The ninety State Banks reported so this department December 11, 1889 $7,254,559.10 as their capital stock. This capital stock is owned by 2,885 different shareholders in the following proportion: 817 owning $500, and less. 826 owning more than $500, up to and including $1,000. 526 owning more than $2,000, up to and including $5,000. This table shows that the shares of stock are widely distributed, those holding $1,000, being greater in number, caused no doubt by the law requiring at least that amount to make the shareholder eligible as a director. SAVINGS DEPOSITS. Fifty-nine of the banks reporting are savings banks, or banks with savings departments, and these report savings deposits as $23,669,030.20, and the number of depositors in the savings department as 97,803. The average rate of interest paid to these savings depositors is 3 8–10 per cent. You will see by this that the savings banks of the State are really philanthropic institutions, paying out as they do, nearly $800,000 annually as interest to the depositors, thereby encouraging and making it possible for the people to save their money until the amount is sufficient to engage in business or purchase a home. The Legislature at its last session passed a general trust, deposit and security company law, and made this department responsible for its execution. "The Michigan Trust Company of Grand Rapids," with a capital of $200,000, has been organized under the provisions of this act, and has deposited with the State Treasurer, stocks, bonds and motgages, to the amount of $100,000, as required by law. This company is well officered, and we see no reason why it should not succeed. The "Fidelity Loan and Trust Company," and the Trust, Security, and Safe Deposit Company both of Detroit, are under the provisions of this law, but thus far, have confined their business solely to that of renting safes and other compartments in safe deposit vaults, and in receiving and caring for valuable packages in storage. REPORTS. Four times during the year, the State banks have reported their condition upon blanks furnished by this department. These reports were made May 13, July 12, September 30, and December 11. Occurring as they do at different seasons of the year, the date upon which the call was made being a past day, unknown to the bank officer until the the call was made, we may consider these reports as a fair representation of the business of the different banks for the year. I cannot too heartily commend that section in the banking law which provides for the publication of these reports, when called for by the commissioner. It is not only a statement to the depositors of the condition of the bank in which they have deposited their money, but it stimulates bank officers to greater diligence and watchfulness in the affairs of the bank. In addition to the four reports mentioned above, a personal examination has been made of the affairs of each bank incorporated under the general banking law of the State, and with a very few exceptions were found in excellent condition; their greatest fault being, excessive loans, a looseness in their methods of book-keeping, and carelessness as regards past due paper. Bank officers are not wholly to blame for the latter, as borrowers at our country banks, do not, as a class, sense their obligations, as do the borrowers at our city banks. It is difficult for some men to understand why their note is not just as good sixty days after due, as it was thirty days before. However, bank officers are making every effort to correct these matters, and we have reason to believe will succeed. EXPENSES. Oxford Savings Bank, Oxford.... Mecosta County Savings Bank, Big Rapids.. The total expenses of this department for the year ending December 31, 1889, were $6,561.22, and are made up of the following items: Salary of T. C. Sherwood, Commissioner... Salary of E. A. Sunderlin, Deputy Commissioner. Salary of L. M. Sherwood, Clerk.. Expenses incurred in examinations, etc.... $2,467 96 1,725 00 700 00 1,668 26 This department has been nearly self supporting, as the fees received during the year amount to $4,754.92, which is one-hundredth part of one per cent of the gross amount of the assets of each bank at the time the examination was made. The following is a list of the banks examined, and the amount paid by each, which has been deposited with the State Treasurer in accordance with section 40 of the General Banking law: Citizens' State Bank, Au Sablę............ Iosco County Savings Bank, Oscoda.. Manistique Bank, Manistique....... Carson City Savings Bank, Carson City.. Farmers' Bank, Grass Lake... Charlevoix Savings Bank, Charlevoix.. State Bank, Fenton.... State Bank, St. Johns... 810 00 10.00 10.00 10.00 10.00 10.00 10.00 10.00 10 34 17.08 |