The sun., 1909-01-04
postal SAYINGS BANKS.
OpinIons or an Advocate With Ample
ExDerience.


n. SpraRue of New York in opposition
to the postal savings bank or depository
nro Iect for this country now being di..
o,esed In Congress and throughout the nh,
ton. He presents the bankers view ~
the rroposltion. believe that the bank
ers are honest in their antaRonism to the
plan, but their entire opposition Is born ~
a fear that postal savings depositories will
Injure the present established savings banks
OF our country. The advocates or the pos
tai bank believe that this fear " not well
founded We must all agree that II the
innovation here would be likely TO iniure
suchrbeneflcent institutions as our savings
banks, which through long time loans per.
init the building OF homes. by our working
classes part icularly. to far greater extent
than In any other nation. We should halt
and consider the step very seriously.
The postal savings depository advocates
have heard no tenable arguments demon
strating that our savings banks will he
harmed, at least TO any appreciable extent.
In fact, we believe that by reason Of the
considerably greater interest which the
savings banks pay much OF the postal
savings when accumulated 10 fair sized
amount will be transferred to savings
banks because OF the higher interest rate,
In this way the postal depository will be a
feeder to the savings bank.
The trouble with the bankers il that they
are too easily alarmed Naturally and
sonably the very nature Of their business
causes them TO fear radical changes In hnan.
cial systems or conditions. They do not
meet the main argument for postal savings
deposItories. but deal with the less eesentlal
features or benefits in all their opposition
TO the project The chief purpose Of postal
savings repositories Is 10 encourage thrift
and saving propensities on the part OF the
people; this contention the opponents can
not prove TO be erroneous. II you AFFORD
to the people the proper facilities to save
they will lay aside more money than without
those facilities. Give a child a small toy
bank and It Is astonishing how some OF them
who bought candy and sweetmeats with
their pennies before will ill the bank with
these pieces OF small money. Give the
people a savings depository In every post
ONCE Of the country and they will save more
The thrift and economies OF the French
people through their postal banks are the
sayings depository idea savors OF pater-
nalism and that 1t Is very, injudiclous in-
deed for the Government directly to enter
is that the Government should not engage
In any enterprise where individual or COR
porato effort " III serve the interests Of the
the case Of the savings banks to-day, espe-
clally In thinly populated sections OF the
country. the people' are not provided with
duty OF the Government to provide such
means and thereby encourage thrift among
the people; That is not psternsllsm;
very considerable number OF people attack
our present currency system. alleging that
OF the national banks q the nation. am
criticise this Wholesale indictment II Il
is true, but l would remind the bankers
that when they oppose the postal savings
depository project on the ground OF pater-
nalism they are placing themselves in a
most selfish position and subjecting them
selves to easy attack.
Government ownership OF public utilities
further than the advance already made.
but | believe that the nation should give
70 make such sacrifices for the nation In
time OF war, for instance. wholesome &C.
conragepent and ample ,conveniences
wnere tneX cannot be had sufficiently
Mr., Sprague characterizes as ridiculous
the statelnsnt OF the General
year where the remitter was also the payee
Indicate that this was for savings pur-
poses. IL Mr. SpIagne had been employed
post ONCE he would know that the Post
master-General was not unreasonable In
his assumption. IL Il true that. az in the
Cial travellers and the like. some money money! is
deposited In money order form for the pur-
pose OF easy transmission or transfer to
places convenient for them. II Is also true
that millions OF dollars are put In money
orders by people for safe keeping absolutely
and not to be sent out Of the once Of deposit.
kind here in the Schenectady post offlce,
ranging IN amounts from s25 10 500 each
We nave hall DOZEN Of such deposits at this
very date. and only the other day a patron
OF the ONCE using the money order depart
nent ior this purpose drew out the amount
deposltedLin the neiyhborhood of 500
time al allowed before the order would become
invalid and purchased new money orders
for the tnll amount probably to run smother
where transients. use the money order sys-
TEN TEN Tor the safe keeping Of funds drawn on
ony esi, for Of Ss they will
need H. The same character Of transac-
ISns ronbls oosdips Wiip X other post offices The
this line is that they come from people who
do not know the details OF the operation
Mr. spfase 0sS sSys tSnabF.sns tSant E. never in hi. ~.
has heard OF the sending OF money from
this country to be deposited In European ,S
spSsiS spsnd ssSnss sos banks sI Il Mr. sprssge
post ONCE we could show him very msnv
instances where the sender himself ac-
order that he intends to send the funds
home TO his native country for deposit
thefe IN postal savings bank
Mr. sprague also says that foreigners
positories here but will do business with
private banking institutions conduoted
py tnelr own countrymen, who sneak their
language. About ten years ago the money tm
the United sfste. Tss aSd ests6lisheS between
time Poles living in Schenectady trans,
mitted their money to Poland altogether
through deposit with Russian bankers In
TseS,sd 9rK sinSy. sSiy tS Two firms being distinctly
With Russia became effective. however.
iuly W per cent. Of these people transmit
tneir money through our money order de-
phai pshu,n'eht' N' Inc facts certainly dtsprove
Mr., Sprague and others who taka IN.
pankers view OF the matter are very fearo
lul lest this postal savings system viii in
Thi. TIi very & alarming expense to the nation.
msnt. because outside OF The largest nost
9pILnfces pLf u VIII require no extra help at ali
This cannot be denied. As for the burean
ssra hnrm and The neSessay
largest post offlces, the one-haif per cent
give 10 the depositor as interest and what
VII pe r,eSelved from the national banks
amply SUFFICIENT TO meet ali Tie necasssrv
expense. The operation Of the postal banks
w Sansda alone and the very excellent
results eI both as to the benefits 10 the people
ins and far mofe nereor are most sIstty
anp ieaIs OF the banking fraternity.
ne postsi depository would create NO
new army OF offcisls TO do In an inferior
Ssnser Snrasns whst dso, Is being done well. as MFR
banks are not doing the work well "excent
so Tar As they now extend or are in exist,
ence' ence thst @ ls jnst the very point. BY the