Hutchinson gazette. [volume] (Hutchinson, Kan.) 1895-1902, 1897-07-22
POPULAR In CANADA.
POSTAL SAVINGS BANKS IN UNI
VERSAL FAVOR.
they wonder Why tho United states Does
Nat Mako Similar Use Ofthe POstOfiics
Advantages Of ths System. Gives the
People Confidence.

postoffice savings bank here is regarded
as an established institution, whose
existence is not to be questioned any
more than that of the postoffice depart
ment itself. The proposition to do
away with postofice savings banks
would receive no more encouragement
here than a proposition to deprive the
postOffice of its money-order function
would receive in the United States.
Practically everybody in Canada ap-
proves of postal savings banks, and
the wonder here is that the United
States should have delayed SO long the
establishment of an institution SO be-
ni6cent in its operation, so potent in
conserving the welfare of the people
and in allaying the spirit of discon-
tent.
sUPT. MATHEsON's TESTIMONY.
r David Matheson, who is now super
intendent of the savings bank branch
of the Canadian postofice, helped to
formulate the first regulations for the
control of the savings banks in the es-
tablishment of the system in 1868. For
many years he had charge of the ac-
counts. In 1881 he was made assistant
superintendent, and since 1888 has
been superintendent Mr.. Matheson
lnanifests keen and painstalSing in
terest in his work. He is probably to-
day the best informed man on the sub
ject of postal savings banks on the
American continent. He believes the
establishment of savings banks in the
United States in connection with the
postofice department would be great
blessing to the people of THAT country.
ADVANTAGES CoNcIsELY STATED.
Mr.. Matheson furnishes the follow
ing statement of the reasons for his
belief in postal savings banks:
Briefly summarized, the advantages
of the postofice savings banks are:
"First-To the people personally:
"1-Absolute security from loss.
"2-Convenience of making deposits
Repayment not affected by
change of residence.
''4-Safety against personation and
fraud.
''5-Prevention of poverty or tempo
rary want by developing habits of
thrift and saving.
''6-Gives, where no other bank ex-
lists, means of ready and safe deposit.
"7-Discourages reckless and specu-
lative expenditures.
i "s-Educates the young and untrain-
33ed to knowledge of the use and man
agement of money.
"Second-To the government:
"1-Prevents the borrowing from
abroad.
'9-Places the money las loan or
otherwise) under the control of domes-
tic legislation.
"Third--To the country:
1.-THE people receive the profits
(interest) of their savings when used
as public investment.
''2-The country's wealth is kept
within itself and does not go to swell
the wealth of another community.
''3-By the wide distribution of re-
payments money thus invested can
promptly reach points needing it sud
denly from local causes.
'4-In remote places stringency
from too limited banking facilities is
prevented or lessened.
"5-The laboring public is taught to
feel a direct personal interest in the
stability of the country
"6-Sectionalism among the less in
telligent classes is lessened by contin-
ual and close touch with common f.
nancial institution.
by special investment the peo-
pies savings may be made the founda-
ton for municipal improvements, or
special national undertakings.
wherever postoffice savings banks
Nave been opened they have been con-
sidered great boon In 1868 (thc year
of commencement there were only
eighty-one such banks in Canada, and
the balance at the credit of depositors
then was s9O5, 900; now June, 1897
there are 800 banks and the balance
due depositors is S3l 100000. The
whole cost of management averages
annually one-quarter of per cent. on
the balance due to depositors.
ALLAY sEcTIoNAIIsM
Mr.. Matheson lays great stress on
the points that postal savings banks
will give the laboring population a
greater interest in the stability of gov
eminent, and will tend to cultivate a
national spirit as opposed to sectional
ism. Postal savings banks, he thinks,
have done much to obliterate provin-
cialism in Canada. A common finan-
cial institution, in which large num-
bers of people have personal interest