NEGRO PROGRESS IN A MISSISSIPPI TOWN
BEING A STUDY OF CONDITIONS. IN

JACKSON, MISSISSIPE

BY
D. W. WOODARD
TUSKEGEE INSTITUTE,

ALABMA

NEGRO BANKS OF MISSISSIPPI
BY

CHARLES BANKS
MOUND BAYOU, MISSISSIPPI

COMMITTEE OF TWELVE
FOR THE ADVANCEMENT OF THE INTERESTS OF THE NEGRO RACE
CHEYNEY, PA.

T H E BIDDLE P R E S S

1010 Gherry St., Phila.

NEGRO PROGRESS IN A MISSISSIPPI TOWN
1

BEING A STUDY OF CONDITIONS IN

r

JACKSON, MISSISSIPPI-,' ' : > j \
BY

v

'..;>

*'•>::•.

D. W. WOODAKD..." •:'>...'•*•;.'•.
• »•" •

' ••» •

• • •

TUSKEGEE INSTITUTE, ALA&J&frA '
.•. '
•*• » •.
Mississippi, largely devoted to agricultural pursuits^ is a state of small
towns. Several of these towns stand out prominently by reason of their
rapid growth during the last twelve years—a period remarkable for an unprecedented development of the natural resources of the state.
Perhaps no one of these towns has shared in this general growth and
prosperity more fully than the capitol, Jackson. The last dozen years have
seen many changes in the town of Jackson. The confines of the town have
been extended to the west and north to include several outlying Negro communities ; and recently the almost exclusively white suburb, Duttonville, has
been received into the corporation by popular vote. Large lumber and
cotton seed oil mills, giving employment to hundreds, have been established.
New railroads, opening up to commercial purposes as never before the
natural resources of the district in which the town is situated, have multiplied its importance as a trade center many times. The establishment of
large department stores, the extension of business enterprises in all directions, the erection of larger and more modern buildings for such purposes,
some public improvements on a more or less limited scale, are giving to
the town an urban air.
The Negroes of Jackson, who have always outnumbered the whites,
but who at present constitute about one-half of the population, have figured
largely in this era of greater prosperity for the town. Twelve years ago,
with two conspicuous exceptions, the Negroes were not reckoned in the
business life of the town. Comparatively few of them owned property, and
that for the most part consisted of the homes occupied by them. A few
fraternal societies, the churches, and a periodical organization at the time
of national elections, constituted all there was of associated life among the
Negroes of the town.
Today, according to an official of the town, the 8000 or more Negroes
own one-third of the area of the town. Statistics of the condition of property ownership among the Negroes of twelve years ago are not available,
and only the citizen acquainted with the situation at that time can appreciate the great advance on the part of the Negroes implied in the above estimate. While it was practically impossible at the time of this inquiry to
determine accurately the amount of real estate possessed by the Negroes,
the real property assessment of 566 Negroes, as recorded in the tax books
of the town, amounted to $581,580.00 with an average of $1,027.52 to the
individual. It is significant that but 83 of these assessments were under
3

$500.00, showing that almost all of this property is in an improved condition. More than one-third of the assessments were above $1000.00; while
six of them were for amounts greater than $5,000.00. The largest single
assessment was that of $23,800.00. It is to be remembered that these figures refer to the real property only of the 566 Negroes mentioned.
At present one-Jialf of the Negro families of the town own their homes.
This fact was brought' tof light in an investigation made of 543 houses occupied by Negroes S4"various1parts of the town. While one-half of the Negro
families owrn^th^ homes occupied by them, more than two-thirds of the
houses in f wiikn ]^e^rpepsrlfet^ are in the possession of members of their own
race. In t h e canvass'"mentioned above, 400 out of the 543 families were in
houses ownedf'by Negro4sf This shows that the rent paid by Negroes to
other Negroes mrou^bdut the town is no inconsiderable item. Thus, in the
543 houses, the 169; families that rented from Negro owners paid to them
yearly more than $13,000.00. It may be interesting in this connection to
state, as indicative of the thrifty character of those that did own their
homes, that more than one-half of these had other property than the homes
occupied by them. And this property of the Negroes reflects a growing
consciousness of a better way of living. One has only to observe the
dwellings in a Negro district, for the Negroes have always been severely
districted to themselves, to find in the many comfortable, and, in many
instances, tastefully furnished homes, evidences of this fact.
The activity of Negro real estate dealers and of the two Negro banks,
and the easy terms on which homes can be bought, especially in a tract
outside of the town set aside exclusively for Negroes by an enterprising
firm of white real estate dealers, have done much to encourage the ownership of property on the part of Negroes. I was surprised to find, again and
again, even in the humblest of the rented homes, that the occupants were
saving from their meager earnings the monthly payment on some lot on
which they hoped to build the future home. It is a noteworthy fact, also,
that these more recently built houses greatly excel the ones earlier constructed in size and conveniences. The study of many of these homes
revealed that as the Negroes moved from rented houses to those built by
themselves as homes, these new houses were on an average one room larger
than the ones rented.
Next to the real property in the possession of the Negroes, their bank
deposits attest the growth of a more healthy economic condition. In speaking of this matter, the president of one of the flourishing white banks said
that the Negroes had just begun to save in the last ten or twelve years. He
added that they were learning to handle their money to much greater
advantage. He was in a position to know, for Negroes had on deposit in
his bank more than $25,000.00. Inquiries made at the various banks of
the town make it safe to estimate the savings of Negroes on deposit in
the banks of Jackson at about $200,000.00, more than one-third of which
is to be accredited to the two Negro banks. Other resources than the real
property and the bank deposits, including $75,000.00 worth of property
owned by nine Negro churches, will bring the total value of the wealth of
the Negroes of the town to about one and one-quarter million of dollars.
A considerable part of this wealth is in the hands of a few individuals.
The aggregate wealth of seven of these more well-to-do Negroes is, by a
4

conservative estimate, at least $200,000.00. This wealth is largely in the
form of real estate. In fact, an increasing number of enterprising Negroes
are looking to their real estate holdings for the greater part of their incomes.
About five of these men, whose exceptional incomes place them in a class
by themselves, own from 20 to 100 houses each.
Perhaps the most conspicuously successful of them all is Dr. S. D.
Redmond, who enjoys the largest practice of any of the Negro physicians
of the town. Dr. Redmond, who received his medical training at the Illinois
Medical College and Harvard University came to Jackson about ten years
ago without sufficient means to establish himself properly in his practice.
Today, at 36 years of age, he is probably the wealthiest Negro in the
town. He is president of the American Trust and Savings Bank, the
older of the two Negro banks, and a stockholder in three banks controlled
by whites as well as in one of the power and light companies. He owns
much valuable property in various parts of the town, receiving rent from
more than 100 houses. Two drug stores, one of which is situated on the
chief business street of the town, belong to him and are doing a paying
business.
While it is true that two Negro enterprises, the bakery of H. K. Risher
and the store of Alexander Williams, have been successfully conducted for
more than twenty years, yet it has only been comparatively recently that
Negroes generally have had the temerity to engage in independent businesses. More than 80 per cent, of the enterprises now controlled by Negroes
were established within the last ten years. An inquiry into the condition
of 46 of the older and better established of these concerns showed that
41 had been in existence less than ten years, the average term of existence
being a little more than five years.
Although there are a few white store-keepers who cater almost exclusively to Negro patronage, the business establishments in the Negro districts are conducted for the most part by Negroes. These business ventures
now number about 100, representing a wide range of endeavor. Among
them are the two banks already mentioned, four drug stores, two undertaking companies, two real estate agencies, one theatre, one first-class bakery,
four shoemaking and repairing shops (one doing the largest business of its
kind in the town), one millinery shop, besides numerous stores, barber
shops, and other smaller concerns of various kinds. Many of these establishments in size, equipment, and volume of business, compare favorably
with similar enterprises among the whites. Forty-four of these concerns,
including five contracting firms, did about $380,000.00 worth of business
last year and gave employment to 203 persons.
The pioneer business man among the Negroes is H. K. Risher, the
baker, who at one time practically controlled the bakery output of the
town. His bakery is one of the oldest concerns in the place, having been
established in 1881. This business, which amounts to about $30,000.00 a
year and gives employment to 12 persons, is conducted in one of the best
equipped establishments of its kind in that section of the State.
The two Negro Banks represent the first successful attempts on the
part of the Negroes to organize for commercial purposes. The older of
the two, the American Trust and Savings Bank, capitalized at $20,000, was
established six years ago. The Southern Bank, capitalized at $10,000, came
5

into being two years later, and is, in a sense, an outgrowth of the ol^er
institution. It is interesting to note that of the 186 stockholders of these
two banks, 80 individuals are mechanics, showing how these enterprises
are influencing a class of workmen who make fair wages, but who, perhaps, would not otherwise invest their earnings. The Southern Bank in
particular has been unusually successful in interesting this class of Negroes,
70 out of its 100 stockholders being mechanics. These banks have had a
tremendous influence in encouraging the masses of Negroes to save. In
July, 1908, there were savings deposits in these two banks to the amount
of $73,000.00. Their place in the business interests of the community has
been fully recognized by the white business men of the town. This appears
from the fact that several of the prominent officials of the Negro banks
have, upon invitation, become stockholders in banks and other enterprises
controlled by white men.
L. K. Atwood, the president of the Southern Bank, belongs to the small
group of professional Negroes who have found business more lucrative
than the practice of their professions. Born in Willcox County, Ala., in
1851, he was sold on the block as a slave when 18 months' old. His
mother bought him for $300, and moved with him to Ohio. Later he
attended Lincoln University, Pa., graduating in 1874. Two years later he
was admitted to the bar in Mississippi. He has served two terms as a
member of the Mississippi Legislature, and has held the positions of United
States Commissioner and United States Deputy Revenue Collector for the
Louisiana-Mississippi district. In addition to his connection with the bank,
he is actively identified with the Negro enterprises in the town. He has
amassed considerable property, and is generally regarded as one of the
shrewdest of the Negro business men of Jackson.
There are about ten Negro contractors in the town, a few of whom are
doing a rapidly growing business. These are men who started out as
ordinary skilled mechanics, and, after accumulating a small capital, have
launched out upon an independent basis. This kind of enterprise has been
made possible to Negroes by the unprecedented amount of building that
has been carried on in the town in the last few years. Five of these contracting companies did a combined business last year of $180,000.00, and
gave employment constantly to about 84 men. C. C. Sims, who does a
business that compares favorably with that done by the largest white contractors, was born on a farm, near Jackson, 43 years ago, and spent his
youth there with only such limited advantages as a Mississippi rural community of that time gave to the Negro boy. Twenty-five years ago he
came to Jackson where he picked up the carpenter's trade, finally engaging
in 1893 m a n independent contracting business. During the last year his
contracts amounted to more than $75,000.00. Mr. Sims frequently employs
whites among the 50 or more men that work for him. His pay roll for
labor is between $600 and $700 a week. His work has gained for him such
a reputation that his contracts are placed in many of the towns near
Jackson.
The group of skilled workmen from which these contractors have
sprung form, on the whole, a very desirable class of the Negro citizenship.
They receive good wages, and, in increasing numbers, are investing their
earnings in property or business. Of 83 mechanics, about whom information
6

was secured, more than two-thirds owned their homes. Negro mechanics,
as has been mentioned, constitute a large part, more than two-fifths, of the
stockholders of the two Negro banks.
A goodly number of the skilled Negro laborers are carpenters, there being
about 150 engaged in this trade. Besides these, there are about 40 bricklayers, 25 plasterers, 35 painters, 12 blacksmiths, 6 cotton samplers, 2 engineers, 7 shoemakers, and a number of others distributed among several
trades. In the plastering trade, the Negro workmen have no white competitors. One Negro firm of contracting plasterers, Populus and Boise,
did more than $50,000.00 worth of business last year.
In the case of the Negro women, the means of earning a living are
much more limited. A number of seamstresses (about 35), 3 graduate
nurses, who enjoy lucrative practices, 1 milliner, and 2 stenographers complete the list of skilled workers among the colored women of the town.
Mississippi is fertile soil for all kinds of secret and benevolent organizations for Negroes. The strong financial condition of these organizations
in the State appears from the report of the State Insurance Commissioner
for the year 1907, in which the combined value of the certificates in force
in 42 of these societies is stated to be $24,728,709.00; the amount collected
by the 42 organizations, $709,670.00, and the losses paid, $522,757.96. No
less than one-half, and probably more, of these societies operate in Jackson.
The Jackson Beneficial Benevolent Association, a purely local organization, which has been in successful operation for almost 32 years, is a
typical instance. This society has a membership of 750. Its members pay
25 cents a month, with an extra assessment of 50 cents on the death of a
member. One dollar per week is paid to sick members, and $30.00 contributed to the burial in case of death. During the year 1907, $265.00 was
received by sick members, and $90.00 contributed to the funeral expenses
of those lost by death. The society also makes contributions to various
charitable purposes. The property of the organization consists of one hall,
valued at about $4,700.00, the income from the rent of which averages
about $80.00 per month; and 4 acres of land, worth $2,500.00, to be used
ultimately as a cemetery.
Jackson has always been regarded by Negroes throughout the State
as a good town for members of their race. The chances of making a
living are as good or better than in most other places in the State. The
educational advantages, although inadequate, are far above the average.
Furthermore, there has been comparatively little friction between the
whites and blacks. There has never been a lynching in Jackson.
A conservative element of well-to-do white citizens have shown in no
unmistakable manner their friendliness towards the Negro and their desire
to help him into better ways. But lately, and particularly since the coming of Governor Vardaman, the thinking Negro has come to realize that
conditions are changing somewhat, that the lines are being drawn closer.
For instance, Negro and white mechanics have for many years worked
together, often side by side, without friction; but frequent instances of
opposition on the part of white workmen incline one to believe that competition on racial lines is increasing. In the summer of 1908, the white
carpenters started a public campaign against the employment of Negro
carpenters by white contractors. Very little was accomplished in this
7

direction, except to intensify a growing feeling against Negro mechanics
in general. As it is, the Negro mechanics are needed in the fast growing
town, and prejudice must wait for purely economic reasons before it can
work them much harm.
An organization of interest just here is the Bricklayers Union, No. 3
(Miss.), the only association of its kind in the town. Its membership is
composed of both white and Negro laborers. The Negroes constitute a
majority of the members and hold all of the offices except that of secretary,
this position being rilled by one of the white members.
The better class of Negroes and the better class of whites are coming
closer together on purely economic grounds. The Jackson Negro has done
well in business, and is no longer a negligible factor in the business activities
of the town. There are, to my knowledge, at least four Negroes who are
stockholders in business concerns conducted by white men. At present
Negro contractors do by far the greater part of their work for white patrons.
More than one-half of the real estate business of a particularly wide-awake
Negro is conducted in the interests of white customers.
The thinking Negro of Jackson has come to feel that the salvation of
the Negro in Mississippi must be worked out, first of all, upon economic
lines. And he is putting this belief into practice in a way that speaks for
itself, not altogther ignorant of the conditions under which he is laboring.

8

NEGRO BANKS OF MISSISSIPPI
BY

CHARLES BANKS
MOUND BAYOU, MISSISSIPPI
"Surely no better proof can be given of the Negro's desire and ability
to rise and become a respectable member of society than the production of a
bank-book with a good balance, or, better still, the title to a farm or a home
free of debt. The saving man is par excellence the model citizen—peaceable, sober, industrious and frugal."—Andrew Carnegie.
In summarizing the economic progress of the Negro in Mississippi during the past ten years, that made in banking comes in for no inconsiderable
part. Beginning with the Lincoln Savings Bank, which was formerly the
Knights of Honor Bank, about eight years ago, Negro banks have steadily
grown in number until, to-day, we have eleven live, active, prosperous, progressive banking institutions dotted over the state. At Vicksburg we have
the Lincoln Savings Bank, under the management of W. E. Mollison; with
resources over $60,000.00, and the Union Savings Bank, managed by T. G.
Ewing, resources over $60,000.00; at Indianola is the Delta Penny Savings
Bank, directed by W,. W. Cox, resources over $100,000.00; at Jackson is the
American Savings Bank and Trust Company, managed by Dr. S. D. Redmond, resources over $60,000.00, and the Southern Bank under the direction
of L. K. Atwood, resources over $60,000.00; at Yazoo is the People's Savings Bank, managed by H. H. King, resources over $40,000.00; at Columbus is the Penny Savings Bank, managed by W. I. Mitchell, resources over
$25,000.00; at Mound Bayou is the Bank of Mound Bayou, under the
management of the writer, resources over $100,000.00; at Natchez is the
Bluff City Savings Bank, under the direction of Dr. J. B. Banks, resources
over $50,000.00; at Greenville is the Delta Savings Bank, under the management of John W. Strauther, resources over $25,000.00; at Hattiesburg
is the Magic City Savings Bank, organized during the past year, under the
management of Dr. J. H. Howard, resources over $15,000.00, this being, in
fact, the reorganized Peoples' Bank of Hattiesburg, which went into voluntary liquidation after the assassination of its founder and cashier, the late
E. D. Howell. It may be well here to state that the retiring bank paid
all of its depositors in full, in fact there has never been a real bank
failure on the part of Negro banks in Mississippi since their existence. During the panic of 1907, so far as I have been able to learn, and I am a stockholder in nearly all of them, only two banks suspended specie payment, and
not one was seriously embarrassed, emerging from that trying period
stronger and more trusted than before. While enjoying the confidence and
patronage of their own people, it is a noteworthy fact that the Negro banks
9

of this state have the confidence, respect, and goodwill of the white bankers,
especially their neighbors. In most cases the Negro bank clears through the
white bank in the same town, using it largely as a correspondent. In this
way it develops that the existence of the Negro banks in towns where there
are also white banks, instead of being hurtful from any view point whatever, are mutually beneficial. Negroes who otherwise would not be reached
and induced to save, but for the existence influence, and education of Negro
banks, are made depositors in Negro banks, who in turn, by using the local
white banks as depositories and correspondents, bring into the channels of
commerce funds that, but for them, would not be available. Of course the
Negro banker does not pursue this policy for mere conciliation. The policy
is in line with that of all small banks, be they white or black, to use larger
ones as correspondents and depositories, as well as to clear through them,
because of the advantage and facilities always had by a larger institution,
both as to safety and making par points; but in the operation of the whole
it is clearly demonstrated that the prosperity of the Negro banker, as well
as in other fields of endeavor, instead of being a menace to the Mississippi
white man, is really and substantially beneficial to him also. I hardly think
I would overdraw the facts if I should state that there is now deposited in
white banks in Mississippi by Negro banks one quarter of a million dollars,
and this can be safely counted on as the average daily balance maintained
at least eight months in the year. Nor are the benefits following the rise
and progress of Negro banks confined to this State alone, for nearly every
one maintains a balance with correspondents in financial centers like New
York, St. Louis, Memphis, and New Orleans, upon which they draw bills
of exchange, and with whom they rediscount as occasions require; and right
here let me state, in justice to the white banker, both of this State and in
the financial centers named, that no discrimination is made against the Negro
banker when it comes to granting him lines of credit, but they invariably
grant him credit based mainly on the average daily balance maintained and
business ability.
If you ask have we passed the experimental stage as bankers here, I answer, "yes, in a measure, we have." Of course, unlike our white bankers,
we have to use raw material as bankers. We have had no presidents and
cashiers, not even bookkeepers and tellers, who took hold of the active management of our banks after long years of practical training and experience in
some well established banking institution, but have had to feel our way along,
and "read while we ran." The recent panic and its subsequent effects were, in
a measure, calculated to test the stability and management of banking instituitons. Be it said to the credit of the Negro banker in Mississippi, when
the mists had cleared away, not one was found swept away. Perhaps the
following table will serve to indicate the progress being made: In 1904 they
had resources of $50,000.00; in 1905, $95,000.00; in 1906, $140,000.00; in
1907, $360,000.00; and in 1908, $750,000.00. From this table we can safely
predict that 1909 will find us way above the million dollar mark. Another
statement I desire to make, without any comment whatever, is that all these
banks, save two, were chartered by Ex-Governor Vardaman.
The showing made by the banks does not take into account that of the
fraternal organizations in the State, which, because of their singular fitness
for supplying life insurance to many who are barred by the large Life In10

surance Companies, are quite popular as well as helpful in this State. These
organizations, notably among which are the Masons, Odd Fellows, Knights
of Pythias and Knights of Tabor, carry a reserve fund of about one quarter
of a million dollars to beneficiaries of deceased members. In most cases,
the persons managing the banks of our State are of high moral character,
with some personal means and fair business ability. As stated above, it is
not possible for us to draw from a stock of men who have had years of
training in banking, perhaps working up from a runner to president, as is the
~ase with our white friends, but all things being considered, the management
and conduct generally of the institutions are creditable. Judging by what
Negro banks have accomplished in this State in the past few years and their
status at the present time, we can confidently look forward to greater things
yy them in the financial world in the next decade.
CHARLES BANKS,
Mound Bayou, Miss.

11

LIST OF PUBLICATIONS OF THE COMMITTEE OF TWELVE.

Any one may obtain a copy of any of these publications now in print by
writing to the Secretary of the Committee of Twelve, Hugh M. Browne,
Cheyney, Pa., and enclosing for each publication desired a two-cent paper
wrapper addressed to himself.

*To the Colored Men of Voting Age in Alabama.
Can the South Solve the Negro Problem ? Carl Schurz.
Why Disfranchisement is Bad. Archibald H. Grimke.
* Voting Instructions to Maryland Voters.
*What a Colored Man Should do to Vote.
Garrison Centenary Leaflet.
Slavery and the Race Problem in the South. Hon. Wm. H. Fleming.
The Atlanta Riot. Ray Stannard Baker.
The Negro in America. Andrew Carnegie.
Address before the North Carolina Society in New York.
William H. Taft.
Work of the Colored Law and Order League of Baltimore, Md.
James H. N. Waring.
Study of the Negro's Progress in Jackson, Miss. Dr. W. Woodard.
Negro Self-Help in Education. R. R. Wright, Jr.
Negro Self-Help in Home Getting. Kelly Miller.
The Convict Lease System. George W. Forbes.
Negro Self-Help in Hospital Work. George C. Hall, M. D.
PARAGRAPHS.
East Bessemer, Ala.
Negro Banks in Mississippi.
Some Successful Negro Business Men.
Business Co-operation between White and Negro Men in Helena, Ark.
*Out of print.

12