INCREASED DEPOSIT RATES

Nelson Evening Mail, Volume LXX, 25 March 1936, Page 7

INCREASED DEPOSIT RATES

LEAD FOLLOWED (United Press Association—By Electric Telegraph—Copyright) SYDNEY, 24th March. The Commercial Banking Company, Sydney, lias announced an increase in fixed deposit rates, which will conform to those of the Commonwealth Bank. A corresponding rise in bank advances is now expected. Without formal announcement all trading banks at Melbourne to-day increased their fixed deposit rates to the same level as the Commonwealth Bank, and a sympathetic increase in mortgage and overdraft rates will follow. The Premier, Mr A. A. Dunstan, commenting on this action, said it was most- unfortunate that the rates should bo increased at a time when so little money was available to help general improvement. He added that the position seemed to have been handled in a most unfortunate manner. The Queensland National Bank also increased its deposit rates to-day. LABOUR WARNING challenge to"government CANBERRA, 24th March. Mr J. Curtin, Leader of the Federal Opposition, commenting .on the raising of interest rates, challenged the Commonwealth Ministry to deal with the situation fearlessly. He-declared that the-Commonwealth Bank had abdicated to the Bank of New South Wales and that Mr A. C. Davidson, general manager of the latter, was now in control of the financial system of Australia. He warned the Government that -if the Labour Party came into power next election it would take the necessary steps to correct the position.