The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1910-03-25
POSTAL BANK IS
!. FOR SMALL CLIENT
mo More Than 500 Can Be De.
posted in One Month and No More
Than $500 In All.
BY w. S. COUCH.


Sam will try TO apply trading stamps
to the banking business when the pos
tai savings bank bill becomes "a law.
assThe village postmaster will find him
Itself a banker. then. whether he likes
eVlt or not
The postal savings bank bill has
passed the senate and will pass the
chhouse. The present quarrels which
mthe statesmen are having over this
kVbill all relate TO what they want done
bowith the money after IL is deposited
with the postofilce banks. To be sure,
the Democrats playing fool politics,
[3say the constitution does not permit
the government 20 be a banker, and
this question is pretty sure to be Ia
|, ken to the courts. The postoifices will
tfbecome banks. however, without wait
= ling for court decision on this dis
lpute. so the country will have a chance
|, ito ut least try out this savings plan.
IVY You can start with 10 cents. For
first 10 cents the postmaster will
k'ig1Se you a postal savings postal
Picard" For each OF the next nine
Fidimes you deposit you get postal
F!savings stamp" which is stuck on your
picard. When the nine stamps are on
pfthe card you exchange II for a de-
post book. which is issued only when
at least 81 Is deposited. You can de-
htposit no more than 500 in any one
bfmonth. and can deposit no more than
$500 In all. So vow see, the whole
scheme Is for the small deposition.
he interest will be per cent
year, computed once year.
ANY person over 10 years old can
become dspositor. and married wo-
mans account Is not subject to her
husbands control. No person can
have more than one account
After the account is opened each
succeeding deposit In the pass book
must amount to at least 81, but you
can start another postcard trans
lferring IL TO the pass book when IL Is
tlfled Any depositor may withdraw
This or her deposit. or any part of 1t,
Plat any time The postmaster must
Lipay IL on demand.
~ Other details OF postal savings
bank operation are left TO a board
lof trustees TO fix. The postmaster
rgeneral. and the attorneys general com
tlpose this board II is left to the post
pnaster-general 10 say whether, at the
beginning of this experiment. il shall
be tried except in first, second and
fthird-class money Offices. II he makes
flonly such postohices banks at first.
p Though, he must take in the rest as
socn as ne can arrange to do so.
The bill is intended to give citizens
pa right to deposit money wherever
n stamps are sold. This is shown by
p provision that fourth-class postmas-
9 ters. the kind who combine cross
roads store with the postofice. may
collect one-fourth OF | per cent from
ii 20 oil 20 O.
b posited with them The fourth-class
y postmaster is paid on percentage OF
D his business. anyhow; hence this In
crease in that percentage for this ex-
ira work put on him. The presidential
B office postmaster won't get anything
q extra.
The whole fight over the postal
savings bank bill has centered on what
q use is to be made of the money de-
I posted with the government Sen
ators Root and Smoot and some OF
4 their colleagues, and President Taft
himself. took the view that the gov
eminent had no constitutional right to
take up the banking business. II did
have a right, though, they said, TO
borrow money They wanted the de-
/ posits invested in government bonds.
The insurgent senator's declared the
government had a right TO establish
postal savings banks. They attacked
1 the bond clause as the opening wedge
{ for tho Aldrich central bank system
and as a scheme to comb the country
for small savings SO that Wall-st.
might have the aggregate cash to spec
ulate with.
The insurgents forced an amend
ment directing the deposit of the pos
tai savings in local banks, either state
or national on approved security, the
banks to pay at least 2 Ia per cent
| intorpct