Omaha daily bee., 1907-10-30
Every Dollar in Omaha Banks Now
Available to DepositOrs.
DIFFERENT MEANS OF PAYMENT
Banks Not Wholly Dependent on Pre-.
cautionary Measures Adopted.
CASH RESOURCES ARE ADEQUATE
small Checks and Drafts Are Paid
with Coin and New Cashiers
Check and Conditions wiz
Soon BE Normal.

So successful have the banks OF omahs
been in retaining their cash and the alb
solute confidence OF depositors, and 80 ad-
mrably has the clearing house plan met
every need in the local business world
that Omaha banks began Tuesday night
shipping their country correspondents
bundles of cashiers checks, for use as cur
rency.
Evening clearing hogse meetings which
It was thought would be necessary. have
been called or. Members Of the associa-
ton held a brief meeting at 4 o'clock
Tuesday evening, to handle routine mat
ters, and after the meeting adjourned II
was announced that the country banks
would now get relief. and not a single one
Of them, dependent on Omaha for money,
will have to declare a holiday and sus-
pend payment altogether.
When the national banks which have
adopted the clearing house payment system
opened for business Tuesday morning pay
ment OF checks and drafts was made in
cash and the new cashiers checks In de-
nominations Of S5. $40 and $50. all payable
to bearer and good at any store In the
city OF Omaha and for payment Of debts.
It Is these checks which will be shipped
to the country Wednesday as well as con-
tinue 20 meet the necessities OF banking
and trade in Omaha. -Four shipments were
made by the Merchants National late
Tuesday evening, to country banks which
were in urgent need OF currency.
The slight Inconvenience which depositors
in the City Savings bank experienced Mon
day was relieved by the issuance OF certih-
Gates for the amounts needed by customers
The certificates are accepted by the larger
stores and places Of business, which have
resources sufficient to carry them In place
OF the actual money or deposit them In
other banks and receive credit for them on
account.
Clearing house certificates viii be issued
only between banks for the settlement OF
balances, the situation being so much bet
ter that the banks do not think It neees-
-ssry to use the certificates for general cir
eulation as at first planned.
AS the cashiers checks are all payable
through the clearing house, the entire cap
ital and resources OF the banks OF Omaha
amounting to more than As,seOoO0 guar
antees the payment Of the checks.
Association Approves Policy
The Clearing House association approved
the issuing of cashiers checks in small
denominations after reviewing the business
OF the first day conducted under the new
rule to pay nothing but small amounts In
cash on a basis of 20 per cent OF accounts
of $500 or less and not over 500 on any ae-
count. President Yates OF the Clearing
House association said that the first days
business demonstrated the need OF the
small checks to be used the same as s.,
$40 and $40 bills and that each individual
bank would issue its own checks.
within a few days, II the plan contin-
ues. the city viii be given the novel ex-
perience OF having "all eolors Of money"
as some of the banks have some bright
looking stationery. There viii be baby blue
$40 checks. some salmon pink flves and
chrome yellow twentIes. Cashiers checks.
with pictures of buildings on them I'm stone
green and crushed strawberry tints, VIII
! be almost as common as 50 and $40 bills
/ with buffaloes and portraits Of ex-presl-
dents. The new medium OF exchange will
not be unpopular. according to the bankers,
and big piles of them have been signed by
cashiers Of a number OF the banks and
are ready to count out the same as the
money issued by the United States treas
urer. with silk threads and fine specimens
OF the engraver's art.
No Low Denominations.
The action taken by the City savings
\ bank is similar TO the method OF pay
ment by the national banks, except that
the bank viii not yet pay checKs Of low
denominations. as II Is under no obliga.
/ tions to pay anything on an account for
sixty days. President Flack said that
he had talked with a number OF bank
officials and business men, and would
issue certificates. which the big depart
ment stores. at least, will accept II a
| depositor has need fop a certain amount
/ OF money, the City Savings bank will
issue a certificate payable to tine frm
or persons TO whom the customer desires
to pay the money. for the full amodnt.
A customer desiring to buy clothiag az
a department store, which viii cost S3tg0,
viii be given a certificate payable 70 the
department store for $3.50. and The
stores have agreed 20 accept President
| Flacks certificate, Mr. Flack rays the
! first day convinced him that his de-
positors would be Inconvenience greatly
| IL they could not use their money IN any
way and he decided on certificate plan.
/ Later the savings bank may pay IN CASH
ier's checks Of small denominations. as
! the national banks are doing
Another feature OF the financial situation
which made things look bright around the
banks, was the announcement that uaoney
would be supplied for meeting pay rolls
I Saturday and as large roll as that Of the
Union Pacific shops and factories with
long lists Of employees, will be enabled TO
secure the cash they desire 20 discharge
the obligations to their workers when the
week OF month is ended.
No Long Lines at PayinE Windows.
No long lines appeared at the paying
windows OF any Of the banks IN Omaha
when the doors were opened tuesday
morning, and II anyone anticipated ex-
citement. disappointment followed. About
the usual number OF people presented
checks. many Of them were acquainted
with the plan and asked for amounts OF
money less than they could have secured
requesting certified checks OF cashier J
checks for the balance. At a number OF
the banks small checks were paid IN fun
Tuesday which surprised those who pre-
sented them. People went out OF the
counting rooms feeling that others had
been unduly agitated when they had passed
before the windows and presented g, sS
4 afaH Taa -