The Montgomery advertiser., 1908-08-28

Aug. 27-Ths follow
 5text of the speech here
 n in which he discusseo ,rarteed Banks.
 8n Ladies and Gentlemen:
 make the depositor secure?
 States government requires
 of specific security when
 E money to national bank
 Fit can examine the bank at
 FX the State requires security
 6ho handle money Why should |3epositor be left to take his
 saly s,. t gsgssiissr sssgssiss s'ysa glthoss ss fon State. ubunty and city lessens security Yhey are preferred cred l5rs; they 'ha% a mortgage on the gilt ilt dged assets and ar. h shs ean osnss wifs %hat T rs- mains. Why are the intere4s of de- p9sitors thus neglected7 .
 fhaf tho depositor is sure of the return (of hit money. and the laws ought .o r. make the facts conform to ah thsofy, v Tho depositor, the community anc tQe kaiker himself will be .benehted. by lakisIation which Will give to eFssS ssst ESfchs is committed to sfhe keeping Of he bank will be avaiiabls te meet ms ms nss today as ahy for Si while 'a all hanks are Reasonably secure, they are nol aosy- sy "a {iutely so. This statement can Oe VET neF First. . The president has advocated 4 postal savings bank. and lis post ment in it's favor. pointed out that many millions are sent 10 Europsan . savings banks every year reisr ey Aefiga ie tTust the State institutions of the nations beyond the sea, rather than the priVaee s1s second. 1t is known that eonsid- erable amount of money is in hiding' the amount inereasing sas Wl,n tae henres- @p Sion This money Is not only wltn- drawn from active use, but is likeiy money IS most needed and when the Withdrawal will increase the nnanclai disturbance It Is impessl9le fs,s tn tei, eT men that they win probably get their mon ey. The moment the depositors sus- Ress sa,ysney, osnS; 'Is pistrnst s and distrust alone can explain the hiding or money;
 rd Ths nsTsss to o the the ordsr or fhe ps1rchaser, is another evidence that people are seeking greater ,; security ars interest upo1 deposits and yet those who buy money orders prefer 10 lose the naeress . eTtcs anof of the h 0 money order in order to secure the governments guar Fourth. National banks confess that their banks are not secure when they oppose the gusranty of state banks on the ground that IT Woula ieSSsn s tHc .tafo bankers confess that their banks are nof secure when they oppose . nstiehat on at # 1sgiii draw deposits away from state han3s if you want to find whesfier fhe banks are absolutely secure. ask tbe directors to give you their per sonal note to secure your desposlt ano you will learn that they ai VIII n ndt hear pear Fifth: The experience Of Oklanoma furnishes conclusive proof taat aepor DO, Ss safe in unsecured banks. On the 17th of December. 1soI. the okianoma legislature enacted depositors' guar FaSruary 4th. 1908. By the provisions of this law. all state banks and as many national banks as desire to avail theraselves of the law are taxed one per cent on their deposits. and the money thus collected is put into guaranty tohn to make ns ssdditional l Assessments, from time to time to keep the fund up to ls passsssPon ssnoSnf of amy amy nsolvent m bsi. pay tne depesitors n fnii ana ma rsimeulst asats st shs fsnd faTas oy hank 1eIIh Fiye h hundreS and affy banks. including hfty-four nat ionsl banks. had come under the. pro Nav leaving but 2s5 unsecured banks faIi nattonaD in the state. State eamber and May Between these per iods the secured banks gained in de- pSsits Sa2ss aI isSs nsfonai mhiie shogsd sos Se crease in deposits of s1.i0f. .s07.s6. A large mart of this increase. represent without the State, but the. decrease in the unsecured banks can only be ex- plained dn one way. A large number of depositors withdrew their money from the unsecured banks and de- posted 1t in the secured banks. and fhfs too in spite of the fact that in order to prevent withdrawals the unsecured banks. in some instances, offered a higher rate or interest snan the secured banks were permitted to pay; and 1t must be remembered also that the banks which suffered loss of deposits were all national banks. And to make 1t certain that the diff ference was caused by the guaranty law. the secured national banks gained, whie the hanks l0 in the guaranted banks of Oklahoma; they were failing in the state banks and l crease being si.153,O2s.27 between March s1st and june 18th.
 No amount of criticism of the timid depositor can change the facts; the Security than the laws at present give them. Th~y will change banks to get more security and. If necessary. they For many years efforts have been made in Congress and In the various states to secure a law guaranteeing de- banking institutions has been sufficient to prevent action. Last fall. how. ever when the banks by a concerted the depositors were everywhere brought to a realization of the fact that their deposits are in fact loans. payable on demand under ordinary circumstances. but payable at the will of the bank in emergencies. The dO- positors suffered considerable loss and they have not forgotten the les