The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1899-05-09

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rates of interest exacted by the money
market. Suppose q case, which repre-
sents the actual experience OF the aver
age municipality: A sum OF $50, OOO
is required for making some neces
sary public improvement, such as
water works, or a light plant. 1t is de-
cided to issue bonds to run ten years,
bearing interest at the rate OF five per
cent. per annum. Even should the
bonds be placed at par, and that no
financial agent will have to be paid
81, 90 or 50, 600 for finding a customer
for the bonds, the amount Of interest
on these bonds, which once a year will
90 distress and harrass the poor tax
payer, is $25, 900.
Now the postal savings bank could
safely and proftably loan it's funds at
three per cent. per annum, making 1t
necessary to pay on the $50, 900 worth
of bonds, t15, 600 instead of $25 900, a
difference of SO, 900, which sum if ex
pended on the streets and alleys, would
have an appreciable effect on the health
and temper of both the wayfaring man
and those who are compelled to live by
the process of breathing. II the postal
savings banks should, as in justice
they ought, invest the savings so far
as possible in the locality where they
are made, the effect would be to keep
the earnings Of the people at home,
where they would be used in building
up and developing home interests.
Another very important advantage
of postal savings banks would be in
the diminution Of crime. Scarcely a
day passes that we do not read in the
daily press the sickening account Of
some murder and robbery. The temp
tations to these crimes were afforded
by the habits Of people who preferred
to hoard their money in their homes,
rather than trust them to a bank. In
many cases, too, there was no bank
convenient, although a postchce was
close at hand. Should we not make
every effort to prevent crime as well
as to punish2 Many lives are annually
sacrificed, millions Of dollars are lost,
because proper and unquestionably
safe facilities for taking care Of money
are not provided for the people. I do
not wish to be understood that in favor
ing postal banks / favor what ia called
paternalism on the part of the govern
ment. To establish postal savings
banks would not be saying to the PEG
pie, You must and shall deposit your
savings in these institutions, " it would
simply say to them, I'VE offer you a
place OF absolute security for your saw
iDgs. AS a government we have al
ways protected your life and your
home. We simply add n more safe
guard-we will protect and care for
your money il you so desire it. 1t ia
purely a matter Of business, and a
business proposition which you are
perfectly free to accept or reject"
Farmers should have a special inter
est in postal savings banks. True, the
average farmer is not burdened with
the care of much money at any one
time, but taxes must be paid and i'm
plement notes met. The volume of his
financial dealings would not warrant
the purchase Of a fire and burglar
proof safe, and how convenient it
would be to simply go to the postc fl &c
and deposit the price of tina load OF
corn, where it would not only be safely
cared for, but would perhaps earn
enough to take the boys to the next
circus-a sacred duty that no good
farmer neglects.
The people have demonstrated in
various ways that they want postal
savings banks Ole proof is afforded
n the fact that many people are act
ually using money orders for the in
vestment OF small sums that they do
not want to lose nor be tempted to
spend. They will go through the form
Of making out ar application for a
money order payable to their own or
der, and pay a premium on it merely
to get their money temporarily in a
safe place. II the postal savings bank
paid no interest whatever on deposits,
it would still be largely p~atronized by
the people, for the very first considera
ton in the investment OF money is
safety.
Money is the life blood of business,
and the prosperity Of the whole coun-
try ia promoted to the extent that the
business interests of the country are
fostered and protected. Private saw
ings banks should not be hampered
nor restricted in their good work of
encouraging habits Of thrift. Postal