The Goodland republic. [volume] (Goodland, Kan.) 1891-1907, 1897-01-29
PosTAL sAvINas BANkS.

ProgressiSe England Has Long Enjoyed
! t6slr hehefits and Also Those OF Govern
mght Life Insurance.
An important factor in English
finance is the system Of post Office
savings banks, which are designed to
encourage thrift among the masses. A
| government report, dated October /;
1895, places the number o. local post
offices through which the people may
do savings bank business at l2,OO0 The
Dostmastefs act as agents, and through
them the depOsitors may deposit money,
invest tin government consoIs fbondsl,
insure their lives or buy annuities from
the government. The post office banks
are so admirably managed that the
savings banks under private manage
ment do not attempt to compete with
them. No new savings banks have
been established since the government
began to receive deposits; and many Of
those formerly IN existence have gone
out Of business,
Savings bank business may be trans
acted at the post offices from eight
o'clock in the morning until eight
o'clock at night every day n the week.
The law allows one person to have
only a single account, and the govern
ment insists that 1t shall have mo
nopoly Of the savings bank business Of
any depositor, requiring the would-be
depositOr, before opening an account,
to make affidavit that he has no ac-
count with any other bank. Separate
accounts may, however, be kept by
husband, wife, or the different mem
bers of a family.
No smaller deposit than one shilling
will be received by the government,
but in order to encourage thrift among
children and the very poor people,
blanks are furnished containing spaces
for IL penny stamps. The depositor
may buy penny stamps, as he obtains
money, affix them to the blank until
he has IL of the stamps on his blank.
when he may open an account or de-
pOsit it with his account, receiving
credit for shilling. Other special IA
ciities are afforded the smaller chill
dren to make deposits. Until two
| years ago only ESQ could be deposited
within a single year, but this limita-
ton was removed on the ground that
it was disadvantage to the working
men, who were not allowed to save in
season of great prosperity against time
Of want, so the limit was advanced, on
the recommendation of Postmaster
General Morley, to ESQ. More than ESQ
can be deposited, but without interest,
and when a depositor's account reaches
e20O, no further deposit will perceived
from him. Interest on account of less
than ESQ is allowed at the rate of ~
per cent. a year.
When a depositor wishes to increase
his savings above e2OO he can do it by
buying consols. These consols are a
government security of Great Britain.
In 1851 large part of the public debt,
nine separate loans, being in the form
of annuities, were consolidated in a
three per cent. bond or stock. The
name of consols were given them as an
abbreviation of the word consolidated.
In 1888 the three per cents. were con-
verted into 2} per cents, which rate
in 1908 is to be reduced to 81 per cent.
The stocks now constitute more than
one-half of the debt of Great Britain,
and their price is regarded as a gauge
of the national credit. They were
quoted at 112- on December Z, 1896.
Any person may, through the post
Office, invest any amount from one
shilling upward in these consols OF
bonds at the current market price.
But not more than 92OO in cOnsols can
be bought during one year through
the post office, and not more than $500
can be obtained through the post Office
by one individual. This allows per-
son to hold $500 in consols and have
e2OO on deposit at a post Office savings
bank. The government will buy con
soils as well as sell them. It charges a
commission Of Cd on each transaction
for the purchase or sale of stock less
| than e25. For amounts between e25
and ESQ the commission is 15d, and so
on to Is Sd for each transaction in con-
| soils between e75 and e1OO.
These provisions have, in the opinion
Of the English government, been
very successful. By their means thou
sands of working people are now hold
ers of consols who, were it not for the
cheap and easy facilities placed within
their reach, would not have bought
them. They are thus held by the great
masses, and few people in England
are too poor to hold consols. Work
ing people left to themselves would be
apt to fight shy Of stock brokers and
not buy them, but when allowed to
purchase them direct from the govern
ment they are quick to take advantage
of the opportunity Another impor-
/ tant point is that it prevents the hoard
ing of money, as would be the custom
of many who have a prejudice against
savings banks. Even these people
have the most absolute confidence in
the government, and the temptation
to hoard is discouraged. Very little
money is boarded in Great Britain ex-
cept by misers.
Insurance may also be had through
the post office department, but the
amount for which a life may be insured
is not in excess of 91OO. Nor can insur-
ance be had for less amount than e5.
Another provision is that children be-
| tween the ages of eight and IA years
may be insured for e5. the idea being
to provide for the expense Of their
burial.
The government insurance business is
conducted in much the same way as
that of the regular insurance compa-
MES. The payments may be either by
means of a lump sum or by annual
premiums. The sums for which insur-
anee is taken may be payable either. at
death or at the age Of SIS, go or s., or
sooner if death occurs; or they may be