Evening star., 1921-07-24
LOCAL BANKS AND BANKING
AUGUST, 1907, TO JUNE 80. 1921
Many New Banks Started-Some Few
Gone-Gain in Deposits, $1O9,N5,711.
Some Comparative Figures.

Provident there is the Security Saw
ings and Commercial.
- Profitable at What Points
At what point in the deposits of
bank can a profit be? This is a hard
question, perhaps. for a theoretical
man to answer. and yet practical
bank man who has evoluted through
prosperity. declares that not lesA
than 100000 deposits is needed be-
fore there will be a chance for profit.
On that basis all but a very few late
comers in the local savings field are
on the sunny side Of the situation.
1t must be remembered that money
costs money; interest. taxes, varied
legitimate expenses and the safe plac-
ing of the cash at the best rate going
in order to turn the profit. Conces-
sions may be made. when it pays.
A mans checking account is hard
anything. longtime stability, per-
manency with one bank, is more or
less of an advertisement of solvency.
If the account was not worth having,
rectly or indirectly, it would have
been eliminated.
Many bank officials have found
their closest friends reluctant to
move their checking accounts for this
very reason.
But ali Of the forty-four banking
institutions of this city have been
able, through the selection of direc-
tors and officers, to secure a goodly
share of deposits during the fruitful
banking years under consideration.
Have Sufficient Banking Capital.
It would seem today as il the Dis
trict of Columbia had sufficient bank
ing capital for it's needs, and yet the
real estate interests continually COM
plain of lack of mortgage money.
1t may. be that their plant is due to
the business exigencies of the last
few years and the big advanced val
uation placed on their holdings and
the holdings of their clientele.
Some years ago Philadelphia was
the chief source of big loans on Wash
ington realty, but that market is as
tight as the local field. Conditions
have not been favorable to long time
investments during the last few years.
Certainly the commercial interests
Of the city are thoroughly cared for.
The Years Of Rapid Growth.
The increases in deposits between
1907 and 1915 were marked by slow.
steady accumulation, but with the
war. and then in 1917 the great
financing, as this nation took its place
with the allies. and the population Of
the capital increased by thousands
and billions of money were added to
the currency in circulation, big gains
developing.
Thus in December. 1915. we find that
the deposits of the national banks
had increased to $4O,6O1,767; the saw
ings banks to Sl1,912.S77. and the
trust companies to $32.855,S91, a to-
tai of $S5,37O,536.
In 1916. in December, a year, later,
We find the nationals with deposits
of $49,997.001. the savings banks
with $13,927.s99 and the trust COM
panies with $35.572.437.
In December. 1917. a big increase
which reported deposits of $s2,663,-
G27, savings banks $16,706.lS4 and
the trust companies $40.345,21O. for a
total of $139.715.022.
In November, 1918, the totals were
$79.451,257. $25.510,305 and $40.922 421,
respectively, for a total of $145,SS3,-
sS4
In December, 1919, the national
banks showed $sS.286,092 deposits,
the savings banks $22,371,9 1868 and the
trust companies $59,993,333, for q
total of $17o,5s1,303
Come now to the record high de-
| posits of the city. shown in response
to the call of the controller Of the
| currency. February 2S, 1920. when the
banks had a few hundreds more than
in December. 1919: with the total Of
S170.S63,120.
Since then there have been slight
changes, but the predictions of to-
| day. with economy the watchword,
are for a material recession.
The following gives the latest re-
turns as to deposits of the banks
named: