Milford chronicle. [volume] (Milford, Del.) 1878-1974, 1908-09-18


tober, with deposits in excess Of one
hundred. millions, would have made
necessary an assessment while the
panic was in full force of the follow
ing sums: -
Maine ........ ........ s1.O67.6 sos
New Hampshire .. 49,. G4Z,4zZ
Vermont 49,. ...- 54ZylO6
Massachusetts. Sy5I9.046
Rhode Island. ..- 2,257,63S
Connecticut. ....----- z-49S-4SS
Total for New England. SIS, 62T 800
The experience of the National
banking system shows an annual az
erage loss of one-twenty-sixth of ! per
cent. for fOrty-two years, bat that was
under entirely different conditions
from those which would exist under
the proposed system. Furthermore
the losses to depositOrs of National
banks are very greatly reduced and
oftentimes wholly extingUished by the
double liability of the stockholders
of these institutions. Excepting one
class of banks, and taking The whole
country, East, West, North and South
under the new conditions which would
be created, | do not thiEk that an
assessment of one-eighth of per
cent would be excessive, even if it
was sufficient to meet the losses
That exception is the mutual savings
! bank system as it prevails iR New
England and New York. Mr.. Bryan's
| plan is to tax the stockholders of
sound banks to pay the deLositors Of
/ failed banks But there are no stock
holders in the New England mutual
savings banks. The depositOrs are
the bank, and the only dividends
which they receive come from interest
I Lon fInrfrs .A1I
sessment on deposits must therefore
he deducted from such interest. Or
dinarily these rates of interest are
very low, averaging about half the
dividend rate of commercial banks in
the same / calities, and less than half
the dividend rates paid throughout
the West and South. The services
of the directors of these institutions
are rendered without charge. They
are in the highest and best sense OF
the word benevolent institutions and
have been wonderful instrumentali-
ties for good through all of the New
England States in teaching prudence,
thrift and economy to cur people.
The system is unknown in the pTac-
tica of the West and South and it
probably never entered into the
thoughts Of the BTyan-W Williams men
tai combination that in the little
State of Connecticut, with less than
a million people, 539,873 of them
were proprietors of banks with an
average ownership of $474.S7 each
and with an aggregate capital Of
s256,372. O6I
To now force upon this country a
law by which these hard earned saw
ings shall be annually Whitfield down
TO make good the loss of plungeFs and
spectators anywhere, or even to con-
tribute to the soundness Of legitimate
commercial banks organized for profit
n other States, would be crime only
aqualled by the plan which sqrang
rom the brain of the same financial
genius in 1895, to have these deposits
)aid in dollars worth but fifty cents.
Under these circumstances and in
Jew of future possibilities my advice
o you is to take your savings bank
looks with you to the polls next Tues
lay and just before you vote look
yer the amount to your credit and
ecide whether you are prepared by
our vote to put yourself into a gen
raj partnership, with an unknown
nd unlimited liability, with all of the
anks of the United States
The result in Vermont indicates
nat, whether the voters of thaL State
)ok their savings bank books to the
oils or not, on September /, they
ept those savings well in mind when
ley gave Bryan and his guarantee
.heme a smashing blow that points
another 1900 majority in Novem-
sr for the Republican National can
dates, sound finance and good
mes.
If there were no other reason for
wing Bryan his coup-de-grace, the
tent iniQuity of his bank guarantee
heme would be reason enough, and
+ more than enough. The very pre-
ntation of such a proposal is an
'ense and insult to the American
ople, for it assumes National dis
nesty and a tendency to ignore the
,hts of property, which do not ex-
in the American character. Bryan
lde a mistake, twelve years ago.
len he took it for granted that a
ijority of the people would well
ne chance to cheat their creditors
of fifty cents on the dollar, and
outcome will show that he is
tally mistaken now in assuming
It his bank guarantee plan viii
oh the fancy of any large number
voters. 1t is certain to be rejected
business men, and every
ings bank depositor should be a
unteer worker against it, The only
ctual way to dispose Of il is by Sc
ing Taft and Sherman and a re
llican Congress.