Rock Island daily Argus. (Rock Island, Ill.) 1886-1893, 1890-11-25
BANK STATISTICS.
The Currency Comptroller Pre-
sents Some Figures.
BUDGET OF USEFUL INFORMATION

For Those Interested In the Rational
hank Question Business That Runs
Up into the Acknowledgement Cost of
Domestic Exchange = Percentage of
Cash Used In Trsnsactions-A Claim
That the system Is the Only One That
Is Elastic.
WASHINGTON CITY. Nov. 25-The forth
coming report of Mr.. Lacey. the comp
troller of the currency, will contain full
information in reference to the affairs of
national banks, aud will cover the opera
tions of the bureau for the twelve months
ended Oct. 81, 1890. During this period
BOZ new associations have been organized.
30 have gone into voluntary liquidation
and have been placed In the hands of
receivers. The net increase is PAS. consti-
tuting larger growth than during any
similar period since 1865 The number of
active banks on Oct. 81, 1890 was 8. 567,
which is an Increase over any previous
date. These banks have in capital stock
$3.50 7s2. $50; bonds deposited to secure cir
culation. $40, 100. 900, and bank notes out
standing $l79, s55. CAB. including s54. 791.
sO7 represented by lawful money depos-
tied to redeem circulation still outstand-
ing.
Condition mt Last Report.
The Gross decrease in circulation during
year, including notes Of gold. banks. aud
those of failed and liquidating associa-
tions. was SO. 26s. 77s. and the decrease in
circulation secured by United States
bonds was s, PAS. $40. On Oct 2, 1880, the
date of the last report of condition. a,540
banks were open for business. Gross de-
posits, including amounts due banks,
were stated at g, 023, 5o2. O67; loans and dis
counts. 81. go. U2a. 621; an increase in each
OF these items over any previous date.
They held Sl95 20S, 500 in specie; $50. 6o4. 63i
In legal tender notes; SIS 4s2 1902 in ma
tional bank notes, and 50. 1856 900 in United
states certificates of deposit.
Bank business and Its Cost.
Reports received and tabulated show
that drafts were drawn by 3,52g national
banks upon their correspondents during
the year ended June 50. 1899. aggregating
| Sll. $50, S9S 255. at an average cost TO the
purchaser of 81 cents premium on each
| 500, being about 1-12 of / per cent A
comparison is made with conditions ex-
national system, when l per centum was
the average rate of premium on domestic
! exchange.
| Proportion of Cash to Checks, Etc.
| The comptroller has obtained and pub
lished returns exhibiting the proportion
of coin, paper money, checks and drafts
used in banking operations. as shown by
| detailed statements of the receipts of the
national associations on July l, and
| September II, 1890 For the first
date reports were received from
1894 national banks Their total re-
| ceipts on that day were 1921, s24 T26. OF
the total receipts 80 per cent consisted
of coin and paper money. and the re-
mainder. 92 80 per cent in checks, drafts
and other substitutes for money. The TO-
| tai receipts of 3.474 national banks for
Sept. II. 1890. is stated at $32T, 27s. 25i, of
which coin and paper money constituted
| 500 per cent, and checks, drafts, etc.,
| 81. "a per cent.
Comparison with 1881.
Similor statistics were produced in 1881.
A comparison shows that larger proper
ton of coin and paper money enter into
banking operations in 1890 than in 1881
| These percentages for the two days in 1881
are 4. 81 and 4 81 respectively; in 1890. for
similar dates 2. so and SO per centum
| The increased use of money in banking
| operations here shown is equal to IS per
cent, and is deemed significant when con
sidered in connection with the present ap-
parent insufficiency in the amount of coin
and paper money in circulation. 1t is
suggested in explanation that great
| change has taken place during the past
nine years in the matter of credits, and
that all commodities are now sold on
shorter time and to much larger extent
for cash than formerly.
A Good Word for the system
The comptroller expresses the opinion
that the evident lack OF currency neces-
sary to the proper conduct of business
during the past few months, is greatly
aggravated by the retirement of national
bank notes. which form of paper money
alone possesses that elastic property so es.
sential in perfect circulation All
money issued directly by the government,
whether coin or paper, is necessarily nom
elastic. by reason of its being in all cases
available for the lawful money reserve OF
national banks and in most cases posse SO.
| ing the legal tender quality.