New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1912-06-05
Calls Uniform Rate Hardship.

Mr.. Felsinger takes exception TO the doc
trIne OF those who believe there should be
a uniform reduction by all the banks for
the good OF the whole. and contends that
II would be an unnecessary hardship on the
depositors for those banks TO reduce the
interest rate which are amply able. be-
cause OF their condition, TO pay the higher
rate. RE said:
II ia the duty OF every Nosrd OF trustees
ars, 10 consider the interests OF its own
denositors There is no reason why we
should reduce our rate with surplus
amounting to . and fraction per cen.,
II we did so I'm three or TOUR years w
would have TO paw an extra dividend. when
tho law requires when the surplus reaches
Is per cent and that would not be falr 10
the present depositOrs.
We would be giving IL 10 some one Wno
did not deserve ii. think II Is up 10 the
Rank Superintendent To see that eacn oahS
f. treated in this matter IN tne uesre.
which Its condition warrants we are hoI
a chain OF banks and II is every dog Tor
himself | believe. however, that there are
Some savings banks which should not pay
more than 3i7 per cent.
Mr.. Felsinger added that when the condi-
ton OF the New York bank did not warrant
Tho higher rate Il would not be slow 10
reduce Il. He said that he believed. as
rule depositors were more concerned with
the elements OF security and convenience
ir q savings bank than with the rate OF
interest.
There was a report yesterday that the
corn,an Savings Bank was one OF those
uhtob uere likely 10 reduce the dividend
rate The officers OF the bank declined to
discuss any possible action OF the trustees
nrio- n the coming meeting In fact II
was said that II was impossible to forecast
what that action might be. Another report
was that there was split In the ooarn Oh
trustees OF the Emigrant Industrial saw
,ngs Bank on the question OF reducing the
interest rate TO 81 per cent, but II was
gatI that the majority OF the trustees were
I'm favor OF maintaining the higher rate.
Some Favor Greenwich Reduction
trustee OF the Greenwich Savings
Rank. which has been paying split rate
since June 19i0-that Is, per cent on &C
counts I'D 10 81. coo. but only ia per cent
on deposits over N.oO-sald yesterday that
Il was impossible TO tell whether a reduc-
ton to the fiat 3ia per cent rate would De
forthcoming. though there were known 10
he several members out OF the thirty on
the hoard of trustees who favored the re-
duction About a third OF the trustees
voted in favor OF the reduction AT the last
meeting. II was said.
Bankers who have advocated UNIFORM
reduction OF the interest rate as means
OF strengthening the reserves OF the saw
Inps institutions and az further equita-
HE ARRANGEMENT among all the savings In
situations. in order to give the smaller
banks a better opportunity to build up thelr
business, said yesterday that II the Emil
grant Industrial, the German ana other
large institutions would adopt the lower
rate Il would make It very much easier TO
obtain the desired legislation, which Is
hound 10 come. I'm their opinion, TO make
the a., per cent rate compulsory. The
larger savings banks surely would court
no harm in adopting the lower rate they
said. and many Of the smaller INSTITUTIONS
would be greatly benefited