The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1904-11-20


10 the customer, which would include
sufficient forms Of stationery for the
purpose OF gathering and collating in
formation.
Among these forms there should be
included form for the salesman's re-
Ports, which should have sufficient
number Of Inquiries printed upon them
10 eau forth al the Information which
nc is expected the salesman should OBJ
tain. It is not wise to ask of the
salesman that he obtain signed state
ments OF financial conditions but he
can profitably report upon the estimate
! OF value of the stock and its condition,
the general reputation for character
and habits. the varying local conditions
Affecting trade in each locality and the
methods apparent in the conduct of
the business. The salesman should not
De burdened too frequently in the re-
quirements for reports upon any one
concern, but he should be cautioned to
make his reports very carefully and
feel that he has responsibility in the
account
There should always be blanks for
bankers and attorneys reports and the
reciprocal report form and the prop
erty statement forms adopted by the
National Association of Credit Men.
Should Have Library.
/ Credlt should be further SAFE
guarded by sufficient appropriation
for the purchase of such publications as
would contain information valuable for
him TO have. As a rule the up-to-date
credit man viii have his own library of
the economies bearing upon the subject
of credits. His reading will be Sc
| lected with the broader view of polit-
ical economy, for all such studies will
have their influence upon his judgment.
There is no danger of having too much
| knowledge. but danger lies in the use
OF ii or i'm thinking one knows il all:
1t goes without saying that credits
viii be safegUarded to the extent of
liberty 10 employ attorneys when
needed for the purpose of making col
lections and conducting cases and the
best commercial attorney is none too
good.
/ During my recent trip through the
east ] found great interest in the meth
DDS adopted by the salt Lake associa-
ton through the organization Of your
adjustment bureau. and L have been
asked several times TO outline the
workings Of the organization upon the
Pacific coast, which are quite similar
/ 10 that of your adjustment bureau,
which | understand is recent valu-
able adjunct 70 your work. / find those
in the east who have had accounts
/ handled by.Ou Pacific coast boards of
I trade and by your bureau are TecOg
/ nizing the fact that We realize much
! greater percentage on the assets of a
( failed concern than can be realized in
any other manner, and they have been
eager for information, and L believe
! only await the compilation of the ac-
/ complishments OF these various organ
iZations, which l hope our national as
ISOLATION will now place before them at
the earliest opportunity.
This credit safeguard is invaluable.
and when the influence Of the National
Association of Credit Men has been
such as to accomplish similar organ
izations in other cities it will have done
work which Will be appreciated
| throughout the entire United States
1t is unfortunate when one of our
! customers becomes entsngled and the
! estate has to be administered. but it is
even more unfortunate when the cred
( itors do not cooperate in realizing the
/ very largest amount possible from the
assets which come into their hands.
and this can only be done i'm some such
manner as you are doing by keeping
! the assets in your hands and disposing
| Of them to the best advantage accord
! ing to your own judgment.
Exchange Information.
Another credit safeguard which 1
| trust will be availed of more than ever,
/ is that of the exchange Of information
/ The credit associations in some cities
are fast breaking down that barrier
which prevented the exchange of in
( formation because Of the jealousies and
/ lack of appreciation of the fact that
! d dozen creditors must have more in
/ formation to give than any one cred
I itor.
( When all is said and done that it
| is possible 10 say and dc to safeguard
! credits, calamity does come and failure
occurs and losses are upon the books,
not always by any means because the
credit man has been at fault, but be-
cause the unforeseen and unexpected
| has happened. Such organizations re-
/ suit in combining claims. keeping the
merchant out of the bankruptcy court,
and in handling the assets under the
direct supervision of the creditors, and
are by far the most profitable.
There is only one safeguard against
I the excessive losses which come TO all
OF US from bad debts. That safeguard
can be placed over the credits such as
Will eliminate the danger of excessive
losses from bad debts. Those who have
| been in touch with credit literature
during the past few years will be pre-
I
guard is possible Only through tn
! form of credit insurance, which serves
| as a systenatizer Of the business, tends
TO conservatism because of the limita-
! tons which the credit man in his con-
sideratun Of his bond determines are
safe and equitable, ana which, in case
/ the unexpected happens and the abnor-
NAL loss is made. relmburses the in
suTed and thus avoids the loss Of profit
or the depletion of capital
When the American Bankers asso-
citation in New York City last month.
and when the various state bankers
associations through the country con
sidered addresses made upon this inn
portant form OF collateral. they paid
high tribute 10 this character NJ protec-
ton. and gave careful consideration to
Its discussion.
Credit Insurance.
There is no more important propo-
sition before the credit man of today
than that of credit insurance, for 1t not
only tends to conservatism, but 1t also
removes the great cause of panic.
which has been so frequently stated
To be nothing more or less than lack
OF or loss OF confidence of credits When
We consider that the losses from bad
debts are much larger than the losses
by FIRE, We do. not hesitate 10 preach
the docttifie of conservatism or the
need OF protection from this great dan
ger OF loss Of profits or the haZaTdinS
of invested capital.
The day is dawning when the credit
man viii not be. a. nervous wreck be-
cause of his great fear o. the result of
unexpected and unavoidable losses, for
"a bet, he has donp al In reason IN avoid