| Show ottto I 1 TALKS 02 ON BANKING J ap STATE BANKS there ther is no material difference be tween a state bank and a national bank except in the one aspect men tinned in t the lie last banking talk namely that stata banks do not issue bank notes while the laws of some states permit state binks banks to issue their own bills the national banking act impose 4 a tax of ten per cent jiu ja alt all 8 such uch issues thereby making them unprofitable the national tanking banking act provides that every national bank shall have the word national ILI its title the cruy exceptions beiner being three banks cue in new york one in philadelphia andone and one in pittsburg which are allowed to use their om name with the etui N B A national banking association in their titles therefore the bank that does nob not have the ord national ta in its title is a state bank by that tohei you may nial distinguish between the two state binks are more numerous than national binis by nearly foura f to one the te reason being that in som states smaller capital is allowed for state institutions than for nationiel nati onil binks banks in places running as low as ten thousand thoi band dollars state banks are under the jurisdiction die tion of the states and most of the states have a department of government called abe banking de pait ment as a rule and the official in charge superintendent of banks i banking commissioner state audi tor etc who examines the banks under his jurisdiction as a rule about once a year but frequently more often and to whom the banks must report usually without notice as called c for from two to four times a year state banks do precisely the same kind of business bu sinev as carried on by national banks namely receiving deposits paying checks discounting promissory notes and making loans state binks banks every everywhere where are permit tea ted to iced on mortgage loan a privilege denied national banks until tin the passage of the federal reserve act even yet national banks in large cities cannot maice a mortgage ge loan the state laws are not uniform by any means and vary as the lawmakers deemed wise the main dit difference ference lies in the supervision aud not in the manner manue of conducting business in fact if you were to go into a national bank as an employee and then in a state bank you would find no difference except in the matter of reports and supervision it would be unwise and unfair to even distinguish the one as better than the other it depends al together upon the men A bank is no other or less than an aggregation of men and stands or falls as the men stand or fall A bank is as good as the men in control and no better it is conceded that our state laws in encouraging state banks have done much to promote the welfare of the coun country the bank by its procesa pro of gathering the funds of the neighborhood and putting them to good uses have added miteria materially lly to the growth of comman communities 1 aties in places where it would seem it there here was no money hanks banks have been established tab lisheid and have erel and in prospering themselves have helped the community to prosper for the process of jf gather ng money and lending to local borrowers can have but one result results and that is beneficial state ab u well as n national banks by as in the line of better agriculture ri c civic ivic improvement and th ift have done much for their re active fictive communities and aud the place for every dollar that is abot in current use is in the bank of cho choice I 1 ce where it will accomplish its benefi beneficial cla work both for ou and for the corn com of aich you are a part |
