The Birmingham age-herald., 1915-11-27

including banks in Al states, were charging on some of their loans, as late as September 2, 1915, 12 per cent per annum interest or more (and in numerous cases more than 50 per cent) 1t can hardly be claimed that the charging of excessive rates of interest is confined to either a few banks or a few localities. In 27 of these states, embracing approximately SO per cent of the total area of the continental Uni ed States, exclusive of Alaska, the rate of 12 per cent or more is, under any circumstance usurious.
 "The location of the national banks charging on some loans 12 per cent or more was, as stated in my recent pulp lie address above referred to. as fol- lows: Nine in New York state, six In Pennsylvania, two in Maine, three in Massachusetts, five in Virginia, seven in West Virginia, six each in Florida and Louisiana, 66 in Georgia 52 in Alabama. i6S in Texas, seven in Arkansas, F in Kentucky, 2S in Ten nessee, four in Ohio, eight in Indiana, 40 in Illinois, seven in Iowa, 19 in Mis- souri, 69 in North Dakota, 4S in South Dakota, 21 in Kansas, 46 in Montana, 20 in Wyoming, 63 in Colorado, AS in New Mexico, PSF in Oklahoma, 25 in Washington, 40 in California, 40 in Idaho, IS in Utah and eight in Ne vada, three each in Michigan, Oregon, North Carolina and Arizona. In New Jersey, District of Columbia, Nebraska, Minnesota and South Carolina only two banks in each admitted charging 12 per cent or higher, and only one in Mary land
 The only states where there were no national banks which admitted under oath in their statements of September 2, 1915, that they were charging s high as 12 per cent on any of their loans were Connecticut, Delaware. Mlssls- sippi New Hampshire, Rhode Island, Vermont and Wisconsin
 of the 1922 national banks which certified under oath that they were receiving an average of 10 per cent or more on all of their loans, two were iii Illinois, six in Minnesota, two In Missouri, 23 in Georgia, six in Florida, 21 in Alabama, two in Louisiana, 3l7 in Texas, F in Arkansas, three in Tennessee, 90 in North Dakota, 25 in South Dakota, IS in Nebraska, five in Kansas, 3S in Montana, IA in Wyom- ing, 37 in Colorado, 25 in New Mex ico. 300 in Oklahoma, 12 in Washington, 10 in Oregon, 13 in California, two in Utah, one in Nevada and 33 banks in Idaho.
 During this same period, while so many national banks were charging excessive rates to customers, the fed
  freely to the national banks in every part of the country at rates varying from 31s to 5 per cent, according to the class of paper and the time to ma turity. There was no reason why sound, well-managed banks in any section could not have gotten at these low rates all the money required to supply the needs of customers, whether farm CTS, merchants or manufacturers, or why the national banks should not have loaned sAe funds to their GUS toners in every case well within the rates prescribed by law.
 gro illustrate the unfairness of some Of the complaints made by usuerers and which reach this office let me take this occasion to call attention to an attack made upon the federal reserve system just year ago by a certain national bank which denounced the 6ls per cent rate for long time paper, established at the outset by federal reserve banks (though soon reduced to per cent, as 'unreasonable,' 'exacting,' and pro hibitive' 'prejudicial to the new sys- tenn and calculated to shake 'confidence' in the members of the federal reserve board
 "An examination of the complainant bank which this office promptly caused to be made, showed that this bank. with assets of more than $1000,000, had been a gross violator of the usury laws; had been charging it's customers for money more than 10 times the 61a per cent rate which 1t characterized as unreasonable, exact ing and prohibitive,' and had in the three or four months preceding it's complaint made more than 400 loans in amounts from $50 to over $10,O00 each, on which it had exacted rates ranging from 10 per cent to 100 per cent, including one loan of $2O6l at GA per cent, and another for $553 at S1 per cent'