Cottonwood report. [volume] (Cottonwood, Idaho) 1893-1901, 1897-11-19
MONEY SENT BY MAI !
fhe Reasons Why the Bapts
to Remit by Fxn~ trefel


A novel feature In the shinn,.-.
currency to points Throughout the sau
try is the great extent to which ~ ssua
Istered mail service is being ussa
that purpose, instead of the mo,as w
Ing shipped by express as was ~.
ly the general custom. The reason
this is the inability OF the banss
secure this year, through the suh.trm
ury, the benefit of the goyernuen, ~
tract rates for the expressaee
result of that the banks have ma !,
pay what are known as bankers, nv
to the express companies, which Z
two or three times as great as the ..
ernment-contract rates, or shin ~
money by registered mail.
Heretofore the treasury gladly v,,.
to the banks the privilege Of shIml,.
currency at the government-coutr,s
rates, or rather, shipped the curre0,,
for the banks at the government r,ts
in return for gold deposits. A clau,s
however, was inserted In the contss
with the express companies when
was last made by which such NH,
ileges should only be afforded ID Il.
banks when the treasury needed pon
The discretion In the matter anm,.
emily rests with the Secretary Of tbs
Treasury, and he has seemingly A.
cided that the treasury does not wan,
gold now. Consequently the bant,
cannot have the benefit of the govern.
ment-contract rates for expressage, Al.
though bankers generally seem to
think 1t would be better for the treas.
ury always to take gold when II can
without loss. The treasury ruling
however, has not helped the express
company very much, because nearly all
the country banks to whom money h
RENTED, and who have to pay the cost
Of transmission, 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 a speciality of that bisL
ness.
The cost Of postage and insurance Is
much less than the usual express
charges at what are known as bank
ers' rates. Few New York bankers
however, would remit money In that
way, unless they We're directed to Do
so by correspondents. They would
/ rather ship it by express, even though
: it cost more to do so, because they
, consider 1t the safer way.
If money Is lost by an express CON
t pany during transmission, the loss d
promptly made good, whereas, bankers
5 say, It takes long time, and Is 4
5 troublesome task, to recover the
I amount when the money is lost In The
mails. The government Is not respOR
A sible; 1t only promises to take greater
t care of registered package, for which
t the registration fee of eight cents b
). charged; it cannot or does not guarau
t tee its delivery or reimbursement 10
@ case of loss. The cashier of a large na
/. tional bank which ships many thOa
e sands of dollars every day to Its core
d spondents all over the United States
s In speaking OF this matter, said:
O "The conservative banker still pre-
It fers to send money by the wellknoHn
l. express companies; but, to save ex-
It pense, the country banks are apparent
II ly willing to take the risk of trallsnls
sion by registered mail, with the guar
antee of an insurance companys polie'
for It's safe delivery. notwithstanding
however, the registration and insur
ance, the risks of sending large SUM
Of money by mail are very great
Is package of currency which Is forwafu
ft ed by the registered mail deparimen
Is of the postal service has no dlstinclf
he mark indicating its value; pencli I
i'd ceipt Is given for 1t just the same as u
IL an ordinary letter or package OF me
G, chandise. The package of money
IN thrown in with packages of mercha
lie disc of all sorts, and no more care
y. taken of it than is taken with DoA'
IN shoes or a package of gloves. y
y registry clerks receipt Is not aoe
II ment that Is as well known or as sa'
s. factory as the receipt of the receNi'
ne clerk Of an express company, anu
nc case of the loss of the package, Tue
III lay In the recovery Of the money ~
20 determinable.
H. "On the other hand, the express GU
lie panies locate missing packages
&c money or make good the loss prohp.
IL without technicalities or delays ~
ie are responsible, and banks run no ~
In shipping by them. Their empi,'
are chosen solely on the grouhu
MO ability and trustworthiness, anu y
al are therefore more likely to be accul
,s. and prompt than postal employs, -, Y
"A owe their places more or less to poiiu
nj, notwithstanding the civil service eA'
,o,. nation. While 1t Is true that "
~ surfing money sent by Registered u
=. there is some guarantee against ioss
y. non delivery, it is equally true
M there is considerable risk or loss =
~, insurance company STANDS Oh "
IN calities. The technicalities 10 pe
~. served by a remitting bank IN sen'
- money by registered mail when wv
on livery of the money Is insurer "
w of the local insurance companies
very great compared with tie 81,
but safe methods Of the express :
rec panies, and unless some new ~ re,
itv lions are made by the postai au w..
de- ties for sending money by res,a,,
90, mail conservative New YORK Da
~ nortoInlx, r,rafar RI shin by eAplNSS