First National Bank (Pender, NE)

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OUR INSURED DEPOSITS

That Illinois bank president who has been conducting a "one man war" against the government's system of insuring deposits has commanded plenty of publicity and a large audience. Herbert Hoover has encouraged him, and anti administration newspapers have patted him on the back.

But for all that we doubt if he has won much support, even among the bankers.

The reason is the system is working out so favorably, to the banks as to the rest of us.

Ten thousand banks failed in 10 years before the insurance of deposits was provided, and the losses to depositors was prodigious.

In the 18 months since the new law was passed the system has closed 19 banks — and paid them out in full.

A fund of 40 million dollars was raised by the collection of a one-fourth of 1 per cent tax on the insured deposits.

After paying the losses and operating expenses, the chairman of the corporation announced recently, the subscribing banks will be reimbursed "approximately 100 cents on the dollar they paid in". This is because earnings of the insurance fund have nearly equaled losses and expenses.

The guaranteeing of deposits up to $5000 safeguards, says Chairman Crowley, nearly 99 per cent of all depositors. Of 14,270 banks, 13,300 have total deposits insured up to 70 per cent or better, and 9,600 are insured up to 80 per cent or better.

Therefore, no more bank panics, no more runs, no uneasiness on the part of depositors. The banks, sound and safe, are bulging with money. Their trouble is they can't find enough people to "hire" it.

Against such a showing it is difficult to make any very effective protest. It is still more difficult to stir up public resentment against the system.

This is another new deal measure that has made good.

The editorial, "Our Insured Deposits," by Editor Newbranch of the Omaha World-Herald is an answer to the anti-administration critics who attacked the New Deal's bank insurance policy.

Here's an actual example which underwrites the editor's statements:— Last Saturday the First National Bank of Pender was placed in the hands of a conservator. There was no panic. Most depositors, although embarrassed by the tie-up of funds, felt a certain sense of security, due to President Roosevelt's action in establishing a new system.

Contrast the actual scene in Pender last Saturday with a mental picture of the same occurrence four years ago. In our mind's eye, we can see elderly people whose "nest egg" has been wiped out, small business ruined and local business paralyzed.

Maybe the small bank depositors of America are some specie of the "forgotten man."

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Not An Index

The sad plight of a local banking institution can not be taken as an index of Pender's financial condition. In spite of rumors and street talk, there is not, at present, any known tangible reason for the passing of the First National bank into the hands of the government. The institution had weathered the storm of the depression.

At this moment this community can count its assets. They are many. A casual glance at the advertisements in this paper containing a condensed statement of the Pender State Bank is the story in a nutshell. Any financial institution could be justly proud of such a statement.

Then look over the fields of small grain in this community and see what will probably be the bumper crop of many years. Note the corn, growing by leaps and bounds from the moisture-laden soil. There'll be some fine looking livestock on these farms, too.

Then, if you still think Pender is in a bad way, try to park your car near the business district on any Saturday night. Count the vacant buildings in town. Then see how many houses are available for rental purposes.

Compare the above conditions with those of any ten Nebraska towns of similar population — that will complete the story.

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PENDER BANK PAYS DEPOSITORS IN FULL

Depositors in the First National Bank in Pender are being paid out promptly under the federal guarantee act, according to a statement made by Herman Beckman, receiver of the West Point National bank.

A receiver has been appointed for the Pender bank and he has the authority from the comptroller of the currency in Washington to pay in full all deposits up to $5000.

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PENDER BANK PAYS DEPOSITORS PROMPTLY

Depositors in the First National bank in Pender are being paid out promptly under the federal guarantee act, according to a statement by Herman Beckman, receiver of the West Point National bank.

A receiver has been appointed for the Pender bank and he has authority from the comptroller of the currency in Washington to pay in full all deposits up to $5,000.

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Depositors in the First National bank in Pender are being paid out promptly under the federal guarantee act, according to a statement by Herman Beckman, receiver of the West Point National bank.

A receiver has been appointed for the Pender bank and he has authority from the comptroller of the currency in Washington to pay in full all deposits up to $5,000.

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Depositors in the First National bank at Pender are being paid out promptly under the federal guarantee act, according to a statement by Herman Beckman receiver of the West Point National bank. A receiver has been appointed for the Pender bank and he has authority from the comptroller of the currency in Washington to pay in full all depositors up to $5,000.