Once proving all the fruitful ways he has kept the town free of overwhelming Potter tyranny, George realizes his importance and significance. This event stumbles George into the dream world where a second-class angel named Clarence (Henry Travers), sent back to Earth to try and earn his wings, shows George how Bedford Falls (now Potterville) would be if he never existed. Even when Bailey comes crawling to Potter for a loan, Potter stays silent about his possession and instead takes the opportunity to ridicule and tease Bailey for his poor, charitable business acumen.
It was accidentally handed to him wrapped in a newspaper. Of course, it’s Potter who has the missing cash. With no means of acquiring the funds to keep the business afloat, George Bailey quickly spirals into a depression that has been slowly building his whole life, and considers killing himself-his $15,000 life insurance policy would take care of the debt and make sure the families in Bedford Falls who rely on his company wouldn’t lose everything. When George Bailey’s absent-minded uncle and business partner Billy (Thomas Mitchell) accidentally loses $8,000 cash, the future of Bailey Building & Loan is threatened. Bailey is happy to sacrifice his own benefits for the benefit of those around him. The way Bailey handles his business is based on compassion and community-a truth that keeps Bailey from ever gaining much material wealth of his own-but which separates him from the cutthroat money-loving Potter who will do anything to turn a buck. Potter is the richest person in town, only stopped from even greater riches thanks to the tireless efforts of Bailey and his Building & Loan company. Potter’s presence in the film poses an endless nuisance to George Bailey. He preys on the needs of others instead of striving to assist them, culminating in a character that is easy to despise. As the dispirited foil to Jimmy Stewart’s generally caring and pleasant George Bailey, Potter represents the worst qualities of capitalism and greed that live in the callous, elitist minority of wealthy Americans. Ranked at #6 on the AFI’s list of the greatest cinematic villains in the first 100 years of cinema, he brings a bitter taste to every scene of It’s a Wonderful Life (1946) that contains his character. Potter (Lionel Barrymore) is one awful guy.