days is of more value than elsewhere, it is generally considered that if the money for the payment is deposited from ten to thirty days before the coupons mature, the use of the money is sufficient remuneration for the work and responsibility undertaken. If the money is not deposited in advance, many companies make a charge of from one-eighth to onefourth of one per cent. In places where the use of money for short periods is not so valuable, some companies make the charge unless the funds have been on hand for a considerable period. Similar considerations hold in the matter of charge for the disbursement of a sinking fund.

FEES AS TRANSFER AGENT.

The fees for acting as transfer agent for stock depend upon the capitalization and upon the activity of the stock. The latter element is often hard to determine in advance, though the character of the corporation. gives some clue; the stock of a railroad, for example, being apt to be more active than that of a bank. By some it is recognized as a general principle that the fees of the transfer agent should be double those of a registrar. Minimum fees for yery small and inactive issues range from $50 to $100 a year, the fees for large and active issues running into several thousand dollars. In view of the responsibilities assumed, and of the fact that a single clerical error in this work may prove very costly, the prevalent fees seem inadequate.

The reader should bear in mind that the fees above stated are by no means universal, and are given here only to convey an idea of the charges made by some companies. The fees for other kinds of services vary so ruch and depend so largely upon the peculiar circumstances of each case, that an attempt to state customary charges would be useless.

FOREIGN EXCHANGE.

Most trust companies sell drafts on foreign countries, traveller's checks and letters of credit; but as most of them do so through banking houses which make a specialty of that class of business and which issue full instructions as to procedure, it is unnecessary to discuss the subject here. A few large trust companies conduct thoroughly equipped foreign exchange departments.

TIME-AND-LABOR-SAVING DEVICES.

The past generation has witnessed the introduction into the business world of a number of devices which save time and labor, and which are peculiarly useful to banks and trust companies. Many of them are no longer classed as mere conveniences but have become absolute necessities for the larger companies. Among these are the typewriter, the telephone and the adding-machine. Except in very small companies, the typewriter is universally used for correspondence and similar work, and even book entries, especially for such records as the trust register, are being made by the use of the book typewriter. An increasing amount of business is being conducted by telephone, the larger companies maintaining private

exchanges connecting each desk with the other desks in the office and with the outside world. The long-distance telephone enables the official of a trust company in Chicago to transact business in New York in a few minutes, without leaving his desk. The adding-machine not only lists. and adds long columns of figures more quickly and more accurately than can be done by the most expert bookkeeper, but has become indispensable in companies which handle large volumes of business. By its use the taking of trial balances of thousands of accounts is made a short and simple operation. Its value is increasing as new uses to which it may be put are discovered.

The work of the teller is lightened by the use of coin counters and other conveniences. Duplicating machines enable the advertising department to send out duplicate letters which are hard to distinguish from originals. Commercial phonographs make it possible for an officer to dictate letters and other matter at such odd moments as he finds convenient, without wasting the time of the stenographer while waiting during the numerous interruptions to which he is always subject. A more recently introduced device is the telautograph, which reproduces writing at a distance. By its employment the teller may write at his desk an inquiry regarding an account which is reproduced immediately at the desk of the proper bookkeeper. The latter writes his reply, which is at once before the teller, who is thus enabled to get the needed information quickly, silently and without attracting the attention of the customer. Numerous other devices of greater or less importance are included in the equipment of the most progressive companies. A judicious use of these improvements enables the company to do better, neater and quicker work at a saving over old methods.

BRANCH BANKING.

In a few places in which the laws of the state permit, trust companies are conducting a branch banking business with such success as to make it highly probable that the plan will spread in the near future to other localities and to other companies. The same advantages are gained that are urged in favor of the Canadian branch banking system, except as to currency, though of course on a much smaller scale. A central office is maintained in the down-town portion of a large city, and the branches are scattered through the outskirts of the city and through the suburban towns. In this way communities which are unable to support independent savings banks, or at best only small ones, are enabled to have all the advantages afforded by the strongest companies. The confidence inspired by such a strong institution attracts deposits which had not theretofore been in banks at all. Money is brought into communities needing it, while from those localities which have a surplus, funds are transferred to the central office or to the other branches where the money can be used to advantage. From the standpoint of the company, deposits are materially increased, while the circle of friends who may furnish business for departments other than the banking department is widened.

BANKING BY MAIL.

Trust companies have been among the leaders in the promotion of the banking-by-mail business, which is really only a part of the growing system of "mail-order business." As applied to banking, this is not altogether recent in principle, since people have for many years occasionally sent deposits and made withdrawals from accounts through the mails. The conducting of regular banking-by-mail departments and the effort to build up this class of business are, however, phenomena which have originated during the past decade. The Pittsburgh Bank for Savings claims to have originated the first systematic banking-by-mail department in the year 1898. Its deposits at that time amounted to $3,350,000, and in three and one-half years were increased to $12,250,000; a considerable part of the increase being ascribed to advertising for mail business. A number of trust companies and savings banks are now conducting such departments and meeting with much success. Pittsburgh and Cleveland, because of their four per cent. interest rates paid by solid concerns, have some advantage in this class of business; but the possibility of getting mail business is by no means dependent upon the interest rate. It appeals to many classes of people because of its convenience and because it offers one, no matter where located, the opportunity to leave his savings in charge of a strong institution. Even in the cities it is often more convenient to mail a deposit than to carry or send it to a bank; but the special advantage of course accrues to persons more or less isolated, farmers and residents of small towns having no savings banks—which includes somewhat over seventy per cent. of the people of this country. The extension of the rural free delivery of mail, and the general improvement of the postal system, are of course great aids to the business.

The method employed in conducting the business is simple. Upon receipt of an inquiry, a letter is sent with which is enclosed a signaturecard and a circular describing the method. If the inquirer decides to open an account, he has but to place his signature and address on the card and mail it with his initial deposit to the company. He receives in return a pass-book, which in future transactions can be mailed back and forth as deposits or withdrawals are made, or can be left at the company's office. In the latter case, a separate receipt is sent for each deposit. The pass-book is made light enough to be carried with a letter and a check for one stamp. The depositor may send his deposits in the form of New York draft, postal money order, personal check or in currency by registered mail. As to the safety of such remittances, the large companies doing a banking by mail business advertise that so far as they know not a dollar has yet been lost in making them. Remittances to depositors are made upon receipt of letters requesting same, by New York draft; or, if specially requested, by postal money order.

TRUST COMPANY OFFICES AND BUILDINGS.

There is observable among trust companies a growing tendency to purchase or construct buildings of their own. Such a course assures a

permanent location, gives an impression of stability, and often proves of value as an investment. Frequently it is the only means of getting the exact location desired, or of insuring the most convenient arrangement of the offices.

Whether occupying its own building or rented quarters, the progressive company finds it profitable to maintain offices which are attractive and convenient. The standard of office equipment is such that the public expects a bank or trust company to occupy well furnished quarters, so that the cost of a good equipment is more than repaid in advertising value. The lobby should be provided with all possible conveniences for customers, including writing-desks supplied with good ink, clean pens and blotters, comfortable chairs, etc. The larger companies often provide separate reading and lounging-rooms for customers, with current newspapers and magazines, writing-desks and other conveniences, and committeerooms for the use of customers who wish to meet to arrange details of business. In many cases there are special quarters for women, equipped with numerous conveniences and in charge of a matron who looks after the comfort of patrons.

The quarters of tellers, bookkeepers and other employees should be arranged and equipped with a view to safety, neatness, convenience, saving of time and labor and the health of the workers. Attention to these matters is amply repaid in better service. The matters of light and fresh air are of special importance; when possible the arrangement should be such that the light comes from back of the workers, and a well-considered ventilating system should be adopted. There is economy in the use of up-to-date office furniture and conveniences. Steel is coming to take the place of wood in the construction of filing cases and cabinets for keeping papers and récords which are brought out of the vaults during the day.

In the general arrangement of the offices the quarters of the banking and savings departments usually occupy the location most convenient for customers. The trust and other departments having fewer visitors are located at the rear of the room or on other floors if the company occupies more than the ground floor. The safe-deposit department is usually located in the basement, but is sometimes on the ground floor. In the large companies the equipment of this department is expensive and as nearly perfect in the safeguards provided as modern science can make it. Besides being constructed of hardened steel with massive doors opened with time locks, the vaults are protected by watchmen on duty day and night and in many cities by electrical attachments which if tampered with sound an alarm at the offices of detectives who are prepared to investigate

at once.

EXCLUSIVE TRUST COMPANY BUILDINGS.

In places where the price of land is not very high, it is generally agreed that it is of more advantage for a trust company to occupy a building devoted exclusively to its use than to have quarters in an office building. In large centres where the price of land is very high and the possibility

exists of large income from the rentals of an office building, there is quite a wide difference of opinion as to whether the advantages gained by an exclusive trust company building offset the giving up of opportunities for revenue from an office building. It is interesting to note that a number of prominent and successful trust companies, as well as banks, in several large cities have had faith enough in exclusive bank buildings to make the investment, and that their success in the instances in which the buildings have stood for several years has justified their faith. Among the companies now occupying such exclusive trust company buildings or having them in course of construction are: The Mississippi Valley Trust Company and the Mercantile Trust Company of St. Louis, both of which were pioneers in this movement; The Illinois Trust and Savings Bank, The Northern Trust Company and the Central Trust Company of Illinois, of Chicago; The Cleveland Trust Company of Cleveland; The Commercial Trust and Savings Bank of New Orleans; The People's Trust Company, The Title Guarantee and Trust Company and the Knickerbocker Trust Company of New York; The New England Trust Company of Boston; The American Security and Trust Company of Washington; The Pennsylvania Company for Insurance on Lives and Granting Annuities, and The Girard Trust Company, of Philadelphia.

Whether such magnificent exclusive trust company buildings as these companies and others have are profitable from the standpoint of the company or not, there is no question that they add very materially to the beauty of the cities in which they are located, and reflect credit upon the public spirit of their builders. They mark a step toward the greater appreciation for art and architecture shown by the older cities of Europe,. whose banks in most large centres greatly excel ours in this respect.