Juniata sentinel and Republican. [volume] (Mifflintown, Juniata County, Pa.) 1873-1955, 1893-12-13

Not One Cent Lett ny
ER.nk Clerks and Detectives.
-@IsIToR5 to Washington going
m the United States Treasury
" h,,d thousands of dollars, even
hundreds of thousands OF ooi-
lars in their hands and then go nome
and talk about it all the rest o, lnei
lives. There is glamour enTeiopinR
large sums of money. 4,
millions are always suggestive d
nArabian Nights" and are referred
vaguely and reverently, somewhat a.
people talk of the future state.
Every day thousands Of busy peoP"
hurry down Nassau street and past Pine
They are unaware that every morning, IN
a room over the Chase National Bank,
between Sl2O, 900, 900 and S15o, O0o,-
900 changes hands in ten minutes Inc
Chase National Bank is in the northwest
corner of Nassau and Pine streets, and,
over the bank, the rest of the building
"a occupied by the Clearing House OF the
Associated Banks of New York.
Every workday morning representa-
tives of over sixty banks of the city oil
Nav York assemble in the Clearing
House with checks to be exchanged.
Precisely at ten o'clock the representa-
tives exchange checks, receiving vouch-
ers and receipts in return. This taxes
exactly ten minutes The results OF the
interchange are then reported by each
financial emlssary to William Shesrer,
Manager of the Clearing House, and his
assistant, William /. Gilpin. These two
gentlemen mount into a gallery at the
end OF the room and balance the results
upon huge proof sheet. On the hooi
below each bank representative has
high desk, belonging to his bank. After
making their returns, they loll around
for half an hour until the result Of the
days clearauces are read by Mr.. Gilpin
fsora the gallery. These are copied
down by the men on the floor below
upon similar sheets and taken to Their
banks, where they furnish accurate daily
statements of the financial standing and
daily business of kindred houses.
The average sum which changes hauis
daily is about $13j, 600, 600, but upon
Thursday last the enormous sum oi
$3.50, 900, 600 was involved.
Upon receiving their credit or debi,
papers the men return to their institu.
tons. Ii one bank sent down $500, 600
worth OF checks aud received back only
5000, 900 in their own checks, they ara
entitled to the $500, 900 difference; and, q,
on the other hand, if they pay over
1920, 900 worth of other banks checks,
they are required to make it good. This
is done at 80 p. m. each day. Then
the clerks or messengers repair to the
Clearing House and pay in what is
charged against them, and vice. versa.
This difference is paid IL $1,000, 81 )00,
5000 aud SIJ, ,O1J god or silver Ger.
tifcate notes and payment is made back
by the Iastitutution in Clearing House
certificates, VIII CT are yaiueess except
when signed by the Clearing House.
As the interchange of so much money
is OF considerable importance, the clerks
or bank meccengers, who carry hundreds
of thousands of dollars to or from Mas
sau and Piue streets, never travel alone,
and generally come and go in cabs. The
banks detective, aud sometimes two of
them, follow the man with the money.
All 60 heavily armed, and there is no
instance upon record where one of these
messengers has been robbed.
By the middle of the afternoon, aftel
the debts and credits have been made
good, the Clearing House has not one
cent in its Golfers. 1t is all received and
dispensed in the settling room.
OF n necessity, the accounts upon the
proof sheets have to balance. If there
are any mistakes they are easily corrected
by referring to the system of mutual
vouchers and receipts, which each banks
representative takes and receives from
every other bank. Aside from this,
there is a system of fines, averaging s.
for each error made. This acts as 8
stimulus to accuracy aud prevents errors,
which in reality are rare.
Through the medium of the Clearing
House each Individual bank is saved
thousands of dollars and valuable time.
1t would keep five or six bank clerks
busy from morning until night to visit
other banks, return checks, exchange
the same and collect or pay the differ
ences, beside retarding the business and
bookkeeping.
The Clearing House of the Associated
Banks Of New York has been In exist
eace since 1853. During that time it
! has been able to avert serious financial
panics by the intimate knowledge which
it furnished 10 each bank concerning the
exact condition OF the others. The af-
fairs of the institution are controlled by
4f
pointed at the annual meetings.
Each bank is based according to the
amount of business which it trausacts
through the medium. Banks outside of
the city are not admitted, but they can
clear through the city banks by keeping,
permanently, large deposit In the
banks which they select, and sending
heir checks to them as agents.
In the Clearing House, in the uppeI
room, everything runs like clockwork.
Each man knows his place, and the sys.
TEN has been so simphlied as to be abso.
lutely accurate. 1t runs in such smooth
grooves, so well oiled, that the institu-
tion can clear or exchange with the same
facility 5000, 000,0 ,0O0 or 500, 900 in.
side of the prescribed tea minutes.
There eau be no mistakes involving (,
mixture of the banks. Each concern
has nanacr of It's own, which is never
gwen to another. If the bank fails that
number is never used again. There i.
no opportunity to '.hoodoo," as it were,
any other financial house. This is eyinced
in the proof sheet, which possesse:
eighty-nine numbers, while only sixty
odd banks are doing business. Ia,
Others have failed or gone out of exist
ence since the Clearing House wa
founded.
No ei Innate has yet been made of ia,
aggregate sum which has changed han0a