Omaha daily bee., 1897-08-15
POSTAL SAVINGS BANKS.
Renewed Agitation for Their Estab-
Iishment.

Renewed Agitation Tor Iheir Estab-
Iishment.
Buffalo Express.
The recent announcement made by SEN
ator Mason of Chicago that he purposes to
devote a good deal of his time during the
present summer to perfecting a postal-saV-
ings bank scheme has aroused the papers
of his city to renewed comment on the
feasibility of such an institution in this
country. The system is designed to give
the poorer class absolute security for their
earnings at moderate rate of interest. 1t
is likely that this rate of interest will not
equal that paid by the savings banks Of
the country at the present time, but the
trustworthiness of the institution, the gov
ernment itself, is believed to be of more
value to the depositors than the l or 1ia
per cent interest lost Concerning the favor
into which the postal savings banks have
grown in England, the Chicago Times-Iler-
aid says
"The growth of the postal savings bank
system of England during the last ten years
demonstrates in a remarkable manner its
popularity with the people. In 1856 there
were 562 395 depositors. In 1896 they had
increased to II 1854 977. In 1886 the value of
the postal deposits for the year was tl5,-
696, ,S52. In 1856 these increased TO f32,O7S,-
660. In 1886 the interest paid to deposltors
or placed to their credit was II 1863, $50. In
1896 the interest paid to depositors amounted
to f2,222, 545. The total amount standing
to the credit of depostors jumped from $780,
loo -
1868 there were only eighty-one such banks
in Canada and the balance to the credit OF
depositors then was S2O5, 900. In June 1897,
there were 800 banks, and the balance due
depositors amounted TO $3l 900, 600 -
There is little doubt that an institution
of the kind would be largely patronized in
the United States At the same time, how
ever, the government would encounter an
almost endless amount of trouble In it's or
ganization and conduct The most serious
question that would arise would concern
tho securities or Investments. The chief OF
these are the government bonds. In answer
to this the Chicago Chronicle, which OPP
poses the scheme, says that the amount OF
such bonds available for such investment at
the present time probably does not exceed
$240 900, 900. The entire bonded debt OF
the United States, under the present policy,
will be extingushed in a quarter OF CEN
tury. The government would be obliged to
look to other investments 70. the funds aris-
ing from the system and at the present time
there are apparent only those securities in
which the ordinary bank deals. These, for
the greater part are OF variable or huctuat-
ing values, and IL Is evident at once that
government banking system that would deal
In such securities Is out of the question.
In his report of 1892 Mr.. Wanamaker FUR
nished the following interesting and seem
ingly practicable plan:
Designated pcstofices TO receive on de-
posit sums OF not less than 81, which may
be In postage stamps on cards to be furnished,
interest to be added from the beginning OF
the next month after deposit. on sums of not
less than $40 All deposits to be transmitted
to the secretary OF the treasury, who shall,
at the beginning OF each half year, hx the