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BANKING RETURNS
TOWARD NORMAL
Reconstruction Finance Corpo
ration Loan Repayments Show
Banks Lead Procession in
Recovery Movement
Indicating a rapid return on the part
of the hanks to a normal self-sustaining
basis, 54 per cent of the loans which
they made from the Reconstruction
Finance Corporation to tide them over
the difficulties of the past two years
havo been repaid by thorn, It is shown
In a recent official report.
The It. F. C. report, Issued on March
6, says that the Corporation since it
began operations In February. 1032,
had made nggrc-.ale cash advances to
railroads, agricultural and home loan
agencies. Insurance companies and va
rious othc r institutions in the amount
cf $4,786,: 10,cut), of tills sum hanks
and trust company.:. to the number of
5,7!'::!. received actual cash advances of
$1,520,540,000, hut have already paid
i.ack $820,2(10,000, or 54 per cent. These
figures are exclusive of $376,390,000 In
T aos authorized but withdrawn or not
availed of by the banks.
Non-banking borrowers received R.
F. C. advances In the amount of $3,265,-
870,000, and made repayments of $377,-
$30,000, or less than 12 per cent. Among
other classes of financial institutions
reported as making high ratios of re
payments are building and loan asso
ciations which had received $114,020,-
000 and havo repaid $53,880,000, or over
47 per cent, and Insurance companies,
whose borrowings totalled $88,590,000
and repayments $34,340,000, or nearly
39 per cent. None of the major non
governmental financial groups showed
so high a ratio of repayments as the
banks and trust companies as’ a group.
BANK LOANS AND
BUSINESS RECOVERY
Official Describes Efforts of Re
serve Banks to Bring Out
Deserving Borrowers—
Present Situation
Typical
Apropos of the part that an expan
sion of business loans by banks occu
pies In the early stages of the business
recovery which is now gaining head
way, a Federal Reserve Bank ollicial
recently gave an interesting review of
the experiences of his Institution in
this connection. In 1932 the Federal
Reserve Banks were empowered hy
law to make direct loans to Individuals
in unusual circumstances when they
had been unable to obtain loans from
a commercial bank, he pointed out.
From the middle of 1932 to the end
of 1933 there were I.2SG applicants tor
loans at the New York Federal Reserve
Bank under thi3 law. The great major
ity of these applications proved on ex
amination to be for funds for capital
purposes, which are properly supplied
as an investment In the business, or
else were mortgage loans or others un
classillable as commercial.
Only Fourteen Qualify
Only 250, or less than 20 per cent,
were of the type which merited de
tailed investigation. The amount In
volved was $9,525,000. After further
study of these, the Federal Reserve
Bank was forced to turn down the ap
plications of 236, finally offering credit
in the sum of $1,417,000 to 14 prospec
tive borrowers. Of this amount, only
$806,000 was actually loaned, more than
one-half of which was still outstanding
many months later. Two of the borrow
ers went into receivership.
"Since it was the special endeavor
of the Federal Reserve Bank to make
every possible loan under the emer
gency provisions of the amendment,
and since their best efforts resulted in
the extension of so small a sum as to
have no effect on the total volume of
commercial loans, it Is a reasonable as
sumption that eligible borrowers en
titled to bank credit are being provided
for by the commercial banks,” says the
American Bankers Asso ■ -a 1 ion Journal
in commenting on this episode.
it Is characteristic, as shown by
studies of past business cycles, for
changes in the volume of .lommerclal
bank credit to follow behind either con
traction or expansion of business ac
tivity, says a llnaneial writer in the
New York Times. This was manifest
recently in Ragland's recent recovery
where there was a lag between in
creased business and increased com
mercial loans.
County Key Bankers
Describing the activities of the Agri
cultural Commission of the American
Hankers Association, the Director, D.
H. Otis, says: "With 2,500 agricultural
ly minder! bankers, designated as
county key bankers, there is enlisted a
tremendous force for the improvement
of agriculture. These key bankers
bring organized assistance to progres
sive bankers, who are led to see the
possibility of agricultural work In
their communities. Banker - farmer
tours are emphasized as a means of
acquainting bankers, farmers and other
business men with first-hand knowl
edge of how agricultural improvement
methods are working out in practice.
These give an opportunity for the key
bankers to contact country bankers
and work out new ideas.”
WANTED:
lo Tens Good Clean
Cotton Rags.
Otwell Motor Cos., Inc.
Haw Creek
Mr. Ambus Pirkle died at his home
near Atlanta Friday and was buried
here Saturday at 11 o’clock. Funeral
services being conducted by Revs.
Ilenmore and Echols. Mr. Pirkle has
many friends here who extend sym
pathy to the bereaved.
Revs. Howard and Yarbrough
preached here on Sunday morning.
Rev. Yarbrough preaching again at
night.
Mr. and Mrs. Furman McClure spent
Sunday at Mr. J. L. Hansard’s
—OOO—
Miss Lillie Mae Dobson of Canton
was visiting relatives here part of
last week.
Rev. William Yarbrough spent the
week end with homefolks.
Miss Louise Payne spent Sunday
with Miss Fay Major.
Miss Dorthie Dean Wheeler spent
Sunday with Miss Edna Cash.
ggggggggggggggggg
To fill the record
breaking nationwide
demand, Chevrolets
are being produced
at a record-breaking
rate of
units a day!
j'HSSSSf--
A GENERAL MOTORS VALUE
r
Miss Dimmer Major spent Sunday
with Miss Edith Payne. „
Mr. Sam Thomas of Elbertor. was
a recent visitor in our part.
Mr. and Mrs Eugene Yarbroivtn
spent one night last week with Mi
ami Mrs. M. C. Echols.
Mr. Hobson Major and family spent
the week end with Mr Coy Echols
and family.
Mrs. Minnie Tatum spent Sunday
afternoon with Mrs. Mamie Samples.
Mr. Oather Hansard is visiting re
latives in West Palm Beach, Fla..
Remember Sunday School Sunday
afternoon at 2 o'clock. Preaching at
night.
'Friendship News
Who so ever believe on him shall
not perish, but have ever lasting life:
We think we can write up a wed
ding soon.
Otwell Motor Company, Inc.
CUMMING GEORGIA
Miss Ruby Tuttoh of Roswell is
spending awhile with Miss Estello
Smith.
Mr. Mr. and Mrs Mack Stephens
and family are visiting relatives in
Cherokee County.
Mr. and Mrs. Ira Sewell were bed
time visitors of Mr and Mrs. Ervin
Smith Wednesday night.
The Singing given by Miss Gertru'’-
Roper Friday night was highly en
joyed by a large crowd.
Misses Gertrude Roper and Elvira
Tallant spent last Saturday afternoon
with Miss Annie Lou and Amzs'lJ
Tatum.
Mrs. Pauline Groover was th; bed
time guest of Mrs. P. M. Roper last
Thursday . night.
Misses Lucille Tatum and Marie
Smith were Sunday evening guest of
Miss Elvira Tallant.
Route Three News
Sunday being a beautiful day a
large crowd attended services at Zion
Hill.
Miss Hanna Holbrook spent Satur
day night with Mrs. Carter Mcßrier.
Miss Evelyn Heard spent Sunday
afternoon with Miss Bettie Jean Banis
ter.
Mr. Otis and Jay Bottoms spent a
while Saturday night with Mr. C. L.
Milford.
Miss Clara Milford visited Mrs.
Maude Milford one day last week.
Miss Kattie Milford visited Miss
Nettie Harrison Sunday afternoon.
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DEALER ADVERTISEMENT
New asad Used
Furmatasre.
Beds, $3.50 up. Safes. $lO and sl2.
3-4 Mattresses, 50c. Springs, $2.00
Oak Dining Tables, $4.00 and $5.00
Sewing Machines, Ice Boxes $3.00 up
Buffet, SB.O0 —$10.00 .Heaters, $4.75
Breakfast Suits $12.50 Laundry Heaters
New Beds $6 Wood beds, $1.50 Springs $3 to $6
Dressers $4-$5 Vanity Dressers.
Straight Chairs $1 to $1.50
Majestic Refrigerators, Radios and Tubes.
Furniture Exchange,
EDWIN C. OTWELL.
Located in J. L. Phillips Undertaking building.
M'V and Mrs. Buel Sexton spent
Saturday night and Sunday with Mr.
E. A. Sexton.
Miss Kattie Milford spent Saturday
night with Miss Clara Milford.
Mr. and Mrs. Redger Worley visited
Mr. A. L. Harrison Sunday.
Mr and Mrs. Willingham Harrison
spent Saturday night with Mr. and
Mrs. Glenn Pruitt.
(Mr. and Mrs. Egbert Sexton spent
Saturday night and .Sunday with Mr.
R. R. Worley.
When you consider how short a time the new
Chevrolet has been in production—when you
consider, also, that the 1934 car is not last
year’s model improved., but a basically new
automobile, with sweeping changes in design
—this production record becomes somewhat
of an accomplishment. But, a still greater ac
complishment, in our opinion, is the wav that
these cars have all been produced!
Despite continued nationwide pressure for
more and more volume, every car that has
left the factories has been built and tested to
meet Chevrolet’s highest standards of care,
precision and quality. The result: When you
place your order, for anew Chevrolet, you’ll
not only get a big, rugged "Knee-Action” car
—you're also assured of getting a typical
Chevrolet car in economy, dependability and
long life.
CHEVROLET MOTOR COMPANY, DETROIT, MICHIGAN
IjOu> delivered prices and easy G.M.A.C. terms
Those who attended the show Satur
day night at Gainesville were Mrs.
Lillie Milford, Mr. Willis Pruiitt, Miss
Louise Pruitt, Mr. Glenn Worley and
Mr. Ralph Milford.
Mr. Cline Higgins and wife spent
Saturday afternoon with Dr. and Mrs.
R. H. Bramblett. .
Miss Obrine Milford who has been
real sick with Flu, is improving now
We hope she will soon be out again.
PATEN TS. Reasonable terms. Valu
able book and advice free. Highest
references. L. F. Randolph, Depr. S9't
Washington, D. C.