The Meeker herald., 1897-11-20
THRIFT IN GERMANY.
SAVINGS BANKS Wen Paa.unissA In
thO Yadsg1And.
ne WAssa fsatssse nAss sesoiAgs,
0AfssA With tAs habit - HPa-
salty ana TesshasS-


ernments, instead Of the national au-
thoritics, as in England, France. Bel
gium, Italy and other European coun-
tries. The system dates back for near
ly century. and. with the exception
Of some unimportant details, is uni
form throughout tho empire. German
thrift is proyerbial. There are no other
people in the world who can do without
luxuries and things that they do not
actually need with SO great degree
of contentment. From the cradle thc
children are taught economy. 1t is as
much matter of education rs the
cntechism. In some OF the schools the
children are instructed to gather during
their play hours, and on their way to
and from their homes, all such ap-
l,arently vnlueless objects as old bottles.
tin cans, refuse metals, etc., which are
sold to the junkshops and the proceeds
deposited to the credit OF the child
in the nearest savings bank. The same
spirit that inspires this economy has
caused the number OF depositors in
the savings banks OF the empire to ex-
coed the number of households. 1t is
often the case that every child and
every servant in a family has his own
account at the bank. which, when II
amounts 10 certain sum, Is withdrawn
for permanent investment.
The usual rate of interest paid by
the municipal savings banks in Ger
many is three per cent, and, although
their management is intrusted to tho
municipalities, the banking inspectors
Of the general government exercise q
supervision over them. There is usra!-
ly q general office, with director in
chief at the city hal. whose principal
duty IL to receive remittances fron
branch Offices that are established it
every ward. These funds he invest
in government bonds or In securities
of equal value. The latitude Of invest
mcnt Is much greater than il allowed
the postal savings banks authorities
in England and France. The funds may
be invested in gilt-edged real estate
mortgages. and even in the erection OF
buildings, but before this is done the
proposition must be submitted to the
committee Of the common council
which has Jurisdiction over the saw
ings banks. This committee, which is
composed of practical fnanciers. bank
ers. merchants and manufacturers ard
men who are in the habit OF handling
money, acts as . sort Of board Of di-
rectors for the system.
In Berlin there arc 70 branch offices.
with Ask. 900 dcpositors out Of popula-
tion Of 1890 900, and the total deposits
ere Z little more than 40,oo0,o ,oco. L
Dresden the savings banks chow @ still
larger utility in proportion to the pop
ulation. Although the number of PEG
pie in Dresden IL only about one-fiftli
a. many ~ in Berlin. there are half
a. many depositors in the savings
banks, and the deposits exceed seq .oco,-
600. In scme Of the other cities the
proportion Is much larger. In the towr
Of Aix-la-Chapelle, for example, viii
only 11o,4s population, there are ovc,
lo6, ,0Co depositors, with credits Of moro
than $40 900 600. In Altoona, n city of
10000 people, there sre over 1so,00o
depositors, with nearly $4,000, 900 to
their credit.
The late Emperor Frederick was a
great believer in the postal savings
bank system, and II he had lived it is
probable that It would have been adopt
ed In Germany long ago.
In addition to the municipal savings
Institutions, there has been a system
Of private associations, known as tho
Eberfeld banks, In southern Germany.
for the last IS or so years, which are
managed on plan very much like that
Of ordinary savings institutions in the
United States, with some Improvements.
They are under the supervision of the
government, and are inspected from
time to time by public ofYicials. There
II generally = central Office, at which
deposits are received and checks are
paid. and branch offices at various con-
venient locations for the receipt Of de-
posits alone. The amount Of deposits
is limited by law to 5000 marks. The
rate of interest is hxed annually on
January / by the board Of directors,
and formal advertisement Is made OF
that fact In the newspapers. At pref-
ent It is three per cent. Under the
rules Of the bank not more thnn 2Co
marlo can be checked out on any ono
day, four weeks notice must be given
for the withdrawal Of 1000 marks anG
under. and ak months notice Of larger
sums, although the board OF directors
cnn suspend this rule at their discre-
tion.
The fr.t bank Of this kind was es-
tablished In Frankfort in 1888, and dur
ing the hrst year there were 2e4 de-
positors, with credits amounting to &c.
034 marks. At the last report there were
ss.697 depositors out Of population OF
22o, 900. with credits amounting to 3a.-
s15, ,697 marks.-Chicago Record.