In the first place, banks are useful as places of security for the deposit of money. The circumstances which gave rise to the business of banking in England was a desire on the part of the merchants of London to obtain a place where they might lodge their money in security. Every one who has had the care of large sums of money knows the anxiety which attends their custody. A person in this case must either take care of his money himself, or trust it to his employees. If he takes care of it himself, he will often be put to inconvenience, and will have to deny himself holidays and comforts, of which a man who is possessed of much money would not like to be deprived. If he intrusts it to others, he must depend upon their honesty and their ability. And, although in many important cases an employer is compelled to do this, yet he does not feel the same satisfaction as if the money was actually under his own care. Some instances of neglect or of dishonesty will necessarily occur, and these will occasion suspicion in reference to other parties against whom no suspicion ought to be entertained. Besides, in both these cases, the money is lodged in insecure premises, and is subject to thieves, to fire and to other contingencies, against which it is not always easy to guard.

All these evils are obviated by means of banking. The owner of money need neither take the charge of it himself, nor trust to his dependents. He can place it in the hands of his bankers. They are responsible men or institutions and are accountable to him for the amount. If they are robbed, it is no loss to him;they are pledged to restore to him the amount of his deposit when he shall require it. Whenever he wants money he has only to write an order, or check, upon his banker, and the person to whom he is indebted takes the check to the bank, and without any hesitation or delay receives the money.