Evening star., 1943-04-21
Promotion Of Thrift
Declared Vital for
Nation S Banks
Encouragement Of Sovines
Accounts Urged Before
ABA Council
By EDWARD c. STONE.

An appeal to all banks to build
up savings accounts as much as pos
sible. especially at this time, was
made by the Savings Division of
the American Bankers Association
at the Executive Council meeting
in New York, according to a review
of the closed sessions prepared in
the ABA head Office. Savings Divis-
ion officers strongly opposed any
policies OF banks which tend to dis
courage the building up of savings
accounts.
The promotion of thrift through
the encouragement of savings &C
counts is of major Importance in
the economy of the country, the
committee held. Savings accounts
are anti-inf1ationary. They help
create the habit of thrift so neces-
sary at this time, help maintain
the position of banking with mil
lions of savings epositors,
strengthen the economic stability
OF the community. and are profit
able, the appeal said.
One of the major functions of
banking is to accumulate the saw
ings of the people in prosperity and
in hardship, in good times and bad,
and to make such savings available
in the promotion of industry, COM
merce and in the perpetuation of
our national economy, the report
concluded.
This is very different attitude
from that taken by many banks
last year, when little interest was
shown in savings as officials said
additional funds could not be loaned
to advantage.
Loan Expansion Sought
Echoes from the meeting show
that the National Bank Division
devoted lot of time to seeking
ways by which the smaller banks
might increase loans. The Small
War Plants Corp. will be asked to
require plants applying for loans to
consult their local banks before
making other arrangements.
Ration banking was given much
attention. banks being urged to give
all the time needed to make the
machinery function perfectly as the
load steadily increases.
Efforts are now being made to
get the Office of Price Administra-
ton to pay larger fee for the SER
vice which is costing more than at
first anticipated.
The Agricultural mittee
scored what it called the unfairness
OF Federal agency competition
while banks are actively promoting
food d-for-freedom credits"
Ration Bank Accounts Rise.
John A. Reilly. president of the
District Bankers Association, re-
ported today that ration coupon &C
counts in the banks are increasing
rapidly.
Ration banking which started out
in moderate way, has now become
an important factor in the work Of
every bank The machinery has
been so perfected that this type of
service is moving along very
smoothly, Mr.. Reilly added. ~
The public will be deeply inter-
ested in the announcement of the
Office of Price Administration that
War Ration Book No. will be dis
tributed through the mails to more
than 120,00O,000 individuals. begin
ming late in June, and will be COM
pleted on July 81. The new book
will provide coupons for those run
ming out in existing books
Capital Transit Leads Sales.
Capital Transit opened trading on
the Washington Stock Exchange
today with 25-share sale at 80, the
recent high mark. Later, 40 more
shares changed hands at 31i2. the
final bid being 3l12 bid with 80
asked.
National Savings & Trust and
Washington Loan g. Trust stocks
have been added to the list now
quoted ex-dividend Both will pay
the regular quarterly dividends
shortly
The Hamilton National Bank is
conducting war bond sales con-
test among the branches. the rivalry
being as keen as it was in a similar
campaign in December. All the
branches are making an excellent
record.
The New York Stock Exchange
offices in the Capital will be closed
on Good Friday when Wall Street
tlckers will be silent. D. C. banks
will be nnened as usl1a1