The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1898-02-15
Postal Savings Banks.


In the recent press of more exciting
topics the public has temporarily lost
sight of a subject in which it has direct
interest-the subject of postal savings
banks. But in letter to the Philadel-
phia Press Rev. Fl L. Wayland of that
city presents certain arguments in fav-
or of this proposed reform which are
likely TO arouse new discussion of the
theme.
The objection that it would he dliIl-
cult for our government to organize
and manage efficiently system of
banks for postal savings Nlr. Wayland
dismisses as hardly worthy Of cOnsld-
Grafton after the demonstration given
in the civil war of the power of the
govei nment to do great executive and
administrative feats.
To the objection that postal savings
banks are unnecessary he devotes more
extended attention. That in populous
communities ordinary savings banks,
when we'll managed, would supply
the public's need in this direc-
ton he admits but he con-
tends that they do not fill the bill
outside these centres. In New England
out of 4,700,745 Inhabitants, there are
2, ,096, 65S dcpositors in savings banks,
with $7h4 1861, ,622 of deposits; about Al
per cent. of the people are depositors;
in the Southern states, of 20,235094 in
habitants, there are 66,OS5 depOsitCrs,
or three-tcnths of one per cent, with
SO, 479,314 of deposits; in the Western
states, of 16,6S5,562 inhabitants there are
2iS 91S depositors, or about one and a
half per cent, with S79,S21,ej5 of de-
rcsits. "Thesc figures" Mr.. Wayland
thinks, SAY all that need be said as to
the failure of the ordinary savings
banks to meet the wants of the people
in the sparsely settled regions. We
cannot eXpect that people will travel
fifty or hundred miles to make a de-
posit. So they either squander their
money or put it in stocking, and pres
emily comes a fire or a mouse: or else
there comes q midnight tramp, and
there is murder, perhaps preceded by
| torture"
1t could be wished that to the next
objection noticed by him the writer of
the letter in review had seen fit TO pay
more detailed heed. What would the
government do with postal savings de-
posits if it should decide to receive
them? Mr.. Wayland says pay no inter-
est; merely care for the principal. TT"
| he opines, may be invested in the ma
| tional securities, in securities of states
or cities that have always been solvent
they may also be loaned according to
the ingenious and feasible suggestion
of Mr.. Wanamaker) to the neighboring
national banks. at low interest, the
loans being a first lien on the assets OF
the banks" Unfortunately deposits
which should draw. no interest would
soon cease to be popular and that would
defeat the very aim behind the adVo-
cacy of postal savings. Interest is an
pay it it must first earn it by intelli.
gent use of the deposits.
In conclusion Mr.. Wayland says: "lr
encouraging frugality the savings bank
fosters morality. The vices are eXpen.
sivc. The savings bank stands beside
the church and the school house. The
postal savings bank will be the foe L
anarchy and communism and repudia
tion, partial or total. 1t will link ever,
depositor to the stability and sclvency
of the republic by the strongest tie
that of interest. The man who has So
in the postal bank is not going to vot,
that the government shall pay him of
in so cent silver or in irredeemable pap
er. / scarcely know of anything tha
would more largely promote frugality
morality, public integrity, true prosper
ity, than the postal savings bank" Al
of which may be literally true withou
helping us out Of the immediate dilenl
ma, which is, How can the govern
ment use postal savings deposits so a
to earn interest on them sufficient t
pay the depositors and the expenses o
conducting the postal savings system {?
That answered satisfactorily, posta
savings banks will be leglslated int
existence within thirty days.