Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1899-02-03
National Bank Currency.

Mr.. William r. Trigg. Of this city.
writes as follows TO the New York Jour
nal Of Commerce:
y recent Washington dispatch gives an
abstract Of reports made by the Comp
troller of the Currency, showing the con-
ditiOn Of the $3.50 national banks i'm the
United States at the close of business on
Tuesday. the first day OF December. 1875.
The statement is most interesting and
instructive. and especially so as il is is
sued when everything in financial circles
reflects hope. and when compared with a
similar statement of the COMPTROLLER
covering 3,676 banks dated October 8. 1895,
just before McKinleys election. when
everything in financial circles reflected
despair.
Omitting cross entries and fractions,
and showing United States bonds. &c,
less national bank notes and government
deposits, &c, as an investment with tho
government. the comparison is as fol-
lows-the figures representing millions
and thousands. hundreds being omitted:
1896. 1898
oct 6. Dec. 8 Incr'se.
Capital ..... ......$ GlS.5iO 5 62O5lSs$ 2SO22
Surplus and undi-
vided profits Gee. 1888 SnlOO 4757
Deposits ..... ..... 1852, 493 2.l92.75 6O0.265
Total ..... ....s257ZS76 $3,154376 $1,000
PER CONTRA.
1896 1895
oct. 6. Dec. =. Incr'se.
Loans and dis
counts ...... Isl, Sji3Ol 2,207 so 1853 500
GOVT invm't ..... Sj.4S7 ll7Mg 81 1872
Stocks & bonds. 1SS.96 2J6I35 7O1lO
Banking houses *
real estate ...... 1850 1O515G' 2qt
Money ....... ...". 1918 1896 12l2l3
--
Total 80. ....$2.577376 $3.15lS76 $4,000
SUPPLEMENTAL STATEMENT.
1896 1898.
oct. 6 Dec s. Incr'se.
Number Of banks. 3.67S 1880 sSs
National bank
notes ...... ......$209.9H S9O7O33 's2.9ll
Silver and silver
certificates e. 900 40OSl 4712j 7On
Cold & gold certi-
fcates q legal
tenders 80. ..... $1,000 1921 HIP
decrease.
This restatemcnt gives the whole mar
ratlye. but as the subject is important.
Will make some comments upon IT,
The national banks. under the laws of
'heir Incorporation. now suffer the great
est disadvantage. They are not free 10
handle their resources: they have the
shadow. but the substance is zone: the
restriction they willingly submitted 10 in
order TO issue currency remains. while
the profit In Issuing it has disappeared.
Ihat the restriction is bearing heavily
upon the banks. see the decrease OF
eighty-six In their number; that the issue
OF currency is Improbable see the reduc-
ION f.f Va ~
In the face of an increase of 500 900. O)O
OF deposits. when prosperity Is rampant.
when aggregations of capital I'm the form
Of trust companies. State banks. and
other credit companies are going forward
the national banks reduce their capital
s2S 100000
In my Judgment, a proper currency law
mot necessarily excluding state bankO
giving national banks the right TO issue
notes, would enable them 10 meet the
government restrictions and utilize their
thorough system and organization for the
good Of the people. Note how IL Is now:
OF the $2,2oSoCO.O0O loaned 10 their GUS
toners all save Sl5W0O00 is furnished by
the depOsltors; the banks capital and
surplus being otherwise absorbed. the
banks are deprived not only Of their capt.
tai but Of their credit: they cannot utilize
The statement demonstrates that If
some magician, on December LIST had
brought the borrowers from the banks
and the depOstors in the banks together
for settlement OF their interests they
could practically have cleared" without
the INTERPRETATION OF the banks leaving
the stockholders alone 10 settle with
themselves.
The public is under the influence Of the
proclamation that the national bank sys-
TEN is the best ever devised and the ma
tional bank note is the best currency ever
issued. As a matter Of fact the people
and as it turns out the banks. too, lost
heavily I'm the exchange of the use OF
their credit for a note good everywhere. +"
The national bank is more Interested than
the State bank in the repeal OF the pres
ent and the enactment of a good currency
law.