The workingman's advocate. [volume] (Chicago [Ill.]) 1864-1877, 1873-10-04
The Bank Suspension.

The past has been a wee l Of absorbing in
terest to the citizens Of Chicago most espe-
cially So to those who we're interested in
financial affairs The failures Of Jay Cooke
and Henry Clewes were not at iirst regarded
as menacing financial matters in this city.
but the time sped on, and tbs real Effect
81 these failures began u develop itself At
measures would have to be taken ia order "a
prevent panic in tins city. Hence. the mi
tiAtOry steps were taken BY the
sAvGSUs BANKS
determining to pay only small sums. and re-
curing the legal notice sixty days ion
larger amounts. Such an announcement Ap
pearing in the daily press Of Monday last.
was taksn advantage Of by some Of the know
ing ones, who endeavored to create run on
the banks and thereby bring about panic.
but the steps taken by the banks spoiled this
little game, and the deDositors displayed
AN UNUSUAL DEGKEK OF CONFIDENCE
A large number called at the several banks
to make inquiries in regard to their deposits,
and being assured that they were perfectly
safe, retraced their steps with joyful hearts.
Some Doubling Thomases gave notice Of
withdrawal This happened more or less in
all the savings banks, but not in a degree to
create any alarm. The Merchants, Far
mers and Mechanics, whose hist is as large,
if not larger, than any similar institution in
the city, from Monday to Saturday received
a little over two hundred notices, which
abundantly bespeaks the confidence of the
depositors in the management and conduct of
affairs of the bank.
While there has been no run on the saw
ings institutions Of the city, the National
banks suffered considerably, on account of
needless runs being made upon them. Many
Of them we're obliged to suspend payment en-
tirely
This forms striking contrast to the con
dition and standing of our savings banks.
They have confined themselves to legitimate
business, out of the profit of which they will
be enabled to pay their depositors the inter
est. as they contracted to pay.
In times of high financial excitement like
the present, it is not little amusing to lis
ten to the logic or rather ill-:Ogic Of some
wOuld-be wiseacres, who are generally to be
found on the corners Of streets, or other spots
all jacent TO the scene Of excitement One Of
these occurred during the excitement which
followed the closing Of the Union National
on Friday last, and while the run was
being made on the Corn Exchange Bank,
an individual was demonstrating to a
crowd who, perhaps, didn't have a
dime in any bank in the United States,
how the banks should always keep on
hand enough currency to pay their ,I>posi-
tors. This is one of the most foolish ideas
any man can be possessed Of. Money can't
lay idle, like labor. 1t must be earning. If
it don't it cannot pay. A may have a dollar
to loan but who is going to hunt up A in
in his solitary garrett, and hunt up hundred
other AS to borrow a dollar each from them
The thing in itself is prePOstsrOus, and here
is where the necessity and convenience Of our
savings banks comes in. While As an indi-
vidual with dollar we cannot loan il TO make
interest on it, yet by dePoaiting il in some re-
liable institution we swell the aggregate,
accommodate the business public, and en-
ploy labor. This IL the nature Of savings
banks. The prudence and wisdom Of the
course which they have taken in the present
crisis has been fully demonstrated. While it
il . certain fact that 70 one knows the stand
ing of the National banks, il 10 well under
stood that our savings banks are sound to the
core. and when the time Of thar legal notice
expires they viii be prepared 10 pay every
dspSsitor that has cent in thsir keeping.
Gloon BoR PLUMBKRs. -Plumbsrs are now