South Bend news-times. (South Bend, Ind.) 1913-1938, 1915-06-09

there IS perhaps none that is more
important than the banking profess
sion because 10 deals exclusively with
money and money is the most import
ant OF all the material foundations OF
clvilization-the sinews of peace as
well as war.
The history OF the banking profess
sion dates back TO the very earliest
times and in one form or another
bankers have existed since the very
dawn of history.
Savages whose dealings with one
another were based on barter can
hardly be said 20 have any interest in
the banking profession. though even
among them certain members of the
tribe, more shrewd than others. would
hoard their resources and use them
ludiciously for their own advance
ment, perhaps. in some cases, making
loans and being, TO that extent, bank
ers.
But banking. as we understand the
term is first TO be traced among the
ancient Greeks and Romans. Roman
banks received money on deposit and
paid 10 out ON their customers writ
ten order in much the same way as IS
done by the banks of today. They al
so accepted money on deposit repay
able at "a stipulated time Like their
modern Successors. these early banks
made their profit by lending their
customers money at a higher rate of
interest than they allowed and in
many cases they paid no interest at
all. the safe-keeping of the money and
its return TO the owner being consid-
cred sufficient payment for the bank
or 10 make.
Jews Leading Bankers.
In the middle ages banking in Eu-
rope was largely in the hands of the
h
lenders and. consequently bankers, Of
the world The Jews of the Italian
province of LOmbardy established
bank in Italy as early as 500 years
after the death of Christ and il is an
interesting fact that the home Of
banking in London took its name
from descendants of the LOmbardy
Jews who settled in London And to-
day the center of the financial district
I'm London still retains the name LOm-
bard St
italy was for long time very act
i've in banking and the Bank of
Venice which was formed in 1857 is
generally considered 10 have been the
FIRST real bank The Venetian govern
men, sorely pressed for cash. received
"a loan from the Weather citizens Of
the city and guaranteed interest at
certain fixed intervals. The principal
ment guaranteed perpetual interest
which passed from hand to hand and
by VIII from one person TO another,
The Bank of Venice being at the start
merely a transfer Office of this ma
tiOnal debt; in fact IL did not become
"a real bank in the modern acce ptanCe
Of the word until some three centuries
later. about 1900. This bank existed
until its power was finally wiped out
10y the French invasion in 1897.
Trace Origin e. Florence.
The origin of modern banking is
really tSaceable to the money lenders
on the cily Of Florence in Italy,
though the principal function of mod
ern banking, namely, the keeping of
depositors' money in safety and at
their cOmTand. was first undertaken
sterdam II 1909
Amsterdam was at that time the
worlds greatest commercial center
and on account of the irregularity of
many iG:IIs of European coinage, a
central exchange was established at
Amsterdam for the purpose of receiv-
ing all such currency and issuing in
exchange standard coin.
Towards the close Of the 18th CEN
fury, in 1894, the worlds greatest
banking institution, the Bank OF Eng
land, was established. II has always
been closely connected with the gov
eminent. and it handles all the bank
ing business of the British govern
ment Its liberal charter and con-
servajive Yet progressive methods
have made IT the dominating inStitu-
tion of the financial world
From England banking came TO
this country. the first financial insti-
tuition having been started in 1856
when permission was given 10 a com
pany in Massachusetts TO issue bills
of credit on the security of real and
personal estate. About 1712 an insti-
tuition known as the Land bank came
into existence. and while anything but
popular with the authorities it pros
pered or many years. other banking
schemes were projected in the differ
ent colonies but in general they
seemed 10 have met with little sue
cess
At the time of the breaking out of
the revolutionary war the Bank of
North America of Philadelphia was
eSta bHShed and exists at the present
day being the oldest bank in the
United States. National banks were
established as a result Of the civil
war and the bankers of this country
have contributed their share towards
the general growth and prosperity Of
their communities
No Et~N TASK.
Many people seem 10 have an idea
that the banking business is more OF
less Of holiday. IT is not easy 10 see
why this idea should prevail though
perhaps the So-Called bankers
hours are largely responsible. IL is
natural for a person who is accust-
omed 90 keep his place of business
open from s o'clock in the morning
until $3.50 i'm the evening 10 feel that
the banker. who opens an hour oil
more later and closes at least two
hours sooner, is having an easy time
and the general public is more or les.
apt 90 get this same idea though il
IS, Of course. far from the truth.
As q matter OF fact. modern bank.
ing is one OF the most eNacting OF
professions. and while OF course II
has many ADVANTAGES and reward.
these cannot be obtained without civ.
ing full value In exchange \ little
thought viii easily convince any one
that IL the banking profession was "a
much easier than any other. il would
soon become very much overcrowdeC
because. with all due respect 10 the
energy and ambition of the average
person. there are very few people