Show BANKING B A I 1 N G F I 1 ID S UP THE E WAY TO SAFER ERA by FRANK W american bankers association la in considering the basking situation throughout the country the tact fact should be kept in mind that while ono one bank jn in ten failed ailed during the past eight years it Is far more important that nine banks banis out of ten operating la ja the same general geld field serving the same communities and meeting almost identically the same problems weathered the economic storm ot of readjustment successfully this achievement cannot be ascribed to any element of luck but rather to consistent adherence to sound banking principles and d profitable practices practice through worthy and efficient management they met cef the issues end problems confronts confront ing them squarely and successfully banking Is regarded as the keystone keys tono of our entire business structure hence idank b ank failures are rightly regards regarded I 1 as intolerable public calamities that must absolutely be prevented the three major objectives of all inter bank or 9 ani whether local county district state or national are to wake make banking safer eater for all concerned and through increased efficiency in bank management and supervision to lessen or eliminate all forms of losses so that greater rewards may accrue to banking and better service to the public there to la definite evidence throughout the country of a strong and growing spirit of cooperation among bankers and banking organizations which Is resulting more and more in strengthening the work of all clearinghouse associations amon among 9 banks in city county or district groups undoubtedly constitute the chief line of defense against bad banking practices They have demonstrated that they aro are the principal factor facto r in bringing about reformation in banking regulations improvements in banking methods and the observance of sound banking prin pran caples for many years the primary purpose of a clearinghouse association was the clearance of checks but today it Is the clearance of banking ideas and the solution of banking problems clearinghouses Clearing houses supply the local machinery essential for setting up and putting in practice necessary standards and uniformities there are now clearinghouse associations in cities towns counties and groups of cou counties niles in the united states men today are more intelligently group minded than ever before banking Is combining the best elements of competition with sound group action by virtue of this combination individual thought has much wider possibilities of expression in general group action has not stifled but has stimulated individual thinking and initiative better inter bank organization and relationships afforded by clearing houses would have undoubtedly saved many institutions that have suffered failure in the past the clearinghouse activities of the american bankers banken association are conducted for the purpose of encouraging ever widening cooperation along fundamental principles and practices among banks through clearinghouse associations bankers in every city county or district dietrict brict cap can through the agency of a 11 In ghouse if promote better safer and more profitable banking and also servo serve their communities better there never was a time when one enc ce c e fu I 1 bankers were so alert to the value of team work for putting the entire banking structure in prime condition sound bank management Is the order of the day constructive cooperation to Is more than a sentiment it to is an economic necessity a matter ot of enlightened self interest and successful bankers more and more are utilizing the agency of constructive group action in developing and establishing necessary standards and for in banking practices each year hanking banking Is becoming be oming more of a fi cletice erice and attaining higher probes standard |