Delaware gazette and state journal. (Wilmington, Del.) 1883-1902, 1897-10-28
MONEY REGISTERED BY MAIL.

Postoffics.
New York Evening Post.
A novel feature in ths shipments OF
currency to interior points, and partic.
ulatly TO the South and West, by local
banks this fall is the great extent 10
which the registered mail service is
being used for that purpose, instead of
the money being shipped by express as
was formerly the general custom. The
reason for this ia tho inability of the
hanks to secure this year, through the
Sub treasury, the benefit of the govern
ment contract rates for the expressage.
As result of that the banks have had
10 pay what are known us bankers
rates to the express companies which
are two or three times as great as the
government-contract rates, or ship their
money by registered mail
The course of the Treasury in resnect
to this matter has been explained from
time TO time in the Evening Post, so
far as any explanations could be OBJ
tanned. Heretofore the Treasury gladly
gave to the banks the privilege of ship
ping currency at the governInent.con-
tract rates, or rather, shipped the cur
rency for the banks at the government
rates in return for gold depoHite. A
clause, however, was inserted in the
contract with the express company
when it was last made by which such
privileges should only be afforded to
the banks when the Treasury needed
gold. The discretion in the matter ap-
parently rests with the Secretary Of the
Treasury, and he has seemingly decided
that the Treasury does not want gold
now. Consequently the hanks cannot
have the heneiit OF the government.
contract rates for expressage, although
bankers generally seem TO think it
would ne better for tho Treasury
always to take gold when it can with
out loss. The Treasury ruling, how
ever. has not helped the express com
pany very much, because nearly all the
country banks to whom money is re-
mitted, and who have to pay the cost
of transm ssion, direct their New York
correspondents to ship the money by
registered mail, and insure its safe de.
livery in one or other of the companies
which make speciality of that business
| The cost of postage and Insurance. ia
much less than the usual EXPRESS
charges at what are known as bankers
rates. Few New York bankers how
ever, would remit money in that way,
|
their correspondents. They would rather
ship it by express, even though it cost
more TO do so. because they consider it
the safer way.
If money is lost 10y an express com.
pany during transmission, the loss ia
promptly made good. whereas, bankers
say, it takes long tiino, anu is a
Troublesome task, TO recover the amount
when the money is lost in the mails
The government is not responsible; it
only promises TO taxa greater caro- Of d
registered package, for which tho regis.
tration fee of eight cents ia charged it
cannot or does not guarantees its de.
| livery or reimbursement ia case OF loss
The cashier OF large national bank
which ahinH many thousands Of dollars
every day to its correspondents all over
| ths United States, in speaking OF this
matter to-day, said:
The conservative banker still pre-
fers to send money by tho we'll known
express companies: hut. TO save ex-
| pense, since the government refuses to
remit for the banks any longer at gov
erument-contract rateH, the country
banks are apparently willing to take
the risk of transmission by registered
mail, with tho guarantee OF an insur-
anee clmpany's policy for its safe de-
| livery. Notwithstanding, 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 department of the postal service
has no distinctive mark indicating its
value; pencil receipt is given for it
| Just the Same as fur 60 ordinary latter
or package of merchandise. The pacls-
age of money is thrown in with pack
ages Of merchandise OF all sorts, and no
more care is taken of it than is taken
with box of SHOES or package of
gloves. The registry clerks receipt is
not a document that is as we'll known
or az satisfactory as the receipt of the
receiving clerk OF an express company,
and in case of the luss OF tho package,
the delay in the recovery OF the money
is interminahle.
For instance, few years ago a
Southern bank ordered from its New
York correspondent $50, GOO 10 currency,
the money to be sent by registered mail.
The package was put, or supposed ia
have been put, in certain through
pouch, but when the pouch was openad
in the Southern postoiice in the pres
ence of tie president nf tho bank, who
was anxious about the arrival OF the
money, the package was not there. In
vestigation by the postofliee authorities
failed to discover its whereabouts, and
IL the insurance company which had
issued a policy guaranteeing its safe
delivery was 10 more successful, and it
was a long time before the bank was
reimbursed for the loss. Tho inconyen-
ience caused to banks By the non-re.
ceipt OF money on time could not he as
timated. 10 some caseH, as q times Of
panic. for instance, tho delay might be
fraught with very serious GonseqIences.
a year or so after the loss of the money
referred TO, other missing articles were
traced TO certain dishonest postal EN-
plnye, ana the secret OF the missing
money package was then solved by his
confession.
rOn the other hand, the express com
paniea locate missing packages of money
or make good the loss promptly, with.
out technicalites or delays. They arc
Responsible, and hanks run no rigis in
shipping by them. Their employees are
chosen solely on the ground OF ability
and trustworthinsss. and they are there
fore more likely to be accurate and
prompt than postal employees. who owe
their PLACES more or lesn to politics,
Notwithstanding the Civil Service OK
animation. While it is true that by
insuring money sent by registered mail
there is some guarantee against Ions by
non.delivery, it is equally true that
there is considerable risk OF loss il the
insurance company strands on techni-
calitiea. The slightest informally in
the observance of the terms OF an open