Iowa state bystander. [volume] (Des Moines, Iowa) 1894-1916, 1912-04-19
AFRO-AMER|CAN CULL|NCS /.

Negro banks have passed the exper-
mental and curiosity stages and are
d. noastrating their incalculable
worth to q people who heretofore had
little or no access to the circle Of
finance. Everybody knows the din
culties negro had to encounter in
negotiating loan at bank, before
the arrival of the negro banker. OF
course II negro had AL gilt-edged
security. worth hundred cents plus
on the dollar. he could secure a loan
and usually such negro didn't
need 1t. And II a few negroes In the
community wanted a loan Of $25 or
$50 each, why they could be accom-.
modated on their general reputation
But when 1t came to getting enough
money to last You until you got out
of the bank, why that was another
story. The general custom seems to
have been something like this: You
dropped into a white bankers estab-
lishment, stood around half frightened.
frst one white man and then another
came in and had his wants supplied,
in the meanwhile you continue to be
crowded further back into corner.
After what seemed to be ages the
cashier looked up, saw you and asked
you: We'll, John, what do you want?"
You fumbled around for words under
the spur of his LOOKS that you must
hurry up. Finally you blurted out
that you wanted to see II you couldn't
borrow $50! why, what do you
want with all that money!? You
frame up blood-freezing tale Of dis
tress, and are asked what white man
can you get to go on your note? You
name Mr.. So-and-So, the note IL
drawn up. you spend an hour or two
looking up Mr.. Soand-So, stand
around awhile longer, finally get your
note signed and with beating heart
return and get your s25 or $50. The,
coming of the negro banker has
changed all of this for all except
those who like that style-because
they're built that way Now. If you're
anybody at all, you can at least get a
decent hearing-and If you mean bus
mess you can even 60 back, take
seat and explain your difficulties to a
man who sympathizes with and Is
willing to help you because he has
been there himself. Negro banks have
by increasing competition made
things easier at the white banks for
negro customers. The rise and de-
velopment Of negro banks Is not with
out interest The first negro bank
was established in 1883 In Richmond.
There are now 81 of these banks, with
Mississippi leading with eleven. Flor
ida, South Carolina, Maryland. have
one each, Oklahoma q, Texas 1. There
are four negro banks in the north.
Deposits in negro banks aggregate
more than 100000 and with COM
bined capital stock Of about $4,000
900. The negro banker IL about the
safest banker on earth, for the reason
that he hasn't learned the game Of
high finance as played on Wall
street; he doesn't have to keep up ap-
pearances in the matter Of automo-
biles. etc.; he knows that strong
forces are against him, not because
he's a negro, but because he is a
competitor In the sanctum sanctorum
of modern power; he knows, too, that
the world Is watching him and that
he has to depend for business on a
people many of whom would rather
for their money to go down in the
crash Of white bank than to be safe
in negro's bank. In other words,
the negro banker has more to gain by
being straight and more to lose by
crookedness than has any other class
Of bankers In the world. Negro banks
can fail, Of course, for in this life
there are no dead certainties-except
this: We are certain not to get out
Of life alive. But for reasons already
mentioned the chances are ten to one
against their failing. They ask and
need confidence. Two-thirds of the
business transactions of this world
and all Of the business with reference
to the other world is based on faith.
The arrival of the negro banker
means a new vantage ground for the
race in its struggle up the long, icy
slope Of life. Negro banks are not
members OF the state guarantee fund,
for the reason that as there are 80
few Of them as compared with white
banks, they would be taxed out of ex-
istence by the numerous assessments
that must be forthcoming whenever
such bank collapses from bad man.
agement or Is wrecked and looted by
yeggmen.-Dallas Express. 49,
Our sprightly New Yorr Illuminated
contemporary Life has done a public
service In issuing "Spendthrift's
Number March 14), in which we find
the following as a foreword: 49,,
When this race has passed away
II will be celebrated in history for
. single idea, Of which we are not now
30 supremely conscious-and that is
our credit system. On basis of nat
ural resources we have built UP a
structure SO huge that it fairly reaches
the sky. 1t Is a vast bubble, on the
surface of which. like inspired insects
we swim and dream our financial
dreams. G6 49, 600 ~ 80 {,
THE idea OF spending as much
money as we can, regardless Of how
It can be made, or even whether it
can be made, Is one that every Amer
lean begins the world upon. Thereafter
everything that he does Is some sort
Of modification or readjustment Of
that idea. M
we have long since passed the sim
pie or kindergarten stage Of living