Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1909-06-25
GUARANTY LAW HAS ITS EFFECT
That and Need for Greater Facilities
Are Some Reasons.
A. D. BRANDE1s IN BIG BANK
Director of United States National,
Firm Buying Stock.
SAVINGS DEPARTMENT CONTINUES
IL VIII ne Maintained by the Com
soIidated InstitutiOn and Conn
mercIal Accounts VIII Go
Into General Business.

AnNO hWHAANAAs
The new state guaranty bank law Inn
posed on Nebraska by the last legislature
at the dictation Of w. ]. Bryan and the
necessity for providing greater facilities
for caring for its depositors has caused
the banking house of j. l.. Brandeis &
Sons to consolidate with the United states
National bank July /.
A. d. Brandeis president of ]. L. Bran
deis & Sons, bankers, will become a di-
rector in the United States National.
Out of the consolidation will develop a
savings department OF the United States
National. The commercial accounts will
be merged into the general business of the
national bank. The change will be made
as soon after July 1 as possible, because
on that date interest on savings accounts
| is computed and credited to the several
accounts.
The public will still be given every con-
venience at the Brandeis store, as that
firm will continue to cash checks on all
banks and issue money orders, collect gas
bills, electric light and telephone and lodge
dues so that, except for making deposits
the public will have the same accommoda-
| tons as now.
The resources of the Brandeis bank.
which was founded less than seven years
ago, now over s1,25OOOO and during the
last year the deposits increased 90 per
cent. The BrRndes interests will he repre-
sented in the United States National bank
by purchase Of stock and by A. ID. Bran
deis becoming a director.
Some time ago the United States Ma
tional was enlarged by the union OF three
| banks, the Commercial National the
Union National and the United States
| National.
Big store Needs Them.
With the reference to the consolidation,
Arthur d. Brandeis said, THE matter
has been under consideration for some-
time. but definite action has been delayed
until recently. because OF the absence of
Victor B. Caldwell vice president OF the
United States National, who represented
that bank in the negotiations.
Further, the large commercial interest
and real estate Investments Of J, L. Bran
deis &-sons demand all our thought and
energy, and we have felt that II our bank
should continue to grow in the future as It
has during the last year, It would be inn
possible for us to give 1t the necessary time
and attention.
"As soon as the details Of the transfer
are completed, J. L. Brandeis & Sons will
devote all the time and effort that they
have heretofore given to the affairs Of the
bank. to the extension OF their commercial
business, the improvement OF Omaha prop
erty and the up-buildlng of the city"
Mr. Brandeis said he desired to thank the
public for its continuing confidence, one OF
the evidences Of such confidence being the
large 6snosits made in the Brandeis bank.
He recalled In particular, the expression
Of that confidence during the money strin-
gency of 1907. when in the face OF disturb
ing conditions everywhere throughout the
country their depositors continued TO de-
posit more money In the bank instead Of
Withdrawing the deposits already made.
Caldwell Makes Statement.
Mr.. Caldwell, vice president OF the United
States National bank, said;
Some days ago. j. L. Brandeis Sons,
bankers made a proposition TO consolidate
their bank with ours and the directors OF
our bank decided that It would be wise
policy to establish a savings department
for the purpose Of taking on that part Of
the Brandeis business The two new banks
about to start in Omaha have absorbed the
other two savings banks, so II practically
left no savings bank in Omaha 1t was
the desire to continue to afford this ia
cility to people in Omaha that influenced
: the directors and officers Of our bank to
open such a department. The savings de-
partment will be conducted on the ground
floor, Just west of the entrance, in the
; office now occupied by Garvin Bros, and
= interest at the rate of per cent per annum
3 will be paid upon the savings accounts
only.
IAN additional incentive towards this
, consolidation was the fact that the Bran
I deis interests acquire stock in our bank
D and Arthur D. Brandeis becomes one of
e the banks directors. The indirect benefits
4 that will come to the bank from this n
0 fluence will be very considerable. Under N
q management OF John l.. Kennedy the Bran
2 deis banking business has grown in a very
wonderful degree and the care and caution
exercised in investing the funds OF the
bank indicate beyond all doubt that the
Brandeises were building up a bank SO
strong I'm character that II was but the
question OF a short time when its continued
growth would make It one OF the large
banks in the city. Indeed, II is now prob
' ably the largest state bank In Nebraska
The bonds and securities It turned over
TO us are exceptionally good ana II will be
the policy OF our bank to carry for the
d savings department a very large line OF
Il bonds OF equally strong character.
p, eve made a careful investigation In re-
v gard TO the savings departments opened IL
recent years by national banks in the west
In Milwaukee the national banks hav,
\ found that their savings departments ma
> terially increased the commercial business
OF their banks and the results have beer
r uniformly successful The leading nAtiona
bank there has over S3,OOOOO0 OF savingi
deposits and the other national banks II
y Milwaukee carrying savings department.
Il report a similar succeas. In Minneapolis
. the three leading national banks have sucf
p departments with several millions OF dol
II lars Of savings and are emphatic In thei
q statements that this feature OF their bust
- ness has been most satisfactory"
Kennedy Tells why IL was Done.
II John l.. Kennedy, vice president OF ]. L
Brandeis & Sons, bankers. mAdA lhia state