Retrieved from “www.archive.org come new depositors or customers of the banks which are members of the association, such minimum rates of ex- i6 CLEARING-HOUSES change on checks, drafts, notes, and acceptances, pay- able out of the city, as are named in schedules to be furnished from time to time by an exchange committee of the clearing-house. The penalty for violation of this rule is expulsion from the association, provided a major- ity of the members vote in favor thereof. At a meeting of the Houston, Tex., Clearing-house Association, March 9, 1897, the following resolutions were unanimously adopted : ;%3C Owing to the fact that banks in certain cities of this State are uniformly charg- ing the banks of Houston exchange on all collections

Technorati Tags: Clearing, House, LONCLEAR, LONDON

Retrieved from “www.archive.org has been marked, especially in recent years, to include within the legitimate field of clearing-houses all questions affecting the mutual wel- fare of the banks and the community as a whole. The bankers west of the Mississippi River have given to the country the most striking examples of the possibilities of clearing-houses exercising various special functions, while the great associations of the East, and especially ii 12 CLEARING-HOUSES that of New York, have exemplified the utility and value of clearing-house loan certificates. The most important of the special functions of a clear- ing-house are (a) the extending of loans to

Technorati Tags: Clearing, House, LONCLEAR, LONDON

Retrieved from “www.archive.org tj en MH ~CJ Z3 2 Q z %3E - T3 %3C w QQ Q- i C 274 CLEARING-HOUSES The formal order by which the transfer is made is shown in the second of the accompanying forms. Manifestly, it would be impossible for the manager of the clearing- house to ascertain from the reports just illustrated whether a given bank had traded to a single bank or to a number of banks, and also with what bank or banks the trade had been negotiated. This fact is determined by an order or orders upon the manager of the clearing-house from the cashier of each creditor bank which has nego- tiated a trade, to pay to a specified bank or banks certain portions of its balances each, such sum to be

Technorati Tags: #398, Clearing, House, LONCLEAR, LONDON

Retrieved from “www.archive.org annual assessment upon non- members and members, any fees that may have accrued from the admission of members, and rents due the asso- ciation. There is another important feature entering into the element of expenses which must not be overlooked. In associations where the clearing-house is rented property, it is comparatively easy, in fixing upon newly elected 2OO CLEARING-HOUSES members their proportionate share of the current ex- penses, to do justice to all concerned. But in New York the situation is unique. The association owns its own clearing-house, for erection of which a heavy draft was made upon the members. Clearly, therefore, banks sub- sequently joining should in some way render to the other members a just compensation for the privileges they

Technorati Tags: #263, Clearing, House, LONCLEAR, LONDON

Retrieved from “www.archive.org banks in each district might be paid by drafts on New York or any other place agreed on.” These extracts contain the very quintessence of the clearing-house system. A regulation ” belonging to the administration of banks rather than to legal enact- ments ” comprehends the clearing-house constituted as a private and voluntary association, unchartered, and in fact unknown to the law. The remedy for the ” danger- ous expansions of discounts and issues ” and for the ” re- 132 CLEARING-HOUSES laxation and serious inconveniences ” is afforded by the very system which he proposed; and the ” want of a com- mon medium other than specie for effecting the payment of balances ” which was the ” principal difficulty in the way of an arrangement

Technorati Tags: #181, Clearing, House, LONCLEAR, LONDON

Retrieved from “www.archive.org department 259 form of settling clerk’s statement, foreign department 261 forms used by foreign department. . . : 256 hours for clearing, foreign department 251 ledger employed by foreign department 260 letter-form used in transmitting checks, foreign depart- ment 258 location of 231 organization of foreign department of 246 receipt, foreign department 257 regulations for collection of out-of-town checks, foreign department 251 report of committee on foreign department 246 resolution adopted by collecting banks, foreign department 251 rules and regulations governing foreign department 248 settling clerk’s statement, foreign department 258 Boston, form of Clearing-house loan certificate used in 105 in 1873, issue of loan

Technorati Tags: #514, Clearing, House, LONCLEAR, LONDON

Retrieved from “www.archive.org the hands of a few managers, who might use it for per- sonal aggrandizement, or for the exercise of an arbitrary supervision. But the need of fixed rules of some sort for their guidance became more and more urgent, and on February 28, 1854, one of the bank officers ” recom- mended that an act of incorporation be obtained for the clearing-house, or that some other form of organization be adopted, with a constitution and laws for its govern- ment, providing for regular meetings of bank officers.” A constitution was drafted by George Curtis, and upon June 6, 1854, it was adopted and ordered sent to THE NEW YORK CLEARING-HOUSE 135 the several banks for their action. Upon August ist it was signed by each of

Technorati Tags: #188, Clearing, House, LONCLEAR, LONDON

Retrieved from “www.archive.org i *, nd ai ~ 3 oo T 1 C IH O (UJ u ci ioacijcir T3 EH 0) ctf 2 rh !UQ uci cs cd - * ao *o U CO iioa Z & *o Associatec B 4-JH tf\ u J3 fh KM 4 o -i-* U 1 1 CO a (HB T3 IH rt UE i ‘i/%3E a, a%3E IH OHO aa “8 a) uj OH J_J I -(- CD UP fl 1 UJ w 5 O OH oo (UMO LO r 1 IH PL, U- 6 ff\ fc Q IOIMH [01 [ JO N vg AXIO 44 CLEARING-HOUSES thus their expenses, by having the manager’s check cleared. With all its various disadvantages there is one impor- tant advantage of the manager’s check over settlements in cash at the clearing-house : By its use only one

Technorati Tags: #108, Clearing, House, LONCLEAR, LONDON

Retrieved from “www.archive.org a draft on your Boston correspondent, payable to the order of the Manager of the Boston Clearing-house. At the same time, if for any reason a check remains unpaid, please advise me of the amount of such check and the name of the Boston Bank whose indorsement appears thereon. Yours truly, CA RUGGLES, Manager National Bank Date, Amount, $ Form of Letter of Transmission to Correspondents, Foreign Department, Boston Clearing-house. 260 CLEARING-HOUSES amounts from members receipted for, the third records the adjustments, borrowings, etc., and the fourth the pay- ments. This sheet in use is of the conventional size, with the names of the bcmks printed down the left-hand

Technorati Tags: #374, Clearing, House, LONCLEAR, LONDON

Retrieved from “www.archive.org the clearing-house is vested in a president, secretary, manager, assistant manager, and five standing committees. The president is elected by ballot, at the annual meet- ing, to preside at that meeting and all subsequent meet- New York Clearing-house. View down Cedar Street from a Point near Broadway. Taken when the Excavation for the American Exchange National Bank was in Progress. 142 CLEARING-HOUSES ings during the year. He is ex-ofhcio member of all committees, except the committee on nominations. In his absence a chairman pro tern, is appointed. The secretary is elected at the same meeting, and it is his duty to record the minutes of each meeting of the association. The manager, under the

Technorati Tags: #200, Clearing, House, LONCLEAR, LONDON