Watertown republican. [volume] (Watertown, Wis.) 1860-1906, 1877-09-26

gagged in the shooting. There would
not be much chance for fellow in the
army if the enemy had many such
men for sharp shooters.
THE recent and frequent failures of
savings banks has greatly stimulated the
question of postal savings banks under
the contract of the government. 1t is
argued and with much reason that, SO
long as the government is itself an enOr-
nous borrower, it ought to borrow the
savings of the poor people and thus pay
interest at home instead of abroad 1t
is claimed that if all the money order
postofices in the United States were
made savings repositories that the gov
eminent could, by paying even 4 per
cent interest, have $500, 600, 900, now de
posted in banks. This system would
secure the depositors from loss beyond
a doubt. The government would be re-
sponsible to the depositor thus largely
beneftting the poor and at the same
time the government could IN that way
get loan of some $2OO,OO0O00 at even
lower rates than it now pays foreign
bond holders and the interest would
be paid to the poor at home instead of
going abroad This system is practical
and was adopted in England in 1861,
and has since been adopted with some
slight modification, in Canada. In
England on the LIST Of January, 1876,
there were over five thousand banks,
which held e26, 127 1867 to the credit of
their depositors, the average amount
deposited by each person being nearly
81, and the business of the year 1875,
including 93, 152, 433 deposits, amounting
to sS,7S3,S52. The deposits must be
made in round pounds and shilhngs, and
not exceeding ESQ in one year, s15O
in all, or e2OO including interest,
is received from a single depositor,
depositors are allowed p per cent. in
terest on sums exceeding one pound
sterling, the money being invested in the
public funds. In Canada the deposits
must be made in round dollars. Four
per cent interest is at first paid, but
when the deposit Of an individual be-
comes considerable the receiver-general
buys per cent. Dominion bonds, and
holds them in trust for the deposition
The system went into effect in Canada
in 1868, with 81 Offices designated for
receival. There are now 278 such
ofices-232 in Ontario, As in Quebec
and one in Manitoba-with, on the LIST
of january last, 24,3S9 depositors.
These have at their credit 1921, o10.67,
including interest During the eight
years and nine months then ending
3S7 ,29O deposits have been made,
amounting to $15,741 ,621, and there
have been 1894 Withdrawals, aggre-
eating $l2,2OS, 1S9 90. while further $3.50
investments have been made in Domin-
ion per cents to the amount of 81 ,617,-
800. There have been opened S5,971
accounts and closed 81 ,5S2, and interest
amounting to $S17, 17S.S7 has been al
lowed to depositors.
These deposits are exempt from sci
zure on execution, and principal and
interest is payable at any post office.
The advantages of the system to the de-
position are obvious. His money is abso-
iutely safe and earns for him reason
able interest; if he is removing or
travelling he takes it with him without
risk or expense; he can draw it out at
will. The government on the other
hand obtains all the small savings of the
people at low rate of interest-in Eng
land at something less than 3 per cent,
IN Canada at A.
The objections to the system in this
country are two. First, that of increas-
ing largely the officials of the govern
ment and increasing the danger of cen
tralized power. This is generally con
sidered the chief objection to the system
in republic. 1t is also argued that the
system would tend to reduce the guam
tity of circulating medium and embar-
rass commercial transactions by greatly
reducing the currency held by banking
institutions