The diamond drill. (Crystal Falls, Iron County, Mich.) 1887-1996, 1897-10-30

Rensons Why banks Prefer 60 n snijt
Funds by Express.

AA'A AhaA anu rust
ern banks have recently used the reg
istered mail service for the transmits.
sion of currency 10 and from the bank
ing centers OF the country has caused
considerable comment. The reason is
found in the inability OF the banks to
secure this year, through the treasury
Of the United States, the benefit OF gov
eminent contract rates from the ex-
press companies. Prior to this year the
treasury gladly shipped currency TO
banks at government rates, in return
for gold. In the last contract with the
express company, however, clause was
Inserted 10y which such privileges should
be afforded TO the banks only when the
treasury needed gold.
The secretary Of the treasury having
decided that the treasury does not need
gold now, the banks cannot participate
In the advantages of the government
contract and TO save transmission
charges country bankers have directed
their city correspondents TO make ship
ments intended for them by registered
mail.
The cashier Of a large national bank
v hich ships many thousands OF dollars
every day 10 its correspondents all over
the country, IN speaking about this mat
ter with New York Evening Post re-
porter, said:
"The conservative banker still prefers
Ia send money by the well-known eN-
press companies; but, 10 save expense,
since the government refuses TO remit
for the banks any longer AT government
contract rates, the country banks are
apparently willing 10 take the risk OF
transmission by registered mail with
the guarantee Of an insurance COM
pany's policy for its safe delivery. Not
Nithstanding, however, the registration
and insurance, the risks OF sending
large sums Of money by mail are very
great A package of currency which IS
forwarded by the registered mail de-
partment Of the postal service has no
distinctive mark indicating its value;
pencil receipt is given for i just the
same as for any ordinary letter or pack
age of merchandise. The package Of
money is thrown in with packages OF
merchandise of all sorts, aud no more
care is taken OF it than is taken with
box OF shoes or "A package OF gloves.
The registry clerks receipt is not doc
ument that is as well known or as salts
/ factory us the receipt OF the receiving
| clerk or an express company, and IN case
Of the loss Of the package, the delay IN
/ The recovery OF the money is intermin-
able.
"on the other hand, the express com
panies locate missing packages OF
money or make good the loss promptly
| without technicalities or delays. Ihey
are responsible, and banks run no FISK
I'm shipping by them. Their employees
are chosen solely on the ground OF abil-
ity and trustworthiness, and they are
therefore more likely 20 be more ac-
curate and prompt than postal en-
ployes. who owe their places, more or
| less, to politics. notwithstanding inc
civil service examination. While II Is
true that by insuring money sent by
registered mail there is some guarantee
against loss by non-delvery, il is equal
In true that there is considerable risk
j ~ Loss IL the insurance company STANDS
on tecbnicalities. The slightest in
formallty in the observance of the terms
Of an open policy issued by an insurance
company renders the policy inyaliu, anu
would i'm the case of a missing package
cause the loss to fall on the conslgnor.
The technicalities TO be observed by a
RENTING bank In sending money by
registered mail when the delivery OF the
money IS insured by one OF the local in
surance companies are very great com
pared with the simple but safe methods
Of the express companies, and unless
some new regulations are made by the
postal authorities for sending regis
tered mail conservative New York banks
will certainly prefer TO ship by eN-
press"
The cost OF postage and insurance,
SAYS the Post, is much less than the
usual express charges az what are
known as bankers rates. Few New
York bankers, however, would remit
money i'm that way, unless they were
directed TO do so by their corresponds
ents. They would rather ship u by eN-
press, even though IL cost more TO do So
because they consider II the SAFER way
waters First Dip.
Walter T. was six years old lie
never had seen the ocean. We we're
TO spend the summer at the seaside,
and Walter had a new bathing suit.
Every boy IN the block was invited
into the house TO see him try u on, and
one day we discovered him in the BATH
tub surrounded 10y an admiring group
OF juveniles. TO whom he was diseours
ing about how he would dive from the
end OF the iron pier when he reached
the ocean. When the young man, how
ever. saw the ocean with the great
waves rolling on the beach. he could
not be induced 10 go near It, and posi-
lively refused TO put on his bathing
suit. One day his father offered him