Arizona weekly journal-miner., 1897-11-03
POSTAL SAVINGS HANKS.

POSTAL SAVINGS BANKS.
 The question of establishing pos tai savings banks is now being agitated throughout the country, and among the great masses of the people it seems to be very popular. This system is in vogue in many countries of the world, and has proven satisfactory and successful wherever inaugurated.
 We do not claim to be a very shrewd or experienced 6nancier, but ] from our limited knowledge of finances, ss we'll as limited knowl- ege of the details of the working of postal savings banks, the system presents itself most favorably for more reasons than one.
 It would afford an opportunity 1 for persons of small means to invest their earnings where they would be assured that they are perfectly safe, and where they could also know that at any time they wished to draw them out, the money would be forthcoming.
 It would tend to develop a stronger spirit of patriotism in the country. The fact that the govern ment is caring for mans means and paying him for the use of it, will make him a better friend of the government.
 Instead of paying interest to for eign bondbolders, the government, in this way, would be able to secure sufficient money for all purposes, and would be paying interest to its own citizens.
 In commercial affairs, the busi- ress of exchange could also be greatly simplified.
 One of the serious questions which might ultimately arise would be, What shall the government do with the money received in this way7 In discussing this feature, the Phila delphia Farm Journal. an ardent advocate of government savings banks, says:
 Several plans are proposed. One is to use the funds for the purchase of outstanding government bonds. or these enough could be had to begin the system and run 1t for .hree or four years.
 After United States bonds should become no longer available, some thing else could be found. IL has been suggested that the funds be invested in state bonds, but it is doubtful whether this would be legal without a constitutional amendment. Certain it is that the opponents of the system would take this ground and try to block the way.
 "The country stands in needs of a cheap parcel post, of one cent letter postage, and of rural free mail delivery. The money could be used to establish these, and bonds of small denominations be issued for the purpose, thus placing them within the reach of people of small means.
 Ut has also been proposed to erect buildings in the smaller towns and cities for government purposes for the courts, postoflices and cus- tom houses,-and thus save rentals now paid.
 "Another plan is to use the funds for the erection of telegraph lines } and the establishment of tele- graph rnd telephone service in con nection with the postotiices.
 1t has also been proposed to loan the funds to the national banks; also to individuals upon farm mortgages and other real estate; but it is likely that these propositions would meet with very strenuous opposition. and create a conflict that had better be avoided.
 "Of the merit of the respective plans, it is not necessary now to speak, but the subject should at once be taken up and considered by the people. Doubtless some good and safe plan will be devised-con- taining mo vicious principle - when Congress meets"
 Of the above plans proposed, the one to loan the funds to private individuals or to private corpora tions, are untensble, impracticable and indefensible. There is no oblig- ation so difficult to collect as tbat of an individual or corporation to the government. This is demon strated in the matter of the Pacific railroad bonds, and in the suits to recover on official bonds or bonds given for contracts.