Wood County reporter. [volume] (Grand Rapids [i.e. Wisconsin Rapids], Wis.) 1857-1923, 1899-01-05

The total number OF state banks in
the state Nov 16, '95, were 233; Nov.
p, go, 240; Nov. 6, 81, 241; Dec. /, '9S.
248. The total resources at the fore
going dates were: In '95, s4S, COL $685.
AZ; SO. s41, So, 711.22; '97, 6,593, $40
%: '9S, S55,023, 3104S The liabilities
for these periods are of course the
same. 1t will be seen from the fore
going figures that the volume of bus
mess transacted has shown a marked
Increase except in the year 1896, the
aggregate being S11,421, 4S101. The
decrease in that year was caused by
the business depression which pre-
vailed and the agitation of the curren-
cy question previous to the presiden-
tial election
With the purpose of showing the
marked and substantial growth of the
state and private banks of this state
and the corresponding growth of the
resources of these institutions during
the three last decades, a condensed alb
stract of items of deposits, loans and
discounts, capital and resources is CIV
en- herewith: July, 1862 Number of
banks, 13; loans and discounts, s., 33S S33
65S.64; resources, S4,373, 073.61; capital,
s425,000; deposits, S2,S7S, 112.12. 1874:
Number of banks, IS; loans and dis
counts, $4,751 ,073.S7; resources, So
1S3,S61.27; capital, sS62,6SS.17; de-
posts, S6,S18,73142 1879: Number of
banks, "a; loans and discounts, $685.
105.S5,- resources, S16,3S5, 91O.S9; capt.
tai, s2,529, 1920; deposits, S10,7S2.S52.-
r. 1884: Number of banks. 120:
loans and discounts, SIT ,54S, O32. so; re-
sources, S39,560, 1927; capital, $3,499,-
360.96; deposits, S21 1868, 694S5. 1890:
Number of banks, 1876; loans and dis
counts, S31, S46, 1859; resources, S49,-
COL, 502.0S; capital, $5,79S, 40321; depos-
its, $9S,033, 474.15. 1895. Number of
banks, 1888; loans and discounts, S2S.-
062, 1861; resources, s43,S01 ,S29.47;
capital, s7,91S, O63.51; deposits. s32, 22S,-
072.05. 1898. Number of banks, 24S;
loans and discounts s31, 409, ISL 40; re
sources, s55, O23, 31O4S; capital, s7,944,-
413.38, deposits, s42,721, 1898.
''This abstract shows that these in
situations have steadily increased in
number and Importance, from a total
of Is banks in 1869, with an aggregate
capital of $495,00O, deposits of S2,S7S,-
1922 and total resources of $4,373,
072.61 to a total of 24S banks under
state supervision in 1896, with an ag-
gregate capital of 1874, 413.3S, depos-
it's of S42,721, 1858 and resources S55,-
023, 310.48.
with the advent of the national
banking system of 1868, the profit de-
rived from the issue of circulating notes
and the prohibitive restrictions of the
10 per cent. tax on state bank circula-
ton caused many state banks to cease
doing business so that in 1869, as
shown above, there were but 13 state
banks doing business in Wisconsin
which was the lowest point reached
| during that era. AS the profit on ma
tional bank circulation decreased and
the demand for greater banking facili-
ties increased, there was a correspond
| ing increase in the number of state
and private banks. Another reason
| for this increase is doubtless found in
| the fact that state and private banks
can be organized with less capital than
national banks, and in towns and cities
where sufficient amount of capital to
organize national banks is not avail
able or cannot be proitably invested in
this class robustness. A further Tea-
| son is to be found in the absence of
some of the restrictions which hamp-
er the operations of national banks,
particularly as regards loans on
real estate; and while the aggregate
amount invested by the promoters of
| these institutions is far smaller than
that invested by the promoters of ma
| tional banks, these smaller institu-
| tons supply want which under ex-
| listing laws the national banks cannot
| in any way satisfy. 1t may we'll be
doubted, however, that the sharp COM
petition to secure patronage which is
caused by the multiplication of the
number of competitive banks in some
of the smaller cities and towns is con-
ducive to their stability, or to their de-
STABILITY as a source of profit.
'As matter of general interest and
| button of the facilities that are offered
! by the banking institutions of tne
state, l have taken the pains to ascer-
! tain the number of cities and
! towns in which they are at present
| located l find there are 205 cities
and towns in the state in which banks
are located. That the 7S national
| hanks are located ir 81 cities. that
there are 1873 cities and towns which
have state and private banks or both;
154 which have state or private banks
only; and II which have nationrl
banks only. 1t will thus be seer that
over rs per cent. of the towns of the
state are afforded banking facilities
through the agency of state and pri-
vate banks alone. Upon the stability
of these institutions, the safety of the
funds of depositors and the success of
the business interests of the state in
large measure depends In view of
this fact, Notwithstanding the recent
defeat of the banking act, the i'm
portance of general revision of the
banking law at as early date as
practicable cannot be too strongly
urged
The provisions of the act referred
to which failed to meet popular ap-
prevail and which subjected it to criti-
cism, were, in the main, of minor i'm
portanee. Most, if not all, of the
criticisms which were directed against
the measure can be fully satisfied