The times. [volume] (Richmond, Va.) 1890-1903, 1901-02-09
posTorr1cE CLEARINGHOUSE.


in Great Britain.
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pOsTOFFICI1 CLEARINGHOUSE
This is an age OF cooperation and the
political thinkers Of Belgium have recent
" induced the Government TO take a new
departurc, one which, if it is successful,
will undoubtedly be followed elsewhere.
and it is therefore with great deal OF
interest that the world at large is watch
ing the outcome OF the experiment, which
is nothing more or less than making the
Government a national clearinghouse.
The development of the clearinghouse
idea has :oeen OF the utmost importance
10 bankers by simplifying the exchange
Of credits and debts without the need of
complicated entries or the handling of
specie and cash, and it occurred to NJ.
Ernest sSolvay that it would be a good
scheme if a method could be arranged by
which the credits and debts of all of the
people of any community could be brought
into one grand concern and here set off
one against the other without the work
and trouble incident TO the transfers
which are necessary if each man is to
settle his own credit against his neigh
Dor The means taken is to use the Bel
GUM postal department as a sort OF ma
tional booll-keeper.
\ correspondent of the London Times
says:
a single example may be cited. though
the idea can of course be extended indie
nitely. Surprising TWO merchants, y and
B. both having their account at the same
bank, carry on an extensive business With
each other. Instead of an elaborate inter
change OF payments. they simply notify
each debit and credit to their banker, who
thus keeps their current account auto
maticaily without obliging either to pass
q single cheque. This may at first sight
appear a mere extension of The cheque
system which is already carried on in Ger
tain cases by private arrangement. But,
if the principle is extended to the whole
commercial community and the State con
stitutes itself banker for the nation at
large, it is simply a question of book
keeping on 2, sort of clearinghouse Sys-
TEN, and the manipulation of coin is prac-
tlcally abolished. This, it is argued, does
away with a frequent cause of CONNER
cial panic, and saves an Infinite amount
of clerical labor. The possibility of such
a revolution belongs TO the future; but
the experiment about TO be tried in Bel
GUM leads in the direction indicated. The
poStoftice in Belgium is extensively used
by the public as a medium for collecting
amounts due. A creditor fills in a form
supplied for the purpose at the nearest
Office and within a few days he receives
an advice that, the money is at his dis
posal. Should a debtor dispute the ac-
count the form is returned to the sender.
Last year nearly G24, 000, 900 was collected
III this manner. being a higher sum than
in any other European country where this
system is current. The innovation now
about to be adopted by the Government
will greatly facilitate the collection of
such accounts where q trader carries on
an extensive business. Surprising he has
200 small amounts due to him by debtors
in various parts of the country. amount
MIN. as at present, a separate advice as
each amount is paid, the postoffice viii
simply carry the total amount of G1,000
to his credit in the National Bank of Bel
Gium. He will not require to give separate
receipts to his debtors, as the original
schedule filed IN by him at the postoffice
serves as formula for completing all
record of the, transactions to which the
separate items refer. The experiment now
under notice will, if successful. certainly
be eXtenedd> TO other departments of
State.
MARSH InIa aNn EIcTnpv