CAN IT BE DONE?

Stratford Evening Post, Volume XXXVII, Issue 5, 6 September 1913, Page 5

CAN IT BE DONE?

[To Toe Editor Stratford Post.]

Sir, —With regard to the proposal that I understand is being considered by the Borough Council to accept call-money at 4 per cent, to keep down the overdraft, one point to which, in my opinion, the Borough Council should give special attention is the view that the bank may take of the action. As 1 understand the bank gives the Council a standing <right to overdraw up to, approximately, .£.5000. The bank may well reconsider the position when it is proposed to cut the overdraft down to vanishing point at certain seasons, and yet to have the bank pledged to find up to £SOOO at any time. This of course means that the bank has to hold £SOOO available at any moment, on which it would get little or no interest, in place of having it out continuously at probably not less than 6per cent, to any ordinary customer. It is open to doubt whether the bank will fall in with an ar rangement, that apparently, at its expense, is to enable the Borough Council to eat its cake and have it.— I am, etc.,

.CENSOR Stratford, SeptenoW 6, If)L3.