The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1902-09-15
It Is Measured by the Growth of the
National Banks and Their
Funds Since 1896.
Loans and Discounts Increase 100
Per Cent and Individual De-
posts More Than Double.
Stability Of the Investments Shown
Total Resources Now
s10S,116,243.

Building, Warrington.
WASHINGTON Sept. 15.-A glance at the
reports which are made to the controller
Of the currency from time to time OF the
condition of national banks will show the
measure of prosperity which the state Of
Minnesota has enjoyed since the panic
times just preceding the first Inaugural
ton of President Mckinley. Since the
latter part of December, 1896, and up to
July 16. Of the present year, these reports
show that the number of national banks
in the state has increased from seventy
four to III. Many of them have been
organized since March IA, 1900, when Sem
ator Nelson secured the passage of law
authorizing the organization of national
banks with a capital Of $500 in towns Of
1000 habitants. Sena tor Nelson advo-
Gated the measure because Of the de-
mand incident to the growing business OF
the country. He wanted banks organized
under governmental supervision in the
small but growing towns of the west. and
the wisdom Of the plan is shown in the
results.
Since Dec. H. 1896. the loans and dis
counts Of national banks in Minnesota
have increased nearly 100 per cent, and
the individual deposits have more than
doubled. The loans and discounts on the
date mentioned aggregated S35. 942,2 10.
and on July Is. 1902. they had increased
to S63, 613. Six years ago the individual
deposits amounted to $50, 2SS 713, and two
months ago there was s63, .304 subject
to Individual check in these banks. The
increases in both items are due to the
growing business of the state. Business
men have more money to put in the
banks, generally the safest place, and
there is a grea ter demand for money for
investment and for the development of
business of all kinds in the state. The
Increase in the loans is also an argument
for the stability of the enterprises which
are being launched, as the government Of
ficials very quickly discover when the
banks are lending their money on insecure
or doubtful securities.
, The reports to the controller show that
at the beginning Of the prosperity period
the advance was very slow. but toward
: the last it has been by leaps and bounds.
AS has been stated. on Dec. II. 1896. the
deposits amounted to $50, 2SS, 713. One year
later they had Increased to So, 1864. 277 and
by Dec. l. 1898. to s37, 995, $40. On Feb
10. 1900, just one month before the Nelson
act was signed by the president the indi-
Vidual deposits had jumped to SAB, 253 1877
and from that date to July Is, 1902, about
twenty seven months. there was an adj
vance OF over $50, 600. 900, to 1853, SAB SU4
The showing of loans and discounts
presents an equally strong prosperity argu-
ment. From Dec. II 1896, to July %, 1897
there was a falling off from $35, 942 30 to
S3l.Oll,l6. Then there was the same
gradual advance as in the individual de-
posits-to s35,124.75O on July IA, 1899; tc
S4,127,5S5 on June 80, 1899; and then tc
S43, 1O9.145 on Feb. IS, 1900, just before
the passage Of the Nelson act Then
with the organization Of the new banks
with small capital, there was an advance
In the amount Of loans to $50, 1856, Cos or
Sept. 80. 1901. and to the grand total OF
$63, 228,613 on July 16, 1902
The total resources If tho
banks also increased in about the pro
portion Of the two items mentioned above
On Dec. II. 1896, they were $50, 745 Oe9. or
Feb. 49, 1900, they had Increased to s74,
492.379, and on July 16, 1902, to sos, 116,
243
A statement just issued by Controlle,
Ridgely. showing the operation of the
Nelson act. says that since March ii, 1900
sixty-three national banks have been or.
ganized in Minnesota, with an aggregate
capital of s1,S15,oo0. Of these flfty-foul
were capitalized individually at less thar
$4,000. and nine at $4,000 or over.
w. W. Jermane.