Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1907-10-29
Action of Eastern Institutions
in Withholding Western De-
rosits Causes Shortage
I'LL BE SHORT LIVED
Iowa Financiers Do Not Anticipate the
Money strnsency Will Continue
More Than a Few Days = All De-
pends on the New York Banks -
Pawn Brokers Hit.
special to Times-Republican.

Special to Times Republican.
Des Moines, Oct 29.-B. +. Carrol
state auditor, believes thoroughly tha'
inside a few days the financial difli-
cultfes of the country will be over
with and business will resume It's &C
customed level. Business men gener-
ally in this city believe the same and
every one Of them is loud in proclama-
tions that all their securities are gooo
and the condition of every bank good
and that the money they have on de-
posit in the Chicago and New 1orh
banks will in the course OF httie
while be paid to them and they VIII
thant he in good condition. The action
of the eastern banks in putting hmlt
on the amount of money that can be
drawn out is given as the sole reason
for the action of the Iowa banks.
Every financier claimed few days
ago that the troubles in New YORK
would not reach this far. This is be-
cause they believed that the banks IN
the west could get back all the money
they had on deposit In the eastern
baiks. Now they say that While the
stringency has reached the west they
are confident that their money on de-
posit In eastern banks is perfectly
safe. The situation Is now up to the
people. II the public will continue to
make deposits of money in the banks
as before and will put confidence In the
banks and go ahead buying and selling
and doing business as of old there
will be no. hard times. II everybody
draws out as much&as he can and re-
fuses to make further deposits hard
times will b. upon the country in a
flash. 1t is expected that all will
be known in a few days.
All the financiers in Des Moines ex-
pect the test to be on the New York
bank situation. If the banks there
tide over and are in as good condi-
ton as they claim to be, there will be
no difficulty. If they start to "bust-
ing up" there is no question where the
end will be. 1t is confidently ex-
pected that there will be personal fall
ures, probably a good many of them in
the east, where wealth has been in
stock in Copper Amalgamated and
Standard Oil, the value of which has
lately shrunk to less than half be-
cause of the discovery of the illegal
operations Of the companies.
Strange as it may seem there are
people all over the country who did
not know till yesterday that there was
in New York. When some of them
went to the banks in the city Monday
morning to get their money they dis
covered that they couldn't get more
than $25 from an open account and had
to give sixty days notice if they
wanted money loaned to the bank on
a time deposit. Then they We're wor-
rfed. AS soon as it was explained to
them that they could have good Chi
cago and New York drafts, they
breathed easier.
One good honest farmers wife came
% Des Moines Monday morning to do
some trading. She had intended to
purchase quite a large bill of goods
She times her coming so as to get
1ere after the banks had opened so
hat she could get the money. What
vas her CONSERVATION when she found
hat she could draw only s25. That
vas enough to convince her that the |
ng to smash. She walked up the !
street disconcertedly and mechanical !
y went to the department store where
;he traded and told her story to the
proprietor.
That's all right" said the proprie-
or, buy all you want and pay us in |
! check. We don't need the money. !
Would just as soon have your check
is money for the banks are all good" i
That put different Interpretation
m the situation and she bought good
leal more than she had intended
linking to save that much at least
{ there Is hard times and the banks
,ust. She is probably still studying
'ver the odd features of high finance.
The only real suffering in Des
Ioines due to the action of the banks
vas with the pawn brokers'. Saturday
light the pawn brokers get lots Of
money. Everybody Uho owes them
fonday morning bright and early he
ONES around dead broke ready to
orrow it back again. The pawn
rokers deposited their money Satur-
ay night but Monday morning were
nable to draw out but s25 each. But j
he hardship in this instance was more
farming than real.
Des Moines learned late Saturday
light that Chicago was about to sus-
end payments. The information came
D Arthur Reynolds of the Des Moines
'ational bank thru a telephone mes
age from his brother. George Rey
olds, of Chicago. Arthur Reynolds
once informed the other bankers of
les Moines and he and Homer Miller
f the Des Moines Savings bank went
, Chicago while the Des Moines
ankers met SUNDAY and decided to
blow the lead of Chicago.