The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1876-04-20
SILVER CURRENCY.
WHAT IS THOUGHT OF THE CHANGE IN rISAN-
cIAL cIRcLEs-pAyMESTs TO BEGIN TO-

WHAT is THOUGHT OF THE CHANGE IN FINAN-
cIAL cIRcLEs-pAyMESTs TO BEGIN TO-
DAY.
The substitution OF silver coin for fractional cur
rency, In accordance with the provisions OF the bill
which has recently been made law BY the Presidents
signature has not yet commenced tho SubTreasury
The first payments will be made to-day. About noon
yesterday Assistant Treasurer HiIihousc received tel
egram from the Secretary OF the Treasury advising him
to commence paying out silver Preparations were
Immediately set foot and the following notice was
posted in the afternoon on the bulletin board:-
NEW YORK. April 10, 1875
Notice is hereby given that and after The 2Oh
INST fractional currency OF The United States will be
redeemed al Tins Office IN silver, 70 an amount not TO
exceed 500 In any redemption. The currency must
DO sorted by and put up IN sums OF not
less than s. or mutpics thereof
Although the exchange has not yet commenced
good deal OF speculation is already INDUCED
in the subject, and different views
entertained by prominent financial theorists
and about the .'strcct.n A boarding OF the frac-
tonal currency has been going for some time,
until at present It's scarcity has actually resulted
in placing premium it. The question asked
whether boarding OF the silver will not follow when
the exchange shall have begun and BY it's continuance
produce embarrassment IN trade. The amount Of
fractional currency issued by the Treasury Depart
mcnt was altogether about $45, o0o, COO. or this
1t is estimated in certain quarters that probably
$40 900 to $l2 600 have been lost and destroyed
in various ways, while among the amount at present
In circulation there must BIO good deal that Is coun
tcriet rho amount of silver now ready Tor exchange
with similar amount Of this fractional currency is
said to be 500 600 The length of time that VIII DO
required for the substitution cannot DO estimated
present At the Sub Treasury 1t is thought $4,000
day can be paid out with tho present clerk force
EFFECT OF TIL. SUBSTITUTION
The writer convcrscd with some bankers, bullion
dealers and others interested in financial matters
the subject of the new exchange Ono banker, who
did not wish his mentioned, said that he believed
the substitution Of silver for paper would result IN
considerable annoyance after time Silver at present
is a low figure but may remain long. If IL
should go up after SIS 900 500 600 900 been
paid he though. tho result would be withdrawal of
the greater part Of that amount Of small change from
circulation, and AS the government has madc no pro-
vision for such an emergency good deal OF trouble
may ensuc. In the South, for Instance, the
for several reasons. IL Is not subject to
tho risk Of being destroyed by the rats
or mice or Of falling to decay through dampncss or in
the popular notion prevails very generally that is worth
more than paper so long as gold Is at premium Some
foreigners, also preludced IN favor OF hard cash. he
thought would be inclined to clutch the silver closely
when they once got II into their hands.
BULLION DEALERS VIEWS.
Mr. Parker Handy, large bullion dealer next
He was not prepared at present TO speak with
any degree of confidence OF the change. II gold
and silver should 60 considerably in short time,
he said, the result would be to send good
deal OF the newly issued coin back to the
melting pot again. The proper step for the gov
eminent would be to reenAct the law OF 1853 giving
the public tho right to free coinage, the
United States charging for the use Of tho
mint. Ono effect OF the exchange will be to
RAISE the value OF the fractional currency II FREQ
coinage rc-cstablishcd the trade in silver would
regulate itself according the fluctuations its value
considerable advance IN the price OF gold and silver
that would put both the government aud the people
no little Inconvenience. As far Ms he could see the
process Of exchange must be rather slow one, as
good zeal Of time will necessarily be required 10 cx
anime the ragged and almost dctaced currency.
Another bullion broker Of Wall street did not think
the exchange would result any boarding OF the
currency. He regarded II as mere substitution OF
medium for another having no special Significance
AT one time, he said, silver like corn or any other
commodity, needed abroad and VIC have to purchase
1t can here; then II goes up for time. Again
the demand falls oil, and its value dimnshcs This,
however, the gentleman sald was something wholly
unconncced with It's U.S. by tho public here, who
could only DO regarded Interested IN making the
change from the novelty of The thing at hrs which
would probably wear oil very soon.
OTHER OPINIONS
Mr. Fisk of Fisk Hatch, SAID he had not given the
subject any thought yet Looking at the matter for
The moment he said:-"A great government ought to
adhere like the simplest citizen. What
advantage IL to tho ordinary 10 be told that lie
exchange his fractional currency or silver Of no
greater valucg The government had already provided
for the exchange OF this currency for United States
notes In sums not less than 81 Now one would
naturally think, If IL was desired to benefit the
specie resumption, that the way to do
IL would be 70 let the fractional cur.
Tor which is redccmable.' There other point
which occurred 10 him, and that that the govern
meut have 10 pay hvc per cent IN gold on the bonds
with which they buy the silver 70 make this ex
change.
II Is understood that several thousand dollars In
fractional currency have been deposited at the Sub
Treasury for some time for the purpose Of being ex
changed for silver when the order comes from WASH
ington.
The arrangement preventing the payment OF larger
than 800 In any single redemption Is made,
IL Is understood 10 prevent brokers IRON crowding The
Treasury Offices to- the exclusion OF the public Those
desiring larger amounts exchanged will have 10 send 10
Treasury Washington, paying express charges
tho packages OF currency forwarded anu receiving
back orders the sub treasures mt the places from
which they forward the currency. Persons living at
distant points where there no sub treasures, VI
they wish obtain silver for their paper currency Will
have to send Washington and pay express charges
Doth ways, that the luxury Of handling coin WILL IN
all probability be denied for time 10 those located
In the interior Of tho country away from the large cities
Fractional currency forwarded for exchange should be
accompanied with letter stating tho adarcrs OF tho
sender. how the remittance in exchange required and
by check the Office where tho check should no made
payable Application has been made by many oil the
banks In the city to the Treasury at Washington for
silver in much larger amounts than be paid Mt the
Office here After the novelty OF the thing shall have
passed away Is believed that exchanges win be made
In smaller sums than at present. aud ultimately the ex
change OF single pieces Will probably be permitted Tho
rush to-day expected TO be quite lively, and the clerk
the Sub-rreasury rather limited II cannot
be increased at present. however as there Is no appro
pration additional clerk hire. Fractional currency
redeemed in silver under tho provisions OF the present
law any of the assistant trcasurcrs In any the
designated repositories OF the United states in Wash
ngton will be forwarded TO the United States casury
will such fractional currency be rcIssucd
THE VICTIM OF JACKS CREEK.