Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1898-03-11
THE POSTAL SAVINGS BANK
Some Facts and Figures Concerning The lndl
lulIon as Given 10 Inc StnaiI Yes
laday Morning

Replying TO question in the |
Senate Minister Damon said the |
Pos al Savings Bank was very
useful institution and should be |
maintained. Through the bank
the government obtained the use
OF 100000 OF deposits at 4 per
cent interest, whereas 10 borrow
the same amount on bonds would
cost 8 or 9 per cent. But II was
not only the saving to the govern
ment that should be considered.
The bank was a source of educa-
ton in economy, by its means the
people were encouraged in habits
of frugality and to lay by little
sums for a rainy day. He could
not think of any proposition that
would look toward its abolition,
but rather would prefer to extend
its sphere of usefulness than
Otherwise. There bad been
time when there was a certain
amount of distrust in connection
with it, but that time was gone.
The bank was more firmly estab-
lished now than ever and the peo-
pie had more confidence in it
than ever before, shown by the
increased number of depositors
and deposits.
There was only one source of
danger that the Minister could
think of that should be guarded
against, and that was the deposits
of Chinese emigrants. There
were over 1000 of these accounts
out of total of little over TO-
600. This class of deposits was
entirely foreign to the original
idea in establishing the bank, and
If they could he gotten rid of a
big saving in the clerical work of
the bank would be effected. This,
however, was matter for the Leg.
islature to deal with, as the law
as it now stood made these depo.
sits compulsory.
Some Of the Senators might
like to know why he kept such q
large amount of cash on hand il
the bank as he did. AT the close
of the biennial period the cssl
balance was about S150,000, where.
as the law required $4,000 only
In the present unsettled situation
he had thought it advisable to
keep a large balance on hand sc
as to be prepared for any emer-
gency or furry that might be
caused by political changes or in
the event of the expected annexa
ton not taking place as soon
as anticipated. The present
splendid credit of the bank must
be maintained and the confidence
of the people upheld in any event
and the surrst way to do this was
by means of a large cash balance
Another reason for opposing
any suggestion If doing away
with the bank was to bt
found in the fact tt at the United
, States was about ready to adop
the system and in the event Of an
nexation it would be maintained
here as a matter of course. The
tendency Of many government
. was to introduce rather than throw
out Postal Savings Banks.
There were over 5000 individual
accounts exclusive of those of tn,
Chinese lsborers, and considerin,
the size of the population this wa
a showing not exceeded anywhere
Senator McCandless agreed
with the Minister of Finance. The
bank was benefcent institution
1t taught the people to save theil
money and by 80 doing mad,
them better citizens. The banl
added largely to the stability o
the Government in that way ant
should be encouraged by ever,
means. He was in favor Of votin,
all the money needed to increas
the usefulness of one of the yer,
best of Hawaiian institutions.