Evening star., 1902-08-22
MANY MONEY ORDERS
Recent Changes in System
That Are Convenient.
SAVING TO THE PUBLIC
ARGUED THAT FEES MAY BE
STILL FURTHER REDUCED.
Business With Canada, Cuba and
Mexico Has Been Greatly
Augmented.

Some very recent changes in the money
order system have proved and will continue
to prove of such convenience to the public
that a word concerning them will not be
out of place." said a Post Office Department
official to a Star representative this morn
ing.
"A little over year ago the Post Office
Department entered into negotiations with
the Canadian government to abolish the
then existing international money order sys-
tenn, and to substitute in it's stead the less
complicated domestic system. A similar ar
rangement was entered into with Cuba. The
beneficial results accruing to both the de-
partment and the public now apparent,
and are so many that only portion thereof
may be recounted. The use of the system
has increased to such an extent as to tes-
tify it's popularity and public convenience
and to Justify the wisdom of the change
THE extent of the former international
system may be appreciated and the POSSIBLE
tiles of the future considered when 1t Is re-
membered that an interchange of approxi-
mately 81 100000 a year was effected with
Canada and of several millions with Cuba
Under the domestic system the percentage
of business transacted has been very per-
ceptible in increase and promises to greatly
augment each year.
LAS an instance it is estimated that the
Washington city post office has done an in
crease of 10 per cent during the fiscal year
just ended with Canada since the inaugura-
ton of the domestic system. 1t is fair to as
sumo that other post offices throughout the
country have made a corresponding increase
of business and that, with the advantages
of the system becoming better understood
with the patrons of the mails. the result
will be still more favorable at the close of
the present and succeeding fiscal years. :
Saving of Fees to the Public.
''The growth of the money order system
has been so phenomenally rapid during re-
cent years that figures running into the
tens and hundreds of millions are handled
like those relating to dollars and cents.
One great feature of this new and radical
change of doing a domestic money order
business with our sister island republic on
the south and with the dominion on the
north is the great saving in fees to the
public without a necessarily corresponding
loss to the government.
'"The fees for international order
range from 10 cents for an order under SO
to 81 for an order for 500, while the fees
for a domestic order range from B cents
for an order not exceeding $3.50 to 80 cents
for an order Of 800, difference at once
very apparent.
when the millions of dollars annually
sent to Canada and Cuba. and also to New
foundland, postal money order transactions
with which country having on August
been included in the domestic system. are
considered, together with the great differ
ence in the maximum and minimum fees
as stated, the financial saving to the public
will be seen to be very large. In time, con-
venience and the expedition of business 1t
can better be appreciated than estimated.
mo change of greater Importance or of
more substantial benefit to the postal
money order service has been made since
it's organization more than thirty years
ago, the effect being the abandonment of
the cumbersome methods followed for
many years and the substitution therefor
of the simple details of the domestic sys-
in either country, payable at any office in
the other country, at the domestic rates for
fees and on the domestic forms.
Fees Might Be Further Reduced.
'The department is often asked to state
the ratio of money orders paid. some curl
osity being manifested as to what denom-
ination of order is the most frequently
drawn. The result of careful compilation
at the department, which l do not recall
having seen published will show to the
public at about what ratio it draws it's
money orders. Thus out of 1000 average
money orders 359 were drawn in amount
not over s., 241 not over $40, 122 not over
$15, 154 not over $40, 40 not over $50, "a not
over 800, II not over $6O 6 not over $40,
not over $50 and 10 between $50 and 500.
"These few figures show how extensively
the money order system is patroniZed by
the people of this country. and also show
approximately that out of every 1000 aver
age orders issued $40 under so each,
and also that out Of every average LOCO or
ders issued 600 are under $40 each. 1t may
thus be seen at a glance how extensively
the public utilizes the money order system
for the transmission Of small amounts
through the mails.
''It would be hard to find a more salts
factory evidence Of the close touch of the
governments method Of transmitting money
from person to person to the whole people
than by these simple figures, from which it
would further appear that on an average
over one-third of the money orders issued
in the United States for s. and under;
and over one-half for SO and under.
These figures also tend to support the
claims of those who advocate reduction
of the higher fees to encourage the trans
mission of the larger amounts. 1t is
thought that legislation authorizing reduced
fees for orders for the larger amounts, so
that the maximum fee shall be twenty-five
instead Of thirty cents, at present fixed
by law, would enable the department to
slightly reduce the fees on all orders for
$50 or more
'1t is the purpose Of the department that
the earnings of the system shall pay it's ex-
penses, but the fees should not be in excess
of the proportionate cost Of operating the
system. It would appear to be demonstrat-
ed that the system Is not only self-sustafn-
Ing, but earns more than a reasonable ad-
ditional sum. This recommendation has
been made by Superintendent ]. T. Metcalf
and will perhaps be a matter of realization
within the near future.
Pointers for the Public.
can international money order business
is maintained between this country and
Mexico, but the maximum fee is fifty cents
instead of 81, as to other countries Money
order business between this republic and
our own has been established a little over
two years, yet it has quickly jumped into
very heavy exchange of money and Is
growing rapidly. The balance of exchange
Is In our favor and there is large Increase
In money sent us over the total sum we
transmit.
Through the money order system there
fore, Mexico becomes purchaser Of the
products of this country, and in this man.
ner usually not at all considered, a large
volume of money Is constantly pouring into
the United States in exchange for our man