 Diversification continued and by the outbreak of World War I, Spanish savings banks were readily issuing mortgages directly to retail customers.The Mortgage Act of 4 June 1908 contributed to the development of this phenomenon as it pioneered exemption from having to pay different forms of capital gains and corporation’s tax for mortgages issued by the Mount of Piety.Most early-established savings banks had located in the biggest urban centres, and grew in financial strength through retained surpluses.