Evening star., 1937-06-10
BANK LOANS Up
.. IN FIFTH DISTRICT
Large Increases Shown by
Country Areas in First
1887 Months.
BY EDWARD c. STONE.

Increased borrowing at banks by
commerce and industry. which be-
came substantial in 1886, continued
during the early months of 1887, ac-
cording to the Federal Reserve Bull
letin just issued. Substantial increases
in loans at country banks in the
fifth Federal Reserve district are
noted in the report.
Most of the increase in member
bank loans during The first quarter
Of 1887, the report states, was in
loans to customers for commercial.
industrial and agricultural purposes
and in holdings of acceptances and
commercial paper bought in the open
market.
There was also an increase in real
estate loans, mostly at country banks.
Loans to brokers and dealers in Sc
curltles have shown rising tendency
since last Autumn, but we're about
the same at the end of March as at
the end of December, the review adds
Commercial loans to customers, as
measured by those other than loans
on securities or real estate, have
shown substantial increases for the
past year or more, the report asserts
At all member banks commercial, in
dustrial and agricultural loans in
creased about S180,O0O,0O0 in the first
quarter of 1897 and from March 81
to May 10 by further S140OOOOOO
at weekly reporting member banks.
The largest percentage increases
were in the Cleveland, New York and
Chicago districts. At country banks
the growth in commercial, industrial
and agricultural loans amounted to
over S50000,000 in the first quarter
OF 1887. During the past year coun-
try banks in most districts increased
their loans on real estate and their
holdings of open market paper, in
addition to the other loans to Gus
toners.
The Reserve Boards latest report
Is highly encouraging as steady
increase in loans to absorb idle fund.
Is banking's greatest present need.
ID. c. Junior Bankers Honored.
Paul J. Seltzer, American Security |
q Trust Co, has been appointed a
member of the National Membership |
Committee of the American Institute
OF Banking, according to a special |
dispatch to The Star from St. Paul
today He is the retiring president of
Washington Chapter Edward M.
Blaiklock, Washington Loan g. Trust
Co, was also given a national ap-
pontment as a member Of the
Publicity Committee.
Jason w. Stockbridge of the Savings
Bank Of Baltimore, won the national
public speaking contest at the Amer
ican Institute of Banking convention,
for the various Giannmi prizes.
George S. Allen, Harris Trust &
Savings Bank, Chicago, took second
prize, while James w. Dodd, jr, of
the Federal Reserve Bank of Rich
mond, Va, was third and p. c.
Rutherford, First National Bank &
Trust Co. Minneapolis, fourth Stock
bridge is well known to the members
of Washington chapter, as he took
an active part several weeks ago in
putting their candidates for speaking
honors out Of the national contest.
During the convention various !
Dund-table conferences have been ad-
dressed by speakers from Washington,
including I. J. Roberts, Paul j. Seltzer,
Ralph Endicott, Earle McGeary and
Joseph R. Fitzpatrick. National officers
are to be elected tonight and the con-
vention ends tomorrow.
Small Bank Loans Lauded.
William G. Livesey, Paterson, N. J.,
tnlH the pn17vpntiny1 in CT paJ11 thot |
banks benefit through small loans by
building good will and increasing their
number of profitable customers.
G. Sidney Houston St Paul talking
about bonds, said the Economics of
the present situation do not indicate
danger signals, but do present definite
caution signals"
Thomas G. Boggs, Omaha, declared
that analyzing accounts and assessing
service charges is necessary to stop
losses and increase the income of
banks. Customers do not expect their
accounts to be carried at a loss, he
said
President Tom K. Smith of the
A. B. A. said the institute offers better
educational advantages in banking
than the colleges or high schools do
or can.
Henry A. Theis, New York, said
Quality, not quantity, must govern the
selection of banks trust business"
Vienna Trust Boosts Dividend.
G. Norman Cobb, secretary and
treasurer of the Vienna Trust Co.,
Vienna, Va, announced today that
the banks directors have approved
an increase in the dividend rate on
common stock from to per cent,
effective July l for all stockholders
OF record June Is. In addition to
raising the dividend rate, the trust
company recently retired $4,000 of its
preferred stock held by the Recon-
Struction Finance Corp.
The Treasury announces that money
in circulation totaled $6,46l ,872, ,234
and was S35,5000O0 higher at the
end of May than at the end of April.
Total money stocks increased during
May by s202 ,000,O 900, reaching an all
time high of S19,035, 1874 3Ol on MAY
81. The increase was largely due to
silver and gold certificates, the re-
port says.
The dollar volume of retail auto
mobile financing for April amounted
to Sl8l ,344, ,266, an increase of So
per cent, compared with March, and
an increase of 0.2 per cent, compared
with April of last year, according to
the Department of Commerce.
Prices Firm on D. c. Exchange.
City & Suburban SIS opened trading
today on the Washington Stock Ex-
change, $1,000 bond moving at II.
Riggs National Bank common again
sold at 800 and American Security &
Trust stock appeared on the board at
29O.
Do&o cfrir |