
Sta
for lack of a circulating medium. scarcely
any commodity or article of produce, raised
by our own farmers, can be sold at fair
price in this and adjacent markets.
In this condition of affairs, we hold that
distant banks and travelling brokers, add
ing daily to the troubles on which they
prosper, should no longer be allowed to
reap their ready gains at HE erpenSe Of our
oWn people.
We therefore do respectfully suggest &
petition that you will forthwith establish
some rule TO exclude the banks and brokers
of other States from the privilege of rcceiv-
ing specie at your counters fog the notes
which they so industriously gather in order
emily to return them for redemption. We
cOnscientiously believe that this diScrimi
nation is demanded by the necessities of the
times as a proper remedial measure of home
protection. and that its adoption would so
far relieve your institutions from pressure
as TO enable them to fnIfl. for 1ka public
benefit, the true purposes of their creation.
Very respectfully, &c.
The Banks have, so far, refused to COM
ply with this request. If they do suspend,
the public need not feel any uneasiness, as
the notes will remain good for every cent
they call for, and should be used without
apprehension of loss. By pursuing this
course, confidence will oe restored and bust
ness proceed with but little inconvenience.
But in order to effectually restore conf
dence the banks should receive on deposit
the notes of suspended banks. unless they
are viewed by the officers as worthless, and
in that case the public should be so inform
ed. We learn that the Banks in this place
do receive the notes of suspended banks on
deposit.
1t cannot be denied that the Banks are
somewhat to blame for the present pres
sure but slight change in their con-
duct, aided by the cooperation of the pub
lie in preventing a run for specie as far as
possible, will go far to inspire confidence
and quiet the unnecessary alarm that now
exists.