The Wilmington morning star., 1940-07-12
EXPANSION OF N. C..
Rank CREDIT SEEN.
ruoutv-Seven Per Cent Of
Institutions Made 100000
Loans In 1889

r,pFL, HILL, July ill.,
~+v.seven per cent of North
~..1ina's commercial banks made
N..rs than 100000 loans totaling
ND, s416.O 900, 900 to business firms
"" ;rdividuals throughout the
+a+o during 1889, it was announced
". Robert NJ. Hanes, president Of
American bankers association
president of the Wachovia
s aank and Trust Company, at the
Dartb Carolina bankers conference
NU .bo University of North Carolina
here tonight.
Ds Mr. Hanes gave the results of a
.,r,ev of bank lending activity in
Sar+b Carolina made by the
,noorican bankers association. He
stated that: -.
The survey, which was parti-
,;na+ed in by 81 banks or q per
san+ of the 1856 commercial banks
~ North Carolina, showed a defin-
" evanston of bank credit in the
t;eId of new loans. The number
md December 81 was 1882
@rsater or four per cent greater,
q new loans madet between July
and the dollar volume of n e W
Ioans made during this period was
gT1O4175 or so per cent greater
than reported by an equivalent
amber of banks for the previous
six months.
THE 81 banks reported that dur
mo 1899 they made: al PIP new
hans totaling s134, CAT, 925, 1T, 100
renewals of loans totaling 274, $751;
qS 1884 mortgage loans totaling
T762, O44. a grand total of 1923, 1856
hans amounting to $416, TAI, 1877"
Mr.. Hanes said the survey also
reveals that ''business firms in the
state ire using only about one-half
If the open lines of credit main
tanned for their use on the books
of the banks. Fifteen banks in the
larger centers of the state reported
that they carried on their books
during the secondhalf OF the year
s. 500, 800 i nopen lines of credit
consisting of specific amounts of
credit offered to and kept avail
able for established borrowers for
use as needed by them. Of this
amount S2.7lO, 274 or AIS per cent
was actually used.
The average number of n e w
loans made per bank was 2,615
and the average new loan was 1854.
The average number of renewals
oer bank was 1921 and the aver
ace renewal was for $1,548. The
average number of mortgage loans
per bank was go and the average
mortgage was for $1,557. T e
North Carolina survey was part of
a national survey of bank lending
activity made by the American
Bankers association.
For the country as a whole,
1888 or "A per cent of the COM
mercial banks reported that they
made "a. 1913, 900 credit extensions
ttaling S39, 80, 80, 900 during tn e
year. These consisted of $3.50, 900
new loans totaling 1923, 120, 600, 900,
1908. 900 renewals of loans total
ing Is. 9 900, 900 and 285 900 new
mortgage loans totaling 9 1870
900.
The number of new loans in
creased 10 per cent and the dol
lar volume increased 20 per cent.
Mr.. Hanes said chartered bank
ing is being attacked from many
points, and therefore if it is to
exist it must not only steadily i'm
prove its management, asserts and
services, but it must continually
tell the public of its desire and
ability to serve every sound finan-
cial need within the scope Of its
authority. 1t is not enough to be
prepared to serve-the public must
be told over and over Of the diff
ferent services chartered banking
has to offer and of the desire which
every banker has to sell these SER