The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1897-11-15
POSTAL SAYINGS BANKS.
Postmaster General Gary Out in
Their Favor.
ANNUAL REPORT DEVOTES MUCH
SPACE TO PLAN.

Deficiency in Revenues of Department Oh
Six Million Dollars njustice in'second
Glass Mail Matter Regulation Urged
Rural Free Delivery.
Washington. November 14.-The frst
annual report of Postmaster 0enerai
James A. Gary to the President was maue
public tonight Its feature Is the s6ronS
advocacy Of postal savings repositories.
The estimates of the revenues ana eA-
penditures for the fiscal year ending June
80. 1898, are: Total postal revenue Tor
1897, $50, ,665, 462.73; add five per cen''
$4.133, ,273.13. Estimated revenue 1or
1898, $s6. .79S, ,735. g.; add per cent 80
/ 075, ,911.51 Total estimate revenue Ior
| 1899, S92, ,974 ,647. 81; estimated expenditures
for 1899, S9s, ,922, ,760; deficiency for 1885,
estimated, Sl04S, l1s SO
Following is an abstract of the report:
The increase of the postal deficit LOT
1897 is largely reflex of the depressed
business conditions which, prev ailed all
over the Uniied States. sReiteratlng the
injustice inflicted both upon the postal
revenues and the people by second-ciass
mail matter carriage regulations, the en-
actment by Congress of some measure to
remedy the wrong, similarly pointed OUT
by past postmaster generals, is urged
The experimental rural free delivery
has been generously appreciated; few ex-
penditures have conferred greater. ubene-
fits in proportion, and it has unquestion-
ably proved potent factor in attaining
what should be chief aim Of govern
ment, the granting of the best possible
facilities to the farming class. The re-
port reviews in detail the preparations of
the various branches of the department.
The portion on the subject of postal saw
ings, in brief, follows:
Many millions of dollars is undoubtedly
secreted by people who have little or no
confidence in ordinary securities and
monetary institutions org nized by pri-
vate citizens. 1t is dead capital, but if its
owners could be inspired with absolute
confidence in the security of an invest
ment it is altogether probable that the
bulk of this fund would find its way into
| the channels of trade and commerce. If
the government undertook this task, the
service would undoubtedly sbe gladly ac-
cepted by the people. Their faith in the
government is unbounded.
Their little savings, which separately
could hardly be put out at interest, would
amount in the aggregate to sum that
could be invested to their advantage 1t
would tend to cultivate thrift in a large
class; realize the advantage of depositing
with the government instead of waste
fully and uselessly expending; it would
tend to better citizenship, bringing into
closer relationship, the government and its
citizens and developing practical and
enduring patriotism. The proposition Is
an accomplished fact In nearly every
country in Europe, in British dependen-
oies of both hemispheres, and even in
Hawaii. In Great Britain 100000 de-
positorsihave upwardsofa $3.50, 900, 600 in saw
ings accumulated during 35 years; and
in 10 years fewer than 10, a0U Hawaiian
depositors saved nearly 81, 100000. More
than third of the postal savings ac-
counts in European offices are held by mi
uOTS anu OVcE UWO-pAlil0b W oASoO. s&AS AAAooc
humble callings. Postal savings would
not conflict with savings banks,
but would encourage savings rather than
accumulations The conversion of money
order offices into savings repositories
| would soon afford infinitely more facility
for receiving interest bearing deposits
than the interest paying banks do now.
Security and not the rate of interest Is the
primary and essential condition of such
d system; and bonds of states, counties
and municipalities and real estate fur
nish an illimitable field. Comparing other
countries, the Postmaster General says
nearly every country permits its most
popular coin as the minimum amount OF
deposit, varying from five cents in India
to 81 in Canada. Maximum deposits
vary from $!S5 in France to 50, 435 in New
Zealand. Deposits over that amount are
nom interest bearing and in several coun-
tries the surplus is by law invested in
national bonds. Both deposits and ac-
counts are usually small.
France made a profit in 1895 of S17O.-
900 In handling 2,500 900 accounts. aggre
eating sl43, 90, ,o0OO, after paying per
cent interest. Great Britain earned a
surplus OF $33, 900. after paying 1-2 per
cent interest on $3.50, 600. 900, made up of
! {, 500, ,O50 accounts. The average commits
sion paid to postmasters is 1 cent per de-
posit Any account may be settled and
withdrawn from any depository in the
country. The telegraph is coming into
use as a means of withdrawal.