of the old, and added many new ones. It gave absolute protection to the holders of the national bank-notes, as Government bonds were deposited with the United States Treasurer in ten per cent. excess of their issue for the security of their redemption. It provided security of a uniform and almost absolute character for the deposits, making the stockholder liable, in an equal amount of his stock interest, for the ultimate payment of the deposits. It provided for a uniform bank-note of equal value in every part of the country, so engraved and issued, that security against counterfeits was far better attained than ever before. It provided for a system of redemption which made exchange merely nominal, and gave to national bank-notes, issued in most distant places, a uniform value in all the great financial centres of the country. It provided a system of published reports over the sworn signatures of the executive officers of the banks, and a uniform system of examination under the direction of the Comptroller of the Currency.
Abstract of Reports of Earnings and Dividends of National Banks in the United States from March 1, 1901, to September 1, 1901
| GEOGRAPHICAL DIVISIONS | No. of Banks |
Capital Stock |
Surplus | Dividends | Net Earnings |
RATIOS | ||
| Dividends to Capital Per cent. |
Dividends to Capital and Surplus Per cent. |
Earnings to Capital and Surplus Per cent. | ||||||
| New England States | 537 | $135,820,820 | $182,479,044 | $4,177,397 | $5,141,305 | 2.82 | 2.29 | 3.08 |
| East. States, N.Y. to D.C. | 1,055 | 211,208,935 | 135,474,465 | 8,997,682 | 16,175,874 | 4.67 | 2.60 | 4.26 |
| Southern States | 654 | 71,133,835 | 24,250,881 | 2,806,904 | 6,032,882 | 6.32 | 2.94 | 3.75 |
| Middle States, O. to Mo. | 1,198 | 168,083,100 | 52,919,905 | 6,816,907 | 10,351,077 | 4.68 | 3.08 | 4.06 |
| Western States | 439 | 32,769,390 | 6,274,379 | 1,608,913 | 2,122,816 | 5.44 | 4.12 | 4.91 |
| Pacific States | 127 | 20,027,000 | 5,854,450 | 887,020 | 1,481,466 | 5.72 | 3.39 | 4.38 |
| United States | 4,030 | $639,043,080 | $407,253,124 | $25,294,823 | $41,305,420 | 4.54 | 2.73 | 3.96 |
Table Showing Capital of Banks and Bonds Held for Circulation September 5, 1900
| LESS THAN $150,000 | $150,000 AND OVER | BONDS HELD BY ALL BANKS | ||||||
| No. of Banks |
Capital | No. of Banks |
Capital | No. of Banks |
Bonds Held |
Required Number Held |
Excess | |
| Central Reserve Cities | 64 | $ 93,500,000 | 64 | $ 43,400,000 | $ 3,200,000 | $ 40,200,000 | ||
| Reserve Cities | 9 | $ 950,000 | 258 | 149,600,000 | 267 | 53,800,000 | 13,200,000 | 40,600,000 |
| Country Banks | 2,991 | 222,310,000 | 550 | 164,000,000 | 3,540 | 197,700,000 | 83,100,000 | 114,600,000 |
| Total | 3,000 | $223,260,000 | 872 | $407,100,000 | 3,871 | $294,900,000 | $99,500,000 | $195,400,000 |
Table Relating to Banks Other than National, on or About June 30, 1901
| GEOGRAPHICAL DIVISIONS |
STATE BANKS | TRUST COMPANIES | PRIVATE BANKS | SAVINGS-BANKS | |||||||||||
| No. of Banks |
Capital millions |
Deposits millions |
No. of Banks |
Capital millions |
Deposits millions |
No. of Banks |
Capital millions |
Deposits millions |
No. of Banks |
Capital millions |
Savings Deposits millions | ||||
| New England States | 22 | 3.3 | 9.5 | 77 | 18.9 | 187.0 | 466 | 963.4 | |||||||
| Eastern States | 352 | 41.6 | 468.2 | 217 | 111.5 | 1,075.2 | 51 | 2.1 | 10.4 | 192 | 1,231.5 | ||||
| Southern States | 1,129 | 51.8 | 181.5 | 4 | 1.6 | 0.4 | 65 | 1.7 | 6.7 | 32 | 1.3 | 12.0 | |||
| Middle States | 1,837 | 97.3 | 675.7 | 36 | 5.4 | 8.5 | 736 | 13.1 | 89.1 | 256 | 9.4 | 73.6 | |||
| Western States | 1,341 | 21.8 | 112.3 | 31 | 0.7 | 4.6 | |||||||||
| Pacific States | 289 | 35.9 | 142.3 | 33 | 1.3 | 7.0 | 56 | 7.8 | 170.8 | ||||||
| Islands | 13 | 3.3 | 21.0 | 1 | 0.5 | 0.9 | |||||||||
| United States | 4,983 | 255.0 | 1,610.5 | 334 | 137.4 | 1,271.1 | 917 | 19.4 | 118.7 | 1,002 | 18.5 | 2,451.3 | |||
The national banks were required to pay to the revenues of the General Government as follows: (1) One-half of one per cent., semi-annually, on the circulation allowed by law. (2) One-quarter of one per cent., semi-annually, on the average deposits for the half year. (3) One-quarter of one per cent., semi-annually, on capital not in Government bonds. Their stockholders are subject to local taxation on the market value of their stock as personal property. Each bank must keep with the Treasurer of the United States, in legal-tender notes, for the redemption of its bills, 5 per cent. of the amount of its circulation.
Without any wide departure from the principles laid down in the original act, the laws governing national banks have, from time to time, been considerably modified in details. Thus the restriction upon the aggregate amount of bank-note issues has long since (1875) been removed. The charters of the banks were to lapse in twenty years, but in 1882 Congress authorized the recharter of the banks for terms of equal length. The currency law of March 14, 1900, made a number of important changes in the conditions of the issue of national bank-notes. It permits the issue of notes to the par value of the bonds deposited, instead of 90 per cent. of the par value, subject only to the restriction that in case the market value of the bonds should fall below the par value of the same, additional
