Evening star., 1934-05-29

posits shall consist of thrift accounts,
which are accounts to which deposits
are made from time to time, for bona
fide thrift purposes"
What accounts, Mr.. Endicott asked,
are included in this definition? Judg-
ing from the opinions and actions
taken by bankers in other large
cities-New York, Boston, Philadel-
phia, Richmond, Atlanta, Baltimore
and Chicago-this question can best
be answered by stating which &C
, counts are not considered thrift ac-
counts. These are accounts of COR
porations, business associations, part
nerShlpS, court accounts, public
funds and accounts of individuals hav-
ing excess balances.
To date there has been no con-
! certed attempt on the part Of the
District Of Columbia bankers to in
terpret regulation @ and to correct
some OF the prevailing improbable
| practices, but the time has come when
local banks should take some action
to relieve themselves of the burden
! Of 3 per cent non-thrift accounts, the
/ speaker said.
Suggests Classification.
But let US not regulate deposits
out of our banks" Mr.. Endicott con-
| tinued- 1T would not be TO the best
| advantage to make a blanket reduc-
ton in interest at this time, but it
would be more equitable for our in
| Cf1t1IflnnC
ana TO adjust the interest rates on
those exclusively large accounts
where thrift and savings have no
part, but upon which the sole objects
are per cent and safety, without
! nuctuation Of principal incident to
! even Government investments: then
| adopt diminishing rates on increasing
balances representing true savings,
Let us introduce rules adjusting inter-
est rates on all new deposits to a
| prohtable basis. Thus will we be
dealing honestly and fairly with our
old depositors, and taking new bust
ness on a basis fair to banks, as well
! as to depositors.
Ihe hnancier explained that it is
not these small accounts which are
the problems today If this rule were
general 1t would undoubtedly result in
the loss OF a great many savings de-
| posltors, among them many of the
younger n-children. and
young people Just starting out to earn
nVlng-to whom bankers, parents
ana others are continually teaching
the idea of thrift, and whose savings
represent thrift accounts" in the
truest sense.
Submits Set Of Rules.
! Mr.. Endicott, in concluding his re-
marks. submitted a set of rules and
regulations for adoption by the aSso-
clatlon TO effect a uniform system
which would be fair alike to the banks
and the customers they serve. The
rules, he said, have been carefully
drawn to comply with all recent leg
islation on the subject Of savings de-
posts.
| Robert c. Lacey, retiring president
of Washington Chapter, American In
stitute of Banking, reported that while
membership declined l6 per cent DUR
ing the year. there are still Asst men,
bers. The educational program has
been maintained at top standard. with
354 enrollm entS. Two issues of Dollars
and Sense were published; the Bank
Women's Committee had rare success
in getting women bank employees in
terested in the institute, and the
| forum meetings aroused unusual in
terest. The institute is now making
elaborate plans for entertaining the
national convention in Washington in
June. an enjoyable, instructive and
| timely program already being assured
For two hours last evening the
Washington bankers held an extra
session. Discussing the analysis of
accounts, service charges, best meth
| DDS of obtaining and making use of
| financial statements Of large borrow
| ers, tax matters, and score Of other
problems of special importance In con-
nection with bank management H. H.
| Mckee. president of the National
Capital Bank, presided. In addition
to today's regular business program,
the family dinner" is set for tonight,
with Thomas w. Brahany master Of
ceremonies.
First Lady Is Visitor.
Mrs. Franklin D. Roosevelt, who
paid brief visit to the Greenbrier
Hotel late yesterday, sent a special
message of gratitude to the District
Bankers Association for the very large
bouquet of roses which greeted her
upon arrival in her suite. The wife
of the President. accompanied by Mrs.
Henry Morgenthau, jr, tarried here
for dinner after a strenuous days in
spection Of the Federal Industrial In
stitution for Women at Anderson, 20
miles west of this resort. She motored
from Anderson but continued her jour-
ney toward Washington over the
Chesapeake & Ohio, leaving White
Sulphur shortly after 8 o'clock. 1t
was the first time Washington bankers,
while in convention, had enjoyed the
opportunity Of welcoming any Presi-
dents wife. The visit Of the First
Lady aroused unusual interest among
all the hotel guests, among whom is