The daily Alaskan., 1909-11-01
-YSAV.NG5 BANKS
First Modern One Was Opened
 In Scotland In l9l0.
STARTED BY RENRY DUNCAN.
HO Was a Presbyterian Clergyman and Was a Friend of Thomao Carlyle and of thO Celebrated pr, chulmsr0-Tho Rapid Spread of tho systsm.

of tho Celebrated, Dr. chalmor0-ThO
 Rapid Spread of tho sy5tom.
 The first savings bank to accept de- poslts in small amounts lapd ito pay cumulative interest was opened in-Scot- land In May, 1910. Several in8htudonS for savings existed in foreign countries prior to 1910, but there was nothing in any respect like the modern -Bavings bank. England, for example, early witnessed the appearance of numerous small charitable associations and insb- tutlous which undertook to Invest tho savings of their members.
 The first modern, savings bank, how ever, was originated by Henry Dun- can. a Presbyterian clergyman of Dumfrles, Scotland, a friend of Thom- as Carlyle and of the celebrated Dr. Chalmers, who throughout his act7o life was interested finIvaFious. schemes of practical benevolence. In 1910, aft CT he had already set forth his views on the subject in. the Dumfrlos Courier, he established the Ruthwell Savings bank. His purpose, as expressed in memoir published by his son in 1888, was to Induce the mass of people of hls time to realize the value of the lit' tie savings which by economy could loo put away.
 The Dumfrle8 community Of loWlnnd Scotch was a good one in which to start such a scheme. During tho first year savings to the amount of El6O were deposited in the Ruthwell Saw lngs bank and In the next two years f1T1 and E241, respectively. By ESl4 the deposits amounted to f922.
 As the success of Mr. Duncan'G scheme became known similar inBHtu- tlons were organized elsewhere in Scotland and England. Ono Of tho earliest was the Edinburgh Savings bank. still a thriving institution.
 The Ruthwell bank had some Po- cularlties which distinguished it from the institutions that were developed later. There was an annuity fund, for instance. Most remarkable Of all, be- fore anybody's first deposit was re- cciyed inquiries had to be made a5. to bis age, family affairs and previous moral conduct. According to what was discovered the management decid- ed, first, whether his deposit should ho accepted and second, what rate of interest should be allowed him.
 The Ruthwell banks funds were placed with the British Linen company, which allowed 8 per cent interest on them. Most of tho depogltOrR received 4 per cent, but to those of three yearB' standing whose deposits amounted to E5 or more 0 per cent was allowed, provided the deposltor wanted to got married or that he was Afty-slL years old or that In other respects it would be especially advantageous for him to receive moro Interest. The Gr8t Hav- lngs bank was under no obligation to allow depositOrs to withdraw funds when they wanted. There was pro vision that "When the depositor shall have become incapable of maintaining himself from sickness or otherwise a weekly allowance may. be made to him at the option of the court of directors out of the money he has deposited"
 The Edinburgh Savings bank was much simpler in its organization than the Ruthwell and more closely 'resem- bled the savings banks of the present day. Each deposltor. received the same rate of interest. There was no pre- Ilminary investigation of hlB charac- ter, and he could withdraw his de- poslts at pleasure. Tho rate of inter est was uniformly 4 per cent.
 Widespread interest was aroused in the early experiments ln Great Britain. Farseeing people realized that the new institutions were destined to add large ly to general prosperity and happiness. This opinion was eloquently voiced by the great Scotch critic Francis JeRrey, who writing in tho Edinburgh Review, said: Tt would be difficult, we fear, to convince either the people or their rulers that the spread of BaVingB. banks is of far more importance and far more likely to Increase tho happi- ness and even the greatness of, ,the na- ton than the most brilliant -succo85 of its arms or the most stupendouB im- proyement of its trade and It's agrlcul- ture. And yet we are persuaded that 1t is so."
 Laws safeguarding savings banks were passed as these institutions began to show vitality and clearly needed regulation. Trustees and panagerB were early prohibited from making any profit in connection with these banks.
 The English savings bank movement rapidly spread throughout the con tinent, France, Germany, Denmark and Italy successiyely taking up che idea. Everywhere with notifications proper to the nationality 1t has proved 5ucs cessful. -
 The first American savings bank was opened in Philadelphia in 1s15 and was called the Philadelphia Saying Fund society. The same, year, one was established in Boston, New York fol. lowing in 1919, and in 1920 thero wero