National Republican. (Washington City (D.C.)) 1872-1888, 1879-01-16

would have to wait 1913 years auds four
months before ho would be entitled to interest;
That was The redemption proposed by the United
States when IL established a savings bank. II was
said that the certificate might be sold What would
SO certificate, bearing per cent. interest bring
when $50 bond at 4 percent. could be had i'rpar'
The laws Of trndc would put them far below par
whenever they had to be sold in the market That
was the savings bank offered the poor Of Anterior
by mngn0nimous Government The rlch, Who
ycstcIdny had subscribed SljU)O COO to the 4 per
cent. loan, were not 10 wait one hundred aud
twenty three years and four months for their in
tctcst; II was to be paid quarterly.
His amendment proposed that those certificates
should be convertible ut the end OF SIX months,
with accrued interest into lawful money. without
that amendment the bill was II snare and trap
ior INC poor and Disgrace To- the Government
with II the bill would be safe for the people ana
benCfcent In It's effects ON the funding operations
of the Government.
Mr.. BANKS argued that the effect Of this bill
would be to take from the savings banks the adj.
dtionul deposits that might be made between .
per cent. aud or per cent rate of interest; to
withdraw to considerable eNtcnt) the present
deposits that II would throw the savings banks on
their real estate security; that that real estate Ito
the amount Of $500 100000 If suddenly thrown into
the market, would depress The security TO such an
extent as TO deprive the savings banks of the power
to nay their dcpositors,
Mr. BUncHARD said that though the bill was not
very Objectionable so far rs IL went, he should pre-
fer the measure that had been reported last session
for the establishment of Government savings
bank.
Mr. BUTLER opposed the bill as a deuslon and
snare. The effect of 1t would be that poor man
might spend a day every month In procuring go
bonds that when he got five of them together ho
might change them into per cent. bonds, and that
for that privilege he would have spent five days or
part OF i've days and would have saved Just 500
cents in interest. That was all there was OF II.
There was no element of II savings bank in IL. II
had no safety, aud when the poor man wanted
money for his bond he would have to, 60 TOT
broker and submit ton shave greater than the inter.
est IL there was anything else I'm 1t he failed TO find
IT, They were told that II was doing . good thing
ior the poor people and that 1t was IKE me Gov
In England, however the Government savings
Bank paid % per cent interest within = per ccnt,
of the Bank of England discount Here the ordinary
rate of discount from to 10 or II per cent. ac-
cording to locality and it was no boon TO the poor
man to take his money and pay him per cent. IN
eTest If the interest were put up to orr then he
would talk with them. Let them give 10 the poor
man the same chance that they gave to the banks.
The object of the bill was he intimalcd, to with
draw the greenbacks from circulation, for there was
no way ofpaying them out when received for this
purpose. II would be a further contraction OF the
currency, which had already depressed labor,
stopped business and brought the country to its
present condition,
Aud the result of that condition, which was said
to be necessary, was the hCavcn-born boon of re-
sumption-ut New York, and nowhere else. He
could not vote for the bill, and he did not be-
llcve that 1t could do the people any good lie
wanted governmental savings bank paying IN
tereSt, as in England, within u per cent. OF the
bank discounts. Why should the Government pay
per cent to the hunks and only per cent to the
poor luborcr? II was mere demugogue under
taking to say that the people should have the priv
ilege of having per cent. interest on certificates
which can be exchanged into 4 per cent bond
that may or may not be worth its face value.
They never could be worth more and might be
worth less. Was the House prepared 70 pass such
a measure? IL II was going TO do anything in that
direction 1t should adopt the amendment offered
by the gentleman from Pennsylvania Mr. Kelley
so that man could get back his money il he did
not like the security justas he could in the savings
banks. Another objection was the want of safety
under this bill. A man might lose his certificate ;
he might be robbed of IL; IL might be burned up ;
Mr.. KELLEY. II is the same in the case of a say
ings bank book.
Mr.. BUTLER. oh, by no manner of means God
bless you no! oh, Lord, no! Laughter Not in
our country. do not know how 1t may be else.
where.
to take time 70 show that the hill did not establish
such an Institution as would protect the poor man
or give him any facility for saving his earnings
lie might just as well keep his $40 In his pocket, In
the shape Of bank bill If he lost the certificate,
1t would be equivalent TO losing the bill.
Mr. GARFIELD said that the less legislation there
was on the finances the better The country was
was getting on well, and he would not favor any
radical change In the present order of the currency
law.
Duthere was u bill that wnsgreatly misunderstood.
In the work of rclundlng the present Secretary of
| the Treasury had abandoned the syndicate, md
invited all national banks !markedy all dcp9s!-
tary banks to take hold of the work and MD him
in transferring the perc cent bonds into per cent.
bonds lie now believed that he could make The
| going beyond the banks aud dealing with the pco-
| pie directly. This bill proposed just that thing.
L was not proposal to make sayings bank of
| the Treasury. The amendment of the gentleman
| from Pennsylvania (Mr. Kelley put savings bank
feature into 1t, but not brond enough to fill the
idea of savings bank while 1t substantially tool;
| away the purpose Of rcIlnding. He believed that
| the BILL MS II stood would be very clilcaclous in
| fastening rcfnding The gentleman from MassA-
chusets Mr.. Butlcr) said that the bill would dis
trcss the poor man lie (Mr. GNrded) had more
| filth In the poor man. He was willing to believe
that If man determined to save $50 he could do So
| one Of the elements Of strength in France arose
from the fact that five million FrenChmen held the
| bonds of France; and the day Oh which three mil.
| lion American labOrcrs were holders of United
| states bonds would be the day when the occuPa-
| ton OF those gentlemen, who tried to raise II row
| between the bondholders and the poor people
| would be gone; Applause lie was anxious for
| become interested IN the debt Of the nation. That
would be great protection for The public credit
II would hasten the day for reminding the debt, II
labor and industry were 10 be encouraged the Coy
crnment must get out Of the way rs competitor
| fol- loans.
Mr.. PHILLIPS opposed the bill. There was no
| reason why the Government should pay to the
poor man the lowest rate of interest 1t had ever
| paid and provide no means by which persons could
get back TIC money deposited, or could get my in
terest until the certificates were ultimately con
verted into per cent. bonds. lie desired 10 Offer
an amendment providing for the deposit, IN ANY
post.ollice which is II monoy.order office, of any
sum not less than twenty-five cents 10 be for.
| warded to the United states Treasury, aud an ac
count kept with the dcpositor, who shall receive
this sum shall amount to $40 II shall be converted
| into the certificates provided for by the bill.
| Mr. WOOD declined to yield for the amendment
Mr. CHlTTESDEN IN. " declared himself In favor
ola Government issue ofthe per cent. bonds In
small sums, III which the savings of the people
| might be boarded, and he regarded the bill US d
good step toward that.
MIR TOWNSEND IN. " also favored the bill tvs one
| looking in the right direction.
| The debate having closed,
Mr. BURcnAnp offered the amendment that, In
lieu Of the certificate provided for, the Secretary o
| the Treasury shall ii desired, enter ON the books
Of the Treasury, to the credit any presenting
or forwarding Il to the Treasurer, any sum not les
than 81 and shall allow interest thereon and credi
the same quarterly ut the rate OC per cent per
num- and shall establish rules and regulations fol
| the Withdrawal or payment Of such deposits, pro
| vided that when the sum of 1000 shall have nc
cumulnted TO the credit of any person. per cent
bonds shall be issued In discharge aud paymen
| Of II.
The previous question was seconded and tn,
| mRiu question Ordered--yCas, 1872 nays %.
The first vote was taken ON Mr.. Kcllcy's amend
ment, that certificates shall he convertible lattc
| six mOnihsl into laval money, and nj any tim,
into per cent. bonds
| The amendment was reieGted-yeas, 81 nays, l5l
The next vote was taken on Mr.. BurUhards sub
slitute, and IL was dcicatcl-yeas, e.; nays, 1853.
Mr. SPRINGER moved 10 lay the bill on the table
MI BuNpY moved " adjourn and the yeas anC
| nays were ordered,
During the roll.Call the hour OF hnlfpast four ar
rived, at which time the House had agreed to TAXI
recess until half-past seven; but The Speaker
ruled that the call should bc completed, aud it re
suled-yeas rs; nays, l26; and lie House, at $40
| took q recess until 1870.
During the course orthe day Mr.. HUTTON offered
lNaa. la.l a