Show DISPELS MYSTERY OF BANK BUSINESS country banker gives simplified picture of how a bank works to help other peoples People 3 business A A COUNTRY banker recently pre X A pared the following simplified statement for or ills his neighbors on lust just how a bank goes about helping them it Is the most important part of a banks business to lend money of all the money deposited in a bank the law requires that a certain percentage be appt on hand as a reserve to meet the demands of 0 depositors it Is the business of 0 its off leers to lend the balance conservatively and safely the loans ot of a properly managed bank aro are invariably made to those it believes are able to repay and always on condition that they be repaid at a stipulated time the promise 0 of an individual to re pay a loan to a bank on a certain date la Is as sacredly inviolable as the prom ise of a bank to repay its depositors on irmand ilc It mand or in the rase case of a certificate of deposit on the date it falls due when it comes coines to be known ot of an individual that he always pays his credit Is established shed and his bonk bank Is always glad to extend him needed accommodations A well managed bank never capi tallies tall zes industries that Is it does not place its loans in fixed form but puts them where they are to be used tor for temporary requirements and where they will be taken up at the time specified lion flow a lan bank lends it Is not the function of a become a partner in industries nor could it be legitimately done with the money of depositors its loans must be kept in liquid form that Is repayable in cash at stated intervals A bank must use the greatest dis die crimination in making loans A stranger cannot expect eions it 11 la Is customary for or the borrower to make a statement of his financial affairs which Is kept in the banks records it Is a punishable offense to make a false statement tor for the purpose of 0 borrowing funds naturally in their dealing with the regular depositors of the bank its officers become well acquainted with their characters and their resources and are thus in a position to determine how bow large a line 0 of credit each one Is entitled to that Is one of the great advantages of being a bank depositor the man who knows how to get gel into debt wisely that Is who borrows money with which to make more money through legitimate enterprise is the borrower whom the tha bank la 18 looking for or by the rank frank interchange of 0 opinion and a free discussion ot of various projects the borrower is often guided and helped by his bis banker in order to procure a line 0 of credit at a bank three things are important 1 L A statement ot of assets showing a basis of 0 credit in the way of invested capital or collateral ot of sufficient value to cover amount of 0 loan or T 2 an endorser whose credit Is established at the bank and 3 average deposits 0 of a sufficient amount to justify the extension of the desired accommodation |