Idaho County free press. [volume] (Grangeville, Idaho Territory) 1886-current, 1903-04-16
TO ORGANIZE :.
TRUST COMPANY
Eastern Capitalists Will Take Host
Of the Stock.

Of the Stock.
ACTS AS BUILDING AND LOAN co.
Would Aid in Building Up
the Town
G. L. Ryley, a capitalist Of
Pinckard, Ky, is in the city look
ing over the county with view of
organizing Banking Y Trust
company, similar to the one
launched in Lewiston last month.
Mr.. Ryley represents abundant
capital to handle the enterprise
but, as is the general custom, local
people will be given an opportunity
to subscribe for d portion of the
stock, and the board Of directors
would be elected from among the
local stockholders.
Since arriving here Mr.. Ryley
has talked with q number Of our
leading business men, and from
the encouragement he has received
it looks as il no trouble would be
experienced in organizing the COM
pSny.
The advantages and benefits of
an enterprise of this kind over
strictly banking institutions can
be understood from the following
article on the subject, which we
quote from the Lewiston Tribune
Of March II:
"National banks have been alb
sorbea in some cities in large num-
bers, by the trust companies, and
AS national banks are restri cted in
! their operations under the United
states law, they are at a disad-
vantage in competition with mod
ern trust companies, and through
their inability to allow us liberal
rates Of interest on daily balances
and time certificates, they lose com
mercial accounts i'll large numbers
each year to the trust companies.
National banks cannot lend money
on real estate and are denied many
sources of profit open to trust com
panies. Some nf the sources OF
profit enjoyed 10y he trust COM
/ lranies, which are n,,t open to any
other kind ol iiiotitiltion are the
following:
s1-Legal depository for court
md other trust funds.
"2,-Acting as executor, guar
dian, receiver, administrator oi
trustee under agreement of appoint
ment of court, thus saving the ev-
pense of bonds for executors, ad-
mini5trators, etc.
"3 Management of estates, care
of property.
"4-Acting as fiscal agents fol
corporations
"5-Acting as registrar and
transfer agent in the transfer OF
stocks and bonds.
"6-Acting as custodian of wills
and other valuable papers.
"7-Acting as agent of narri {
women in management OF separat,
estates.
"These sources of profit, oper
alone to trust companies, are ais,
entirely free from the risks which
are incurred by banking operations
Judged from the standpoint of Sc
security, it may be stated that thu
, modern trust company is the onl,
. institution which the statut,
recognizes as a legal depositosy 70
trust funds. Trustees are exemp
} from personal liability for all fund
, deposited by them in a dul,
, chartered trust company
The same publication shows TIL
extent to which saving deposit
! have drifted into the hands q
trust companies, by tabular com
parison of the leading cities of th
United States, and from this com
parison it appears that the de
b. posts in savings banks in Ne,
1 York were S695 900, 900 as agains
deposits Of s755 900, 600 in trns
companies. In Philadel phia sSS
900, 600 as against s14S. 900, 900 i
trust companies. In Chicago.
1 little over S3,50O,OoO as agains
3 s12S, 600, 900 in trust companies
g and in st Louis $4,000, 900 q
Z against $40, 000,0 900 in trust con
y panies.
= In addition to the ordinary re;
! estate loans, the company wi
( make first mortgage monthly pay
2 ment real estate loans to ASST
s persons in building houses or othe
I wise improving real estate, payab
= from their salary or from the rel
( income of the real estate after tt
( Improvement thereof. affording a
I the benefits of a building and los
> association without any of the III
Z certainties and embarrassment
\ which are connected with such {
) institution. This feature alon
Z if the company were to undertal
= nothing else, would be the ado
, ton of and institution of great val
n