Evening star., 1933-10-29
Retail Credit Survey
Shows Improvement
BY HARDEN COLFAX.

A reverse in downward trend, for the
first time in three and one-half years.
is noted In the collection percentages in
retail trade by the compilers Of the
seventh semi-annual retail credit sur
vey, which has just been released by the
Department Of Commerce.
Today when it Is difficult to predict
the credit developments Of even few
months ahead, these surveys, made pub
lie every six months by the Department
Of Commerce, are providing business
men with useful records showing the
changes In credit conditions.
The department makes these semi
annual surveys with the cooperation
and at the request Of the National Re
tail Credit Association and It's many
afiliated associations. The main object
is to provide sound credit management
through research and education"
The conclusions of this survey are
based on reports received from Alb re-
tail establishments in all parts of the
country. The list includes 96 depart
ment stores, 62 furniture stores, A jew
elry stores, 62 mems clothing stores, AZ
shoe stores. Y womens speciality stores,
IA electrical appliance stores. and 20
automobile accessory shops located in
% cities
Net Sales Show Drop.
The total net sales Of these establish
ments for the first six months Of 1882
were just under 1886, ,625 900. and the
figures for January to June of the
present year showed a decrease of just
over 16 per cent. The total net sales
Of the jewelry stores decreased slightly
over l2 per cent which was the small
est percentage of decrease among the
eight kinds of stores reported. Electrical
appliance stores reported the greatest
decline, Just under 81 per cent.
The collection percentages indicate
that the average length of time during
which open accounts receivable" were
outstanding in the stores reporting
that is to say, the average length Of
time that the retailers dollars were tied
up in these accounts-was 81 days for
the first six months of 1882 and 80 days
for the same neriod Of 1888. This slight
increase in the average for six-month
period, in the judgment Of the Com
merce Department, Is significant in itself,
in that previous reports covering the
period since January 1, 1880, have all
shown greater increases"
So-called bad debt losses" on open
credit accounts of all stores were the
same for January to June last year and
this year. Three of the eight kinds of
stores represented, however-furniture,
mems clothing and electrical appliances
showed decreases in these bad debt
losses" There was a decrease, Siz-
able one, in the losses from the accept
ance of fraudulent checks.
Many Changes Develop.
During this period Of reconstruction
profound changes in business are de-
veloping. This Is being realized by or
ganized groups Of business men, who
have asked the Department Of Com
merce and the various retail credit as
sociations to collect and classify de-
pendable factual information as to
credit conditions and practices through
out the country. 1t Is interesting to
note that just as this seventh semi
annual retail credit survey is published,
there appears also detailed report by
the Twentieth Century Fund on THE
Internal Debts of the United States" At
the end of 1882, according to this re-
port, which analyses short term busi-
ness debts and short term personal
debts, as well as the major items Of
farm, mortgage, railroad, public utility,
Government, industrial and bank debts,
the total short term individual and
family debts In the United States were
slightly more than $14, 5,00o, 900.
(Copyrighted 1888, by the Consolidated
Press Association.)