Richmond planet. [volume] (Richmond, Va.) 1883-1938, 1930-12-27
MR.. JONES SUGGESTS SMALL
LOAN ACCOMMODATION FOX
COLORED PEOPLE
Editor The Richmond Planet

Editor The Richmond Planet
Sir:
That the two colored banks in
Richmond have merged into one Will
be demonstrated fact January 1st,
1881. 1t is far more interesting and
far more inspiring to know of bank
merger than to know of a bank
failure. The latter denotes bad :
business and when it happens the
depositor invariably gets the worst
of it.
Since the writer belongs to the
depositor class, it may not be in
appropriate or inopportune to sug-
gest that experience has taught US I
a colored bank should not be
individually owned or individually
run. 1t should not be tied up or con-
trolled by any special interest, or by
any one organization, or association,
or fraternity, or religious denomina-
ton whatsoever, but in large way
il should represent the entire Negro
race. And if thus organized and
operated it will command greater
Donular support.
There are many vioces telling us
about race pride, of the great need of
0atronizing race enterprises, of de-
hosting funds in Negro banks, and
so forth and so on. But many colored
people do not accept the advice Of
these advisors when only few Of
them practice what they preach. The
average person refuses to be lulled
into confidence when he sees stock
holders neglect to patronize their
own business enterprises, when he be-
holds bankers that do not realize
their own needs and necessities, that
could not visualize the fact of COM
petition, being foolish, wasteful and
unnecessary.
1t must be admitted that a colored
bank is bound to have it's opponents
and doubters just as science has its
always had it's detractors and
enemies. and Negro bank can not :
escape the same fate, even though it
nay not be charged with an en-
bezzlement, or transportation, or
discrepancy, or irregularity in the
handling of funds.
Since one of the chief aims Of
well organized bank is to render
rervice satisfactorily in all respects
to it's patrons, it is clear that the
consolidation of the two banks into
one strong institution will greatly
stabalize the banking interests of our
group. 1t will tend to remove the
feeling of suspicion, insecurity and,
hesitancy of many when it comes to-
placing their all in Negro bank.
Business conditions in Richmond
increase yearly with more insistant
demands for greater banking facili-
ties for our people. Under consolida-
ton these requirements can be more
readily met and greater service
rendered the community. 1t is well
nigh impossible to over-estimate the
value and Importance to business re-
representatives. which the combination
of these two financial institutions
mean. There was until now a positive
lack of evidence that Negro leadeS-
ship, Negro executives and Negro
management could adapt themselves
to current business methods as prac-.
ticed by white business leaders. It.
may be said in passing that there are.
interlocking associations, institutions
and organizations other than Negro,
banks that would be wise to consoli-
date their interests.
After all is said and done it should
be bourne in mind that a Negro bank
however sound and secure will not
appeal to white people. Beside their
gigantic financial institutions little
Negro bank appears as pigmy, But,
the pigmy, so called, gives employ
ment to Negro clerks, bookkeepers
and others. How many white banking
institutions employ Negro book
keepers, clerks and stenographers?
White banks number Negro deposit
tors by thousands, but Negro bank '
can count its white depositors on the
fingers of one hand. In the last
analysis the growth, usefulness and
stability of the Negro bank must
depend upon the support that Neg
roes give their own institution.
Let me ask in closing what would
happen if every Negro in Richmond,
every colored association, fraternity,
VI SdIlZdIIOh, CIuu, DuSlilcSS eHIST-
prise and church, would withdraw
their money from white banks and
deposit the same in one Negro bank?
The answer is that the Consolidated
Bank and Trust Company would
have to erect new and larger bank
ing house. 1t would be forced to
employ more tellers, clerks, book
keepers, stenographers and janitors.
1t would be obliged to secure the
services of messenger, an elevator
operator, day and night Waterman
and then some. The Negro bank
would then cease to be regarded as
pigmy and white bankers would sit up
and take notice.
One sound, strong Negro bank is
enough for this city. 1t should appeal
Cor patronage to all the colored peo-
pie in Richmond and vicinity. 1t
hould be in many respects poor
mans institution with a small-loan
department. in operation. 1t should
ender service by extending accomo..
]ation, amply secured, to the class of
people from which its founders
sprang. Only in this way can the
best interests of the banker, depositor
and small borrower of our group be
conserved
Theodore w. Jones