The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1916-10-12
TALKS ON BANKING
HOW THE SAVINGS RANK HELPS


The savings bank has been Iikened
to reservoir into which 1ow the little
streams, to be assembled into one mass,
out Of which flows the larger stream,
powerful because of it's volume. The
savings bank bestows its greatest
benefits upon the individual and the
community by this reservoir process.
scattered dollars are impotent dollars.
Assembled dollars are powerful dol
lars. A thousand dollars divided among
thousand different men are of little
consequence to the possessor or to the
BODY as whole. but when the thou
sand dollars are the property of one
individual, they become of vastly more
power than the sum total OF the indi-
vidual units. The congregated fund
moves in one direction, and has COM
mon aim, whereas the scattered dollars
all have different ends and aims.
The beneficial work of the savings
bank can best be seen by a simple illus
tration, drawn from actual fact and in
process in savings banks every day.
Let us assume that a hundred people
have deposited $40 each in a savings
under the control of the banker. One OF
the members of the group wishes to
erect a house, having the land paid for
He applies to the bank for q loan or
$1,000 and is granted tho use of the
money deposited by the other members
of the group. The carpenters. masons.
plumbers, painters. etc, are employed
and the fund begins to do It's work.
Each workman depends for his pay
upon the savings bank. which will
make advances from time to time as
the work progresses. Not alone the
men who are directly employed, but the
material dealer who furnishes the
brick, stone and mortar, the lumber
man and the iron worker-wherever
material is produced or manufactured
the stimulus of this operation is felt.
The bulk of the money goes to labor,
TO be spent for food, clothing, shelter
and amusement, and all the industries
that cater to the wants of man feel
the benefits. 1t passes from hand TO
hand, down through the courses of So
ciety until eventually It finds it's way
back into some bank for similar OPP
Grafton.
| When a school district issues block
of bonds to build a new school house,
a city Tor street pavement, sewers, wa
! ter, parks, etc, the same results fol-
llow--labor gets the benefit. And from
| the portion that is not used for i'm
mediate satisfaction of the wants OF
men a portion finds Its way back into
the bank to be united with other thrif'
dollars to benefit the masses.
| When 1t is remembered that single
savings bank in New York has on Its
! books today over 1000 open mortgage
loans, representing $40.ooo.oo0 thus
placed in circulation, the far-reaching
effects of the savings bank will be-
come manifest.
| We might well claim this savings
bank to be a builder of cities, for 1t
has. for a century. been assembling
money from the many to lend to the
few, to be passed out again through
the pay envelope for the beneht OF the
many.
| Every time you enter well-kept
| home. cross a weli-paved street, walk
| In the park, draw cup OF water. send
your children to school-yea, 1t may pc
| tear open your pay envelope you may
owe a debt of gratitude to some saw
ings bank for furnishing tho money
| that made all these things possible.
You can best pay your debt by Joining
1.-The army of the commended VINO use
| the savings bank as the reservoir 70
store their savings, to be passed out
again with the savings OF others Tor
| the benefit of mankind.