35 THE FREEDMEN’S SAVINGS BANK 
sidered it essential to the welfare of the ex-slaves. 
The Negroes were given to understand that the 
institution was absolutely safe, since it was under 
the guarantee of Congress and had its funds in- 
vested in United States securities which were 
good as long as the government should last. The 
fact was also emphasized that it was a benevo- 
lent scheme solely for the benefit of those who 
had once been slaves. The profits, they were 
told, would be returned to the depositors as in- 
terest, or would be expended for Negro education. 
The Douglas Report (1876) criticized severely 
the methods of the promoters, charging, among 
other things: “In regard to this bank the grossest 
deception was practiced upon the Negroes. They 
were told that it was a government institution 
and its solvency and safety guaranteed by the 
United States. Missionaries, of whom the chief 
was Alvord, perambulated the South, mixing 
religion, politics and education, and teaching the 
blacks how to ‘toil and save’ and then trust their 
hard earned savings to Alvord and his associates 
to invest them, not until, however, they had 
levied toll for their services in bestowing such 
inestimable benefits and for their disinterested 
labors and sacrifices.” 
The Freedmen’s Bureau was soon more closely 
associated with the bank. George W. Balloch, 
then chief disbursing officer of the Bureau, later 
a trustee of the bank, gave material aid by allow- 
ing the offices of the Bureau agents throughout 
the South to be used rent-free by the branch 
banks; and often the agents acted without charge 
1 To. Report No. 502, 44 Cong., 1 Sess. 
iy