Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1902-09-12
MONEY GETTING SCARCE
Demand for Northern Land
Speculation Cuts Into Iowa
Bank Deposits.
Well Known Banker Thinks
LARGE Sums Have Left Iowa
for Land Purchases.
No Great Danger Of Shortage =.
Canadian Lands Not Good
investments.

Investments.
Des Moines, Sept. 12-Speculation In
cheap northwest lands, the demand TO,
money from stock1nen and farmers with
which to buy feed for stock, and from
merchants with which to discount bills
for fall stocks just being received, Is
cutting into the deposits OF Iowa banks
at a considerable rate.
The statement of the Des Moines
clearing House Association, OF Whlcn
all but three Des Moines banks, the
State Savings, Valley Savings and Iowa
State. are members, shows that COM
pared with a year ago the deposits IN
local clearing house banks have fallen
off s3,249,457. The last three clearing
house statements with comparisons are
as follows: Z.
July u 1902 81, 619. 30
July s, 1901 ...s .... lo'l1o'lo..us :.
August II, 1902 lo,svl''oo.. =
August IL, 1901. .. o,4ll'olo.s y
September s, 1902. 90. 1876 ~ lo.ao .
September 9, 1901 >. =. lS.SlS,lso.l 10
The last call for reports from iowa
state and savings banks, made June 10,
shows that since the preceding call OF
April deposits had decreased In the
Estate s1,423,913.45. The July call OF
national banks, in. the state snoWeu
corresponding decrease in deposits.
George A. Pearsall. manager OF tne
Clearing House Association and casn-
lier of the Citizens National, SAID:
"The falling off in deposits Is due
largely to the fact that Iowa men OF
means, those who have had money IN
the banks, have been seeking invest
ments for their surplus funds and have
been buying lands. Undoubtedly
yery large sum Of money has LETT the
state to seek investment In North pa
kota and Minnesota lands and IN the
Canadian wheat lands. But with this
not little has gone to pay for invest
ments in mining and oil securities. VI
course the amount by comparison IS
not great, but still one would be sur
prised to know the amount OF money
that is going into oils, etc.
"The withdrawals have not come
very largely from Des Moines deposi-
tors. The country banks keeping re-
serve deposits here have been the heaV-
Hest withdrawers. We correspond WIN
these banks and from time to time
meet their officers and always inquire
'as to the cause of withdrawals. The
answer is always that their deposttors
are drawing out their money 70 MAKE
investments in cheap lands.
"I do not think there is any danger
Of a shortage Of money here. We Will
have all that will be necessary to carry
the crops and the stock business during
the winter months and to accommodate
merchants who will be making with
drawals to discount bills for fall and
winter stocks now arriving without
calling upon the east for assistance.
Iowa will take care Of its own business,
but nevertheless the Withdrawals are
considerable and very largely Tor pur-
poses of investment.
j. A. Mckinney Of the Capital City
said: Undoubtedly a great deal OIL
money is being Withdrawn from banks
at this time to be invested in lands.
There are those. who have purchased
Immense tracts for speculative purpos-
es and who have made partial pay
ments on them under contract but by
far the larger portion OF Withdrawals
that have been made have been by the
little fellows who have gone up into
the new country to buy lands out and
out and pay cash for them, the fellows
who buy a quarter or a half or 1uli
section. 1 know Of instances where men
of this class have mortgaged their Iowa
homes to make investments in north
west lands. But large as the with
drawals on this account have been. 1t Is
my opinion that the bulk of the money
which has gone out largely thru the
country banks has been taken out 70
buy feed and to make purchases of
stock cattle. The Withdrawals OF this
class would indicate healthy condi-
ton and means that the money will
to flow back again In a snort
time, But this will not be true OF mon
ey withdrawn for investment In the
cheap lands. There are millions OF
acres in the northwest, every acre of
which Is as good as every other acre.
and it will take years to settle 1T. Un-
til it is settled or the rate of imm1gra-
ton is much more rapid than now there
can not be healthy increase in values.
I am disposed to doubt the advisability
of investments in the northwest lands
and especially those in Canada. The
area of available land there is several
times greater than the area of the state
of Iowa, while the population of the en-
tire dominion is only about three times
as great as that of Iowa. 1t will take
years for a country where there is no
farming, where stock can
not be raised to advantage, and where
the climate is severe, to develop to the
point where good returns will result
from these investments"
Other bankers gave practically the
same reason for Withdrawals.
While the last state call showed a de-
crease of $1,423,913.45 as compared with
the preceding statement, the total de-
posts In state and savings banks were
s133,692,464.42 as compared to deposits
of $114,731,614 for the CORES ponding
call In 1901
A Communication.
Mr.. Editor-Allow me to speak few
words In favor of Chamberlafn's Cough
Remedy. suffered for three years