Wood County reporter. [volume] (Grand Rapids [i.e. Wisconsin Rapids], Wis.) 1857-1923, 1908-01-23
PLANS FOR ESTABLISH
ING POSTAL BANKS
How Bills of Carter and Hitch.
cock Differ from Madden.
Snapp Measure.
DISPOSITION OF THE FUNDS
Democrat Provides for Board o.
Investment-All Fix Deposit
Limit at 81 ZOO.

Upon the Endorsement by Postmaster
General Meyer and later by President
Roosevelt of the postal savings bank
system for the United States, three
separate and distinct plans have been
proposed to Congress as the proper pro-
cedure for establishing and putting into
operation such banks. In the House
of Representatives Representatives
Madden, of Chicago, and Snapp, of
Joliet, ILL.,, have introduced similar
measures. Representative Hitchcock,
of Omaha, a Democrat, has introduced
another House bill, and Senator Thorn
as Carter, of Montana, is the father of
a senate bill. The main differences in
these bills lie in the protection afford
ed depositors and deposits and in the
investment features of the funds of the
postal savings banks.
All these bills place Il limit on the
interest-bearing deposits which can be
made by any individual within any sim
gle calendar year and finally. The
Madden-Snapp bill provides that $500
may be deposited within one year and
that no interest shall be paid to any
depositOr upon q deposit in excess of
$1,000. The Carter bill makes the linn
it of annual deposit $500 and the final
limit of Understanding deposit $1,000,
while the Hitchcock bill has double
barreled provision which is more COM
pick. 1t provides a limit of monthly
deposit Of 500 and the final limit of
any single deposit at $1,000. In ad
dition it provides that no interest shall
be paid ON more than $500 to any de-
positor and that If any depositor de-
posit more than $500 in any one year
interest shall not be paid on new de-
posits in excess of that amount.
Both the Madden napp and Carter
bills provide an interest rate of . per
cent on deposits, while the Hitchcock
bill stipulates that the rate on $500 or
less shall be 2h per cent, and over
that amount and up to $500 the rate
shall be fixed by board of investment,
composed of the Postmaster General,
the Secretary of the Treasury and the
Comptroller of the Currency.
In establishing postal savings bank
adjuncts to post offices there is also a
difference between the Madden-Snapp
bill and the others. The Madden-Snapp
measure gives the Postmaster General
discretion in the selection of offices for
postal savings bank purposes; the
Hitchcock bill is mandatory in that all
money order post offices are made
branches of the postal savings bank
system, while the Carter bill makes all
first, second and third-claSs post Of
fees branch postal savings banks and
gives the Postmaster General some dis
erection as to further extension into
the fourth-class post offices.
In administration the Madden-Snapp
bill provides a general superintendent
of postal savings banks, with such as
sistants and clerks as may be neces-
sary, while the Secretary of the Treas
ury is authorized to increase the audit
or's force in the Post Office Department.
The sum of $4,000 is set aside to start
the banks in operation. Both the
Hitchcock and Carter bills stipulate
that the head of the postal banks shall
be an officer known to the Fifth AS
sistant Postmaster General, and ask
100000 to establish the banks.