FINANCES OF THE UNITED STATES. 



259 



The following table exhibits the resources 

 and liabilities of these banks on the first day of 

 October, 1880 : 



Loans and discounts $1,037,061,441 



Overdrafts . . A 8,915,826 



Bonds for circulation 357,789,350 



Bonds for deposits 14,827,000 



United States bonds on hand 23,793,400 



Other stocks and bonds 48,863,150 



Due from reserve agents 134,562,779 



Due from other national banks 68,023,797 



Due from other banks and bankers . . 15,881,198 



Keal estate, furniture, and fixtures. . . 48,045,833 



Current expenses 6,386,182 



Premiums 3,488,470 



Checks and other cash items 12,729,002 



Exchanges for clearing-house 121,095,250 



Bills of other national banks 18,210,943 



Fractional currency 367,172 



Specie 109,346,509 



Legal-tender notes 56,640,458 



United States certificates of deposit. . 7,655,000 



Five per cent, redemption fund 15,921,741 



Due from United States Treasury 1,182,125 



Total $2*105,786,626 



LIABILITIES. 



Capital stock $457,553.985 



Surplus fund 120,518,583 



Undivided profits 46,139,690 



National-bank notes outstanding 317,350,036 



State-bank notes outstanding. 271,045 



Dividends unpaid . . .. 3,452,504 



Individual deposits 873,587,637 



United States deposits 7,548,539 



Deposits of United States disbursing 



officers 3,344,387 



Due to national banks 192.124,705 



Due to other banks and bankers 75,735,677 



Notes and bills rediscounted 8,178,233 



Bills payable 5,031,605 



Total $2,105,786,626 



There are national banks in every State of 

 the Union except Mississippi, and in every or- 

 ganized Territory except Arizona. 



The following table shows their geographi- 

 cal division, together with their capital and cir- 

 culation : 



DIVISION. 



New England States. . 



Middle States 



Southern States 



Western States 



Pacific States and Ter- 

 ritories 



Total . , 



No. of 

 banks. 



550 



651 

 207 

 642 



42 



2,095 



Capital. 



$166.070,420 



171,507,665 



40,666,900 



81,500,100 



4,620,000 



$466,365,085 



$125.174,065 



121,053,704 



29.439,641 



63,137,042 



3,258,999 



$343,834,107 



The following table, compiled by the Comp- 

 troller of the Currency from returns made for 

 purposes of taxation, shows the average capi- 

 tal and deposits of the State banks, trust com- 

 panies, and private bankers, by geographical 

 divisions : 



No. of 

 banks. 



New England States . . 536 

 Middle States ........ 1,800 



Southern States ...... I 498 



Western States ....... ' 1,883 



Pacific States and Ter- 



ritories ........ 



Total . . . 



239 



Capital. 



$12,015,518 

 79,510,943 

 31,847,370 

 45,743,007 



25,019,987 



4,456 i $194,136,825 



Deposits. 



$338.969.861 

 615,618,967 

 53.504.438 

 169,633,732 



91,368.078 



$1,319,094,576 



It will thus be seen that in the United States 

 there were 6,551 monetary institutions, involv- 

 ing an aggregate capital of $660,501,910, and 

 holding of deposits $2,203,525,139, an amount 

 considerably greater than the entire public 

 debt. 



National banks before declaring dividends 

 are required to set apart a certain percentage 

 of their earnings in order to create a surplus 

 fund with which to meet possible losses. This 

 surplus fund can be loaned or invested like the 

 capital or other moneys held by the banks, and 

 can be paid out in dividends to a limited 

 extent. On September 1, 1880, this fund 

 amounted to $120,145,649. 



During the year ending September 1, 1880, 

 the national banks paid in dividends $36,411,- 

 473, or 8-02 per cent, on their capital. Their 

 earnings, however, amounted in the same pe- 

 riod to $45,186,034. In the first dividend pe- 

 riod 226 banks, with a total capital of $30,407,- 

 200, and in the second dividend period 223 

 banks, with a total capital of $26,334,150, 

 passed their dividends, showing that about one 

 fifteenth of the entire national-bank capital was 

 unremunerative. The average number of banks 

 passing dividends for the previous five years 

 has been 279, with a capital of $42,266,244, or 

 about one tenth of the entire capital. 



National banks are also required to keep in 

 reserve a certain percentage of their deposits, 

 being 25 per cent, in certain large cities named 

 in the law, and 15 per cent, in all other local- 

 ities. They must keep of this with the Treas- 

 urer of the United States, in lawful money, 5 

 per cent, of the amount of their circulating 

 notes, to meet the redemption of such notes. 



On October 1, 1880, these banks held $968,- 

 000,000 deposits, on which there was a required 

 reserve of $201,000,000. The reserve actually 

 held, however, amounted to about $322,000,- 

 000, of which $108,000,000 was in specie (an 

 increase since 1879 of about $66,000,000), and 

 $64,000,000 in United States notes (a decrease 

 since 1879 of $31, 000,000). It is to be observed 

 that the banks are doing business upon a spe- 

 cie basis, and that specie is being rapidly sub- 

 stituted for United States notes in the bank 

 reserves, thereby increasing the currency to 

 that extent. At the above date the banks also 

 held with the United States Treasurer, to meet 

 redemptions of their notes, about $15,900,000 

 in lawful money. 



The amount of circulating notes of the na- 

 tional banks, on January 1, 1880, was $342,- 

 387,236, and on November 1, 1880, $343,834,- 

 107. A national bank can issue of circulating 

 notes only a certain percentage of its capital, 

 viz. : On a capital of less than $500,000, 90 per 

 cent.; between $500,000 and $1,000,000, 80 

 per cent. ; between $1,000,000 and $3,000,000, 

 75 per cent.; and above $3,000,000, 60 per 

 cent. For the United States bonds deposited 

 to secure circulation, the bank gets 90 per cent, 

 of the amount in circulating notes ; and it can 

 at any time withdraw the bonds by placing 



