_Number_ --_Per Cent_-- _National charter_: 28.56 National banks 7,404 28.56 _State charter_: 67.52 State banks 14,011 54.05 Loan and trust companies 1,515 5.84 Savings banks 1,978 7.63 _Private_: 3.92 Private banks 1,016 3.92 ------ ------ ------ 25,924 100.00 100.00 ] [Footnote 2: Opinion favors prohibiting the use of the word bank to any except regularly incorporated organizations, or at least subjecting private banks to the same supervision as the chartered banks.] [Footnote 3: Not to be confused with a trust in the sense of a monopolistic enterprise, with which it has no connection except by mere verbal accident, through the word trust.] [Footnote 4: See next sec.] [Footnote 5: The Federal Reserve Act of 1913 has given encouragement to this practice by reducing to 5 per cent the reserve required to be kept against time deposits. See ch. 9, sec. 7.] [Footnote 6: Usually with deduction of interest in advance; a process called discount. See Vol. 1, pp. 275, 302.] [Footnote 7: The legal requirements as to minimum reserves vary greatly from no specific per cent to 40 or more in different countries, for different classes of banks, and for different purposes. Some examples of legal reserve requirements in the United States occur in the two following chapters.] [Footnote 8: See above, ch. 4, sec. 5.] [Footnote 9: See below, sec. 10.] [Footnote 10: Including, now, some Federal Reserve bank notes secured by United States bonds.] [Footnote 11: In some cases, as during the bank restriction in England, 1797-1821, bank notes become inconvertible--practically political money.] [Footnote 12: Payment of interest on credit balances reduces the motive to withdraw for investment elsewhere any such excess, and mingles in the depositor's thought monetary and investment motives.] [Footnote 13: In the United States in 1914 there were individual deposits reported in banks other than savings banks to the amount of about $13,400,000,000 In national banks .................................. $6,000,000,000 In state banks ..................................... 3,250,000,000 In loan and trust companies .......................... 4,000,000,000 In private banks ..................................... 150,000,000