Albuquerque citizen. [volume] (Albuquerque, N.M.) 1907-1909, 1908-09-28
Big CONVENTION
OPENS At DENVER
Hundreds of BdnkeIs ThrODg Colo
rddO City For Annual Meeting.
Which Promises 10 Be More
Interesting Than Any
tOImeT Session.

Denver, Colo. Sept. 2s.-Postaf
savings banks are opposed in the re-
port of the committee on that sub
ject, of the American Bankers asso-
citation, which began its annual con-
vention here today. The COMMITTEES
reports as follows:
1. 1t is our opinion that unless
imperatively demanded by public
needs the functions of the United
States government should not be ex-
tended to the spheres more properly
occupied by state governments. or by
corporate or Individual effort.
2. The savings system of the ma
jority of the states. with the modern
facilities for transacting business By
mail, are adequate to the needs OF
the people, and the safeguarding Of
their deposits. 1t is evidenced by the
record of this association that 1t is
the constant endeavor of the banking
fraternity to improve the conditions
in the remaining states.
3. Although, In our opinion, no
great d dstrinsent w,l result to the ex-
listing savings banks system from the
establishment OF postal savings de-
positarles. inasmuch as the present
| facilities are superior to any that
| could be afforded by the government.
or to those of the countries where
postal savings banks now exist, yet
the previous experiences of the Uni
ted States government in conducting
banking institutions, and notable In
Connection with the Freedmen's Saw
ings and Trust company, do not en-
CO Irage us to believe that the pro-
posed savings system would be man.
aged more wisely or with better sue
cess than the existing savings institu-
! tions.
4. We think 1t preferable to edu-
| cate the newly arrived foreigner to
| American methods rather than to ac-
commodate our methods to his mex
perience.
5. We point with pride to the
| record of the savings institutions Of
the United States. While the figures
for 1907 are not yet available, dur
ing the year 1906 the aggregate net
loss to depositors was the trivial sum
of 100000, being three-ten-thou-
| sands of one per cent on total OF
three billion, five hundred million
dollars in savings deposits, whereas.
the proposed government rates OF
two per cent would have deprived
the depositors of at least fifty mill
lion dollars in interest in the same
year.
6. We submit that our savings in
stitutions have performed great
service throughout the United States
In developing the country. A large
proportion of the deposits in these
| Institutions is invested in first mort
cages TO build homes and in muni-
cipal bonds, all of which Investments
have greatly assisted in the up
building of the various communities.
Z. We hold that the history Of the
financial institutions Of the United
States demonstrates that in safety
/ and in adaptability these institutions
are developing as the country de-
Vellps, through a process of evolu-
ton, and that the record of the past
Is a sufficient guarantee for the flu
ture that our present banking facili-
ties viii steadily grow 10 meet all the
requirements of the country.
3. While we believe the basic OBJ
jections we have urged against a pos
tai savings system are unanswerable,
we further submit that the bills now
pending In Congress for the creation
Of that system should not be enacted
into law, because specifically wrong
In the following particulars, TO which
many others could be added:
A The exemption OF deposits
/ from legal process is vicious. a IL
would provide a depository for funds
| OF the dishonest and the fraudulent,
! where they could place their money,
draw interest on II and be free from
attachment, which would prove a
serious menace to the business in
terests OF the country.
B. In the use made by the gov
eminent OF the funds coming into
its possession through the postal saw
/ ings depositaries. the provisions OF
/ the bills do not assure a wide and
[ equitable distribution Of the funds
/ deposited nor prevent the centraliza-
/ tion OF the peoples money, which be-