The gold leaf. [volume] (Henderson, N.C.) 1881-1911, 1908-10-29
GUARANTEED BANKS
The Democratic Plan for Securing Bank Depositors
Simple, Practical Method That Will Secure the De.
position, Establish Confde nee, Prevent Panics and
Keep Money in Circulatio

The following presentation of the
guarantee of bank deposits vas pre-
pared by Col. +. Il. Arendell, who
spent some time in Oklahoma, where
the plan is now in successful operation.
He has investigated and seen the bene-
ficent effects of it's operations. ana
presents it's advantages and answers
its opponents simply. clearly ana
fOrcefully:
The Democratic party in its plat
form proposes a safe, sound, simple
and economical method of guarantee
ing the bank deposits of the great
mass of individual depositors without
whose money the banking business
of this country could not survive for
q single day. 1t is a practicable. fea-
sble business proposition, the princl-
pie of which is being applied every
day to almost every phase of business
and commercial life. A cooperative
plan based on common sense, without
frlls or necessary friction, plan that
has riveted the attention and won the
support of thousands and hundreds or
thousands of the brainiest and most
prominent men of all parties, and all
sections of the country, who realize
the fact that there is a growing de-
mand for some practical and effective
method. the provisions of which will
furnish security to the people who fur
nish nine-tenths of the money upon
which the banks of the country do
business.
The.plan proposed by Mr.. Bryan
and embraced in the Denver platform
| is simple, sensible, sound.
It provides for a guarantee fund To
| be raised by d small tax on bank de-
! posts, to be paid bt the banks and
! held in the national treasury, and to
| be used only for re-imburSing the
don tnr in a ha ShOlll6
| or a bank official should Squander the
| depositor's money.
! That's all there is in it. 1t simply
| proposes to guarantee the depositor's
| money and if carried into effect it
! will do it.
Should the individual depositor be
| protected? Why not? And why should
| the banker be the only person and
the bank the only institution that de-
| mard the use of the peoples money
| without security?
Il the National Government wants
money. and it frequently does, it will
! give to the man who furnishes the
money United states bonds bearing
interest as security. Not even the
government asks for the peoples
money without security. If railroad
company wants your money 1t Viii
give you interest bearing bonds Sc
cured by q mortgage on the railroad.
If a cotton mill company wants your
money il will give you a mortgage on
its mill If an individual wants your
money he will give You as security
a mortgage on his home with his
wife's signature attached. and il he
don't pay you back. principal and in
terest, the law provides that you may
sell the home and apply the proceeds
10 the payment of the debt And when
you come to think about it who else
beside the individual depositor con-
nected with our banking system are
not protected or insured.
Ask the president of the bank If the
+ bank building, the furniture and even
/ the plate glass windows are insured,
and il he is a prudent man he will
! tell you yes. Ask him if the bank Of
flcials are required to furnish security
for the faithful performance of their
duty and he viii tell you that each
one Of them is required to furnish
good ard sufficient bonds for this pur-
pose. Nor is this requirement regard
/ ed as d reflection upon the bankers
character or ability. Ask him If the
/ United States government or the State
! OF North Carolina eXacts security for
the deposits they carry in his bank
and he will tell You yes. Ask him If
ne keeps his own life insured and he
will most likely tell you yes. And
many OF them viii tell you that they
carry burglary Insurance and YOU
WoEid naturally conclude that every
thing and everybody around that
bank was prote'-t,-t and insured. But
III you VIII ask linn v Go furnishes the
/ money upon which II @ank does
business and makes lis prJ... - Will