Credit currency. Currency issued by a bank for use in transactions where ordinary bank credit
available through the medium of checks is not practicable.  For example, a merchant or a
manufacturer in New York needing extra funds borrows from his bank, but he does not borrow
actual money; he in reality borrows credit against which he draws his checks.  When a farmer
needs extra money to harvest his crops or move them to market it is not practicable for him, as a
rule, to borrow credit and draw checks against it. He must have the actual money. Advocates of
credit currency hold that the banks should be authorized to issue currency for such purposes
secured by their general assets in the same manner that the credits which they loan to be
checked against are secured. Such a currency, they urge, would be perfectly safe and would be
elastic, supplying temporary and local needs and obviating the danger of currency famines.  For
additional information see Asset currency; also see Emergency currency.