The Owosso times. (Owosso, Mich.) 1897-1926, 1914-09-18
How She Saved
the Bank
A Financial Story Of the
1907 Panic
BY WILLARD BLAKEMAN

There are different ways of further
ing ones getting on in the world.
Shortsighted persons can see only one
way, which is acting on the adage.
Every fellow for himself and the
devil take the hindmost." Neverthe-
less men have made fortunes by help
ing Others The difference between
this class and the other is that one
acts with a view to lettering his con-
dition, while the other acts through
kindness of heart.
When l was young man l obtained
position in bank and by attending
faithfully to business rose to be cash
Ter. l was economical so far as my
own personal expenses were concern
ed, but don't think l was mean.
young men companions, but when any
one really needed assistance would
give it outright.
That had good judgmentlin making
investments is proved by the fact that
my savings grew rapidly. When was
twenty-seven years l married Molly
Erskine, aged twenty. A year after
our marriage word came in from
western town that there was only one
bank in the place and room for more.
After talking the matter over with my
wife l decided to start a bank there.
/ got some of the stockholders of the
institution with which l was connect
ed interested in the project and with
doors for deposits.
l found that the man already estab-
lished, John Redfield, had antagonized
certain persons by declining to give
them all the discounts they desired, and,
there being no other banker in the
town. they had taken steps to have one
establish himself there. These persons
welcomed me. opened accounts with
me and averred that if | would do a
liberal business and not be scared at
trifles l would soon do all the business
of the town.
| saw at once that Redfied was not
pleased at the appearance of rival
and took secret means to discredit me.
He kept the best and safest accounts,
while the weakest came to me. But
by adhering rigidly to fixed principles
of banking and acting on the suppose
ton that there was business enough
for both of us | got my share of the
new deposits. which were increasing.
and occasionally one of Redfield's Gus
toners would fall to me. But, as had
maintained, there was business enough
for both, and at the end of five years
Redfield had more than held his own.
while l had obtained n solid footing.
Bankers, like sea captains, must eX
pect storms. l managed my affairs
Of sailor, much depends upon the
facility with which he can get i'm sail.
so the bankers safety depends upon
his ability to get in his loans. If the
captain keeps his sails furled he will
make no Roadway. and If the banker
keeps his money in his vaults he will
make no money. When the panic of
1907 came on l was in as good If not
better, condition than the average
banker to meet the storm.
1t looked at one time during that
panic as If the financial structure of
the United States was about to col
lapse. / confess l was in great fear
and bury me under its ruins. Every
day more money was withdrawn from
circulation and locked up. l got in all
the loans l could and sold at a great
sacrifice all my private property. This
fund l turned into gold took 1t to my
home and concealed it under board
in the floor. l proposed to keep it to
enable me to pass a crisis.
The financial barometer-the New
York stock market-continued to fall. q.
and money grew propOrtionately scarce.
One morning l heard that q run had
been started on Redfield's bank, and
as the day wore OH the line before the
paying teller's window increased.
There was nothing like run on my
bank, but during the day the amount
drawn was three times the usual av-
erage.
The next day the line leading to the
paying tellers window of Redfield's
bank was increased, and at noon Red
field came to my bank and told me that
he must either have help or close his
doors. He asked for it on the ground
that If he went under the panic would
extend to me and / would be carried
down with him.
| told him that | did not think so.
That there would be a run on my bank
was willing to admit. but my intelli-
gent depositors would not draw their
money, and could pay all the rest.
Then" he said, ~ am ruined. / am
too old to begin again. especially with
a debt hanging over my head. If
had $4,000 or $4,000 to tide me over
the rest of the day could pull
through, for tomorrow am promised
payment on a sole Of bonds have
made"
1t was then II o'clock. l told Red
field that / would consider the matter
of helping him AMI let him know by 2,
II not earlier. He went back to the
hungry crowd before his bank. and /,
calling an auto cab, went home. There
I found my wife and told her that I
was called upon to save Redfield, with
L. -. n. III