St. Johnsbury Caledonian. [volume] (St. Johnsbury, Vt.) 1867-1919, 1912-07-24
PRESS COMMENT
A Money Trust i'm Vermont

1t was charged by one of the can
didates for governor in Vermont tina
the State was afflicted with a mon
ey trust
This has been eagerly caught VI
by papers and persons, who are read,
to attribute the lack of growth il
i population and the industries of the
State to most any plausible cause.
We do not believe there are valiC
grounds for the insinuation Oh
charge.
That the banks, trust companies
etc, have looked carefully after their
interests is to their credit and that OF
their officers. To do less would be
to show that they were unworthy of
the confidence of their depOsitOrs and
stockholders.
The trouble is that the people have
not been as insistenr that they should
be given the benefit of advanced leg
islation.
Whenever the people really want
the same rights, to loan or borrow
money that the banks now enjoy, they
will get it.
That the party platforms this year
demand such right is significant of
probable legislative action this fall.
Here are a few changes that we
believe would make for better condi-
tions in Vermont, both for the indi-
viduals and the banks:
We would favor the change of The
savings bank laws so that banks
could loan up to IS percent of the
real or appraised value of real es-
tate.
Further, we believe that these
banks should be allowed to loan on
any class Of securities that National
banks are allowed 70 lend money up
on.
The State bank commissioner is
in favor of reducing the State tax
upon these institutions, from 81 on
$1,000 to SIS. We would favor this
were ths individual given the same
right, provided this money, so taxed,
were loaned in Vermont.
We believe that every bank ought
to be required by law to loan up to
rs percent of it's money in Vermont.
This could not be done a. once with
out injustice to both western borrow
ers and the banks, but the latter |
could be required to reduce their
loans outside the State at the rate |
of ten percent per year until they |
had all complied with the law.
We believe that nothing would |
stimulate the industries, farming, |
etc., in vermont more than the pas
sage of this amendment to our bank
ing laws.
Then the banks would be seeking
and encouraging the investment of
Vermont money in Vermont.
Then young men of good charact-
er, who are not afraid Of work would |
be encouraged to buy Vermont farms
by bank people.
Take for instance a young couple
Just starting in life together, who
had saved up, say $500. They could
buy farm worth $4,000 and get the
money of a savings bank in Vermont.
Think what a recommendation it
would be for such a couple coming
into a town to have a representative
Of one of the great savings institu-
tons Of Vermont go with them to in
spect and buy a farm?
1t would be worth everything to
them. 1t would show that they had
been looked up, found to be all right,
and insure them hearty welcome at
the start, into any Vermont farming
Think how the knowledge that
such aid from the banks could be
had would stimulate an interest in
,armingi
Think how it would stimulate the
saving of money by young people,
hat they might accumulate a suf-
icient sum to interest some bank to
oefriend theml
The millions that now go to build
Up western enterprises, western
farms, etc, would then be seeking
% build up Vermont industries and
develop Vermont farms
Think it over. Morrisville Mes
;enger.
Interest Rate Too High.
The matter of taxation was given
serious thought by those who draft
ID the platform adopted at the re-
publican State convention and which
las been endorsed by every county
One clause under the taxation
reading recommends changes in the
avs that will "equaliZe the tax of
Individual lenders of money and say
ngs Institutions urges that, so far
Is practicable, 1.-The ultimate bene-
it of such lowered rate be assured
he borrower.
We are safe in saying that ma
GRITTY at least of the members to be
elected to the next General Assem-
,ly were delegates to either the State
of their county conven-
ion, and are on record as favoring
change in this part of our taxation
aw.
This paper is most heartily in &C
ord with any change in this part of
he law which will tend to the deVel-
,pment of Vermont along Industrial
ines, and more particularly to agri-
cultural advancement. We believe
his can be accomplished without in
my way weakening the present bank
ng law, which is recognized IS one
which properly safeguards deposit
Ors
The complaint about the present
interest rate and deposit all you want
% in savings banks without paying
axes comes, as a rule, from certain
people of the industrial development
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