The Tiffin tribune. [volume] (Tiffin, Ohio) 1848-1859, 1858-04-09
MigttlluHq.
For the Tldd Tribune.
A Few Words on Banking,

Mn. EDIFoR:-All ideas pertaining TO
the subject of banking and finance are
just now unusually interesting. l have
concluded to arrange a few thoughts up
on the subject. for the consideration Of
those who arc desirous Of enjoying tho
commercial benefits arising from paper
circulation, and at the same timo discard
all the Objectionable features commonly
incident to paper medium. Suppose
the Legislature Of Ohio enact a s1ueral
banking law. declaring the banking eapi-
tai Of the State unlimited in amount aud
uncontrolled in location. aud that each
and every association Of men. not less
than Eve, who SEQ proper to embark in the
business Of banking, DO declared body
corporate, with power to issue bills under
such name as they may assume, without
restraint OF limitation, except and only on
the conditions following. to.wit: That all
bills which are to be issued as money by
any aud all banking associations Of the
lState be struck. numbered and reg.
istered by tho State OF Ohio, through
its officer or Rgont, and that said bill.
be delivered to any and all banking
associations in such denominations as
they shall DESIRE and that every dollar 81
delivered by the State, to the banking IS
socations aforesaid, for signature and
circulation. be FIRST secured by depositng
with the State, its officer or sgeni, dollar
for dollar Of the stocks Of the State Of
Ohio or OF the United States, to be re.
tanned as collateral Tor the safety Of the
circulating notes and for their ultimate
redemption, and that all bills thus put 10
circulaticn by any and all banking asso.
ciatious Of the State be redeemed on pre-
seutation and demand at the counter oi
said banks respectively in coin. or upon
failure thereof. to be redeemed by the
State with the stocks originally deposited
! as basis for said notes, and that IN bills
so redeemed be Cancelled. forthwith
. What, Mr. Editor, would be the benefits
arising to the people Of Ohio by adopting
system of banking on the principle,
above st forth, after they had been put
: il prope shape. and matured by the dc.
hberaLions Of the united wisdom and ex,
perisnce of body Of intelligent and
: honest men, such as our Legislature is
D or at least, should be? First, Il would
receive and retain the implicit confdenc,
r Of the people Every one who had
, dollar in his pocket, would not merel,
feel as though he had the promise Of A
!. b. &c, to pay him dollar in gold on de
9 mand. but that the great State Of OhiC
3 was his debtor, that while that dollar re
a manned in his pocket, a corresponding
amount in the stocks Of the State reniaine,
d pledged in the hands Of the State for IL
e redemption and tho State being keeper o
r custodian of said collateral il was saf
u beyond peradventure. How could aris
dislrust or pauic under such a state q
u alfaire2 Again. the banks not being re
quired to keep specific amount OF spe
2 Gle on hand 10 meet demands aud compl
K with the terms Of their charters, th
10 commerce in coin would measuredly cease
IT its value would decrease, exchange woul
be comparatively unknown, and gold an
silver would thus naturally flow ia th
- ordinary channels Of trade and bu'siues
" We. verify believe the adoption Of
system Of banking on the above bas
O. throughout the country would speedil
eKtirminate that numerous but Justly ol
u noxioUs class Of money tFslors kao#ni
| brokers. Again. the above system wou
4, preserve uniformity 10 the amount Of 81
re circulating medium; thing much TO
i'll desifed. The banks could use. wiihol
< fear, all their own means at al times. al
n, thus prevent the substitution Of foreil
to paper for our own, thing also much d
sh sired. For presentation Of notes ~
ne demand for coin. il not NOT met by &
ma bank, would lead to an exchange Of sa
ie, notes for the stocks originally pledged (
l their redemption and consequent ca
lot oellaliOu Of ssid notes. and thus q din
ay mutton Of sound and safe circulate
I'll medium, thing which no man seeks