Chapter I: Introduction: By a London Banker

I confess that when a publisher asked me to write an introduction to Mr. Warren’s little book I experienced some surprise; because, in the past, he handled bankers rather roughly. Perhaps the audacity of the request appealed to me. At any rate, I consented to read the proof-sheets, and, finally, perhaps a trifle reluctantly, to stand sponsor for the work in a qualified sense. I do not agree with all he says, by any means.

Here is the eighth edition of a well-written, interesting guide for the customer, who has obviously found it useful. The book would not have obtained a market unless it were wanted. This must be granted. And I think that it was wanted even from the point of view of a banker.

The author in a short chapter tells us how and why the joint-stock bank came to dwell among us. Then he plunges into his subject--the Guide for the Customer. The chapter on the cheque and its various crossings is admirable. I only wish that the clients of my own bank would read every word of it, and save the time of our cashiers.

He who keeps his account in credit is told much that he ought to know; the depositor is shown how to check his interest; the borrower how to negotiate a loan or advance; and everybody is told the manner in which he may easily check the charges debited in his pass-book. Speaking for my own bank, I do not care who makes use of this clearly-put information. Let our clients obtain the book by all means. We shall then be spared the trouble of answering a host of stupid questions during the busiest parts of the year.

Touching upon “unclaimed balances,” I am of the opinion that the public can be very well trusted to look after its own interests; and after glancing through my own ledgers I think that these unclaimed sums would not amount, in the aggregate, to a really large figure. Most of these dormant balances are insignificant.

As to the pay of bank-men, I do not feel justified in expressing an opinion, beyond asserting that the wants of a bank-clerk are small. My advice to the customer is--“read the book.”

“CITY MANAGER.”

CONTENTS

CHAP. PAGE
PREFACE v
I BANKING EVOLUTION 1
II ON THE CHOICE OF A BANKER 13
III THE CHEQUE AND ITS VARIOUS CROSSINGS 19
IV CREDIT-ACCOUNT CUSTOMERS 38
V DEPOSIT-RECEIPT CUSTOMERS 45
VI THE BANK RATE IN RELATION TO BANKERS’ CHARGES 61
VII LOANS AND ADVANCES IN LONDON 68
VIII OVERDRAFTS IN THE COUNTRY 75
IX HOW TO CHECK BANKERS’ CHARGES 89
X BILLS, COUPONS, FOREIGN DRAFTS, ETC. 102
XI UNCLAIMED BALANCES 110
XII BANK SHARES 117
XIII THE PAY OF BANK-CLERKS 128

BANKS AND THEIR CUSTOMERS