On the Bank Crisis - March 1. On the Bank Crisis. President Roosevelt by radio, delivered from the President's Study in the. White House at 1.
PM today. I want to tell you what has been done. I recognize that the many proclamations from State Capitols and from. Washington, the legislation, the Treasury regulations, etc., couched for. I owe this in particular because of the. I know that when you. Washington have been about I shall continue to have. I have had your sympathy and help during the.
It invests your money in. In other words, the bank puts your money to work to. A. comparatively small part of the money you put into the bank is kept in.
In other words the total amount of. Because of undermined confidence on the part of the public, there. The reason for this was. Proclamations temporarily closing them in whole or in part had. Governors in almost all the states.
This law also gave. Neither is any bank which may turn out not to be in a position.
The new law allows the twelve Federal Reserve banks. The new currency is being sent. Bureau of Engraving and Printing in large volume to every part. It is sound currency because it is backed by actual, good. Your Government does not intend that the. WE do not want and will. This will be followed on.
Tuesday by the resumption of all their functions by banks already found to. That means. about 2. United States. It is necessary that the reopening of banks be.
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Government to make common sense checkups. A bank that opens on. These banks can and will receive assistance from member. Reconstruction Finance Corporation. These state banks. Secretary of the Treasury to permit. I. am confident that the state banking departments will be as careful as the.
National Government in the policy relating to the opening of banks and will. Let me make it clear that the banks. It needs no. prophet to tell you that when the people find that they can get their money. People will again be glad to have.
I can assure you that it is safer to keep your. More liberal provision has been made for banks to borrow. Reserve Banks and more liberal provision has also. This. currency is not fiat currency. It is issued only on adequate security - -. There will be, of course, some banks unable to reopen.
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The new law allows the Government to assist in. Government to subscribe to at least a part of new capital which may be. Some of our bankers had shown themselves either. They had. used the money entrusted to them in speculations and unwise loans.
This was. of course not true in the vast majority of our banks but it was true in. I can even promise you salvation for some at least of the sorely. We shall be engaged not merely in reopening sound banks but. It has been. wonderful to me to catch the note of confidence from all over the country. Confidence and courage are the essentials of.
You people must have faith; you must not. Let us unite in banishing fear. We have. provided the machinery to restore our financial system; it is up to you to. Together we cannot fail.