The Mena weekly star., 1897-09-29
BRIEF HISTORY OF THE SYSTEM.
POSTMASTER GENERAL GARY FA-
 yORS THE INSTITUTION.
Already In Operation in Nearly All First Class Governments and
 Proven a Success.
From the Kansas City star


 doubt. For some time he has been
 assiduously studying the systems in use in other countries with reference
 to the matters of expense, administra- 0tion and results, and is now preparing 1, to enlist the interest of others in the inquiry. He proposes to appoint a
 committee to thoroughly examlne the
 subject with view of devising a sys- tenn suitable to the needs of this
 country. When the investigation is compiled and the plan outlined he will
 Incorporate the recommendations in his annual report and suggest such Legislation as may be necessary to car ny it into effect Some of his predices- sors have favored the organization of savings banks and the records of the department contain several annual re- ports recommending their adoption. But no previous attempt to compass the result was either as systematic or Thorough. Now that persuasive req sons in support of this project are to be given and the statistics of experi- ments elsewhere to be submitted, there is cause for the hope that diff ferent result will follow.
 The Postmaster General is welded to no particular system. though the zCanadian plan seems to have made a s favorable impression on his mind. Under that system deposits may be made at any post office in the domin- lion in sums of not less than $1, and all the money so received is forwarded to ! the Postmaster General, who deposits lit in the Bank of Montreal. Accounts are limited to $a.OO0 and interest at the rate of per cent is allowed on Sdeposits. Married women and child ren above the age of 10 years may open accounts and check against the funds in their own name, but all applications for withdrawals must be made direct to the Postmaster General, who pays in checks on the bank of ultim ate de- sposit.
 In 1896 there were 1858, 39s depositors in the Canadian postal savings banks and the aggregate amount of their ac- counts was BPS, 932, ,026. being an aver sage of fraction less than $lS9 to each depositor. The total expense of con ducting the business including salaries, Stationary and all other ordinary charges, was $5s, ,340, which, added to the interest paid, made grand total of S926, ,357.7s. Estimating the use of money as worth per cent, net profit Twas left to the Dominion government of S230 9s9.26. But as the object of the enterprise was to accommodate the people with safe banking facilities rather than to earn profits for the gov ernment, the favorable balance is a matter of little concern.
 Postal savings banks were first in- Produced in England twenty-six years ago and last year there were 6, 453, 597 'depositors of that class in that country with an aggragate account of 500 mill lion dollars. The success which they achieved there almost from the first led to their adoption in many other counties and they are in successful Operation in Russia, France, Italy, Sweden, Austria, Japan and nearly all other civilized countries, including all the British colonies and Hawaii.
 Postmaster General Gary believes that postal savings banks would pro- mote patriotism among the people. It is we'll established fact that favors create affection, an6 when people find that they derive direct benefit from the government their appreciation of it is increased. All the depositors in these institutions would feel an addi- tlonal interest in the prosperity and perpetuity of the government. and would be led to exercise greater care and discrimination in the selection of thelr public representatives With the Opportunity of placing their savings beyond the reach of reckless bank off cials, there would be strong incen- five offered to wage-earners to culti- xate habits of thrift and frugality and the measure of comfort and inde- pendence among the people would be vastly increased. The value of small eccretions would be made apparent, and the benificent results of the sys- 4e n WOuld be manifested in a variety