THE FARMER AND THE BANKER. 133 



There is no state in which the Legislature would not comply 

 with a demand from farmers to pass a proper law, and no class 

 but the farmers is ever likely to move in the matter.* 



It is conclusive evidence of the integrity and sound judg- 

 ment of bank officers that so few bank failures occur, and this 

 leads to the point which I wish specially to emphasize in this 

 chapter, which is that the president of a country bank is the 

 very best friend that a farmer can have, when he becomes 

 financially embarrassed, or when about to engage in any 

 enterprise involving debt. By virtue of his position, the 

 president of the bank must be a good judge of what will and 

 what will not pay. If he is not such a judge, the bank will 

 lose its money in bad loans. If the farmer finds his creditors 

 pressing him, the bank president is the best man in the world 

 to advise him whether he can probably pay his debts, or 

 whether he had better give up and compromise, and, if he can 

 pay, to help him to the money or extensions. As a rule, the 

 president of a country bank knows pretty well the circum- 

 stances of the people in his vicinity, and what margin of profit 

 there is in the business carried on. He is in contact with all 

 who handle any considerable sums of money, and the ebb and 

 flow of deposits in his bank is an almost perfect index of the 

 prosperity of the community. He knows whether those 

 engaged in the different industries are making money, and 

 hence whether it is safe to borrow money to engage in them, 

 or whether, if one is already seriously involved, there is a 

 prospect of winning out. It is this knowledge which farmers 

 can seldom ])Ossess, wdiich makes him the best adviser that the 

 farmer can have. 



There is some disposition among farmers to regard "banks" 

 as their natural enemies. The foundation for this feeling is 

 doubtless the fact that money borrowed from a bank is 

 expected when due. Farmers, in their dealings among them- 

 selves, and with tradesmen, are not accustomed to make pay- 

 ments with such promptness, and are inclined to resent the 

 enforcement of such rules against them. If, however, the 



* In some states, at least, savings-banks are prohibited from loaning to tlieir 

 officers. 



