The state herald., 1898-01-14
NEED POSTAL BANKS.
WOULD BE A HELP TO FARMERS.
Secretary Wilson Says That the Peasants
In Foreign Lands Are Greatly Benefited
by Them.

Secretary Wilson is greatly interest
ed In legislation for the establishment
of postal savings banks because he
believes they are necessary TO the pros
pcriiy of the farmers. The banking fn-
cllitics In the agricultural districts are
so limited. he says. that the farmers
and their wives are compelled to con
ccal their savings in teapots and Tin
cans. under the mattresses of their
beds and the corners of the carpets,
and In stockings that are hidden away
where none but the prudent house
wives can find them. They bury them
IN the ashes of the stoves in the sum
mcr time and in the corner of the
woodbouSc during the winter. These
honrdings represent millions of dol.
lars and are idlc-iirst. because banks
of deposit are scarce aud remote, and,
secondly. because of n lack of conf
dence In private institutions. It's nm
all days job for farmer to go to the
county town where the nearest bank
Is situated. while there Is a postotIice
In every village.
The lack of confidence In private in.
stitutions Is found among citizens OF
foreign birth more than among the ma
tive population. The former in the Old
country have been accustomed to In.
trusting thc.. savings to the care of
their government. Immigrants from
the northern races of Europe are par.
ticularly economical and thrifty No
matter how little their surplus may be,
they put II away ms II comes into their
hands until their accumulatlons reach
n considerable amount. when they usu.
ally rcinvest II in wild lands. They
have nothing else To do with the mon
ey. SO long as II remains uninvestcd
There Is n temptation 10 spend II for
personal comforts and decorations
which they do not actually need. IT
they had mn opportunity TO invest these
savings In government bonds Of small
denominations or deposit them where
they would draw even small rate of
interest. they would not only take adj
vantage OF the opportunity hut would
he encouraged TO even greater thrift
and economy. thereby adding TO the
general wealth and prosperity.
Secretary Wilson says II Is the postal
savings system that has made the
peasant class of France. Germany.
Austria. Belgium and the Scandinavian
countries 50 prosperous. II was the
postal savings bank system that en.
abled the natives of those countries To
save money to pay their passage In
the United States. and they feel the
lack OF II here. They have faith In
the government which they can never
acquire In private institutions. even II
there We're savings banks available for
them.
The eastern and southern part of
Iowa the secretary considers the most
prosperous agricultural country In the
world. Diversified farming. scientific
dairying. the Improvement of stock
and the multiplication of convenicnccs
for saving labor have made the people
OF that locality rich. but there are very
few opportunities for the investment
OF their savings. and II they hnd the
privilege Of depositlng their money
with the government they would utll-
ize II to mn extent that would surprise
people. The recent report Of the comp
trollcr OF the currency shows that the
savings banks Of the United States are
mostly confined to the northeastern
section Of the country. Nearly ~ per
cent. OF the number Of banks aud
amount Of deposits Is represented 10y
New York and New England. In the
western states, FOR reasons ihnt are
well understood. they ARE few and far
between. and Secretary Wilson thinks
the government should supply this
very important defect In our national
economy.