The Fulton County news. [volume] (McConnellsburg, Pa.) 1899-current, 1910-06-30

these reasons looks bad to the banker.
AS an asset integrity is considered
more important than property itself,
A we'll known credit reporting agen"
cy defines integrity:
Business and social honor.
Personal department.
Character of associates.
Reputation"
Ability is measured thus:
"Age and health.
Business experience.
Education.
Income by personal effort ,very
importantly"
Tangible assets, or property, mean:
'That which can be taken under an
execution.
"And whether personally acquired
or inherited.
Qualified by income.
met wealth (very important)."
In gathering its material for re-
ports it grades its credit requisites
like this:
ability: relatively essential.
Integrity: absolutely essential.
Property: not necessarily essen
tial."
Analyze the headings as furnished
by this credit reporting company, you
will see that practically everything
pertaining to your personal and busi-
ness life Is reflected in the files of the
bank.
These files, unfortunately for the
careless borrower, are not always Sc
cret so far as the banking fraternity
Is concerned. You may have no ink
ling of what the files contain, yet
every bank in your town may know.
There Is sort of free-masonry among
modern banks, and they freely ex-
change credit information or even
volunteer it. So if you are turned
down by the Tenth National Bank be-
cause you are slow in paying for your
automobile or for frequenting the
ball park daily you may be tolerably
sure that the Eighth or Ninth Nation
al Bank will not be ignorant of your
failings.
An Eastern wholesale merchant de-
veloped a liking for society, golf and
yachting. In the popular eye he was
rich. Even some of the banks were
free to accept his optimistic state
ments and his loans aggregated a
large sum. One day, under the infiu-
ence of good dinner, he confided to
a banker friend his conviction that
most business men work too hard.
"There are two kinds of organiza-
tion," he said. "One is organization
of work; the other for leisure. have
developed nay business to the point
| where my organization almost takes
care of itself. That is why l am able
to spend so much time in recreations
81 have reduced the thing to sys-
tenn. In two hours at my desk l can
handle all the important matters nee
essary for my individual attention
/ I rise at o O'Clock, breakfast at 9.45
and go downtown In my auto so az
to reach the office at IL. BY O'Clock
am through with my days work.
seldom go back after luncheon. It's
all in the system"
The banker repeated this conversa'
ton next morning to his associates al
the bank. They looked up the whole
salers card records and found that he
was up to the limit. The maximum
loan" column showed big for many
months, while the average balance
column indicated anything bui
/ strength.
Hes carried his Organization fol
leisure far enough" declared thu
credit man. 81 think we'd better give
him an opportunity to organize fol
work"
SO che wholesaler was politely re
quested to call on the president, ant
was told that his line of credit mus
be heavily reduced at once. He wal
angry, and declared that he could ge
any accommodation he wanted any
where In town. He would take VI
his notes Immediately, he said, ant
also close out his account.
Within two hours the banks credi
man received three inquiries over tn,
telephone from credit managers TO
other banks. All were told the truth
straight and detailed.
From one standpoint the bank wa
hurting its own cause by giving tn
information to the inquiring banks
for by Withholding the facts It woul'
have aided the wholesaler to 'borros
money elsewhere and thus take up ri
paper.
(. But the credit man looked at th
thinS from a broader viewpoint. Som
day he would want similar tip him
self and he would depend on tn
truthfulness OF his fellow credit mer
even though they worked for bank
that competed with his own. II wa