The Vinita daily chieftain. [volume] (Vinita, Indian Territory [Okla.]) 1902-1913, 1910-08-01
POSTAL BANKS TO
Be OPENED SOON
National Banks Asking to Be Made
Deposltories And s,255 Postmas-
tiers Accept Accounts.

->
Washington, Aug. Ion Octobe
10 at least one of the new postal saw
ings banks will be in operation in eacl
state.
Instead of trying out the savings
bank system in several of the large
cities, as originally planned, it ha.
been decided to launch it in all the
states at the same time. Congress:
provided only 100000 to pay expenses
from the date of its establishment
until July of next year. It is feared
that this small amount would not be
sufficient if banks were opened in
cities where the deposits would be
large. By trying it in the smaller
cities, where the transactions viii be
on a reduced scale. it is thought that
this appropriation will be sufficient
This decision is not necessarily final
1t represents the opinion of the com
mittee that is drawing UP suggestions
for the board Of trustees, consisting oi
Postmaster General Hitchcock. Secre
tory Macveagh and Attorney General
Wickersham.
The country is showing much inter
est in the scheme. Postmasters in
forty-six states have requested that
their Offices be designated as postal
savings banks National banks in
practically all the states have made
applications to be named as deposi.
taries for savings. Many letters are
coming from eastern, middle western
and southwestern states. If the num-
Der Of letters on the subject reflect
public sentiment, the south wants lit
tie or nothing to do with the postal
savings bank system.
Up to date 1886 postmasters have
asked that they be authorized to ac-
cept postal savings. Nearly seven
hundred banks have indicated wish
that their institutions be used as de-
positories
Every effort is being made by the
committee in charge of the arrange
ments to do away with the passbook
for each depositor. It is estimated by
officers that with banks in operation
in all of the cities of the first class,
and in thousands of other towns
throughout the country In few years,
10 million depositors will be banking
with the government. It is estimated
that four thousand bookkeepers in the
Washington Office would be required,
It would require large appropriation
to maintain such force and to sup
ply it with equipment.
Doubt is expressed that the govern
ment will be able to dispense with the
passbook. Every foreign government
that operates the postal savings sys-
TEN has been unable to find substi-
tute and large financial institutions
that operate branches have found it
necessary to employ a passbook.
A devise proposed as substitute
for the passbook is now under con-
sideration by the department commit
tee. It has some merits, but probably
will not be adopted. It is feared that
it would probably defeat the very
purpose for which the postal bank
was established and encourage say
ings in the government bank by peo-
pie who are afraid to trust their
money in privately conducted institu-
tions. The device in question is a
card, on the margin of which appears
figures representing varions sums. The
originator suggests that the amount
of each depositor be punched on this
card, thereby doing away. he argues,
with the necessity for the passbook.
Under this plan the amount of the de-
post would not be entered in ledger,
at the Office of deposit. evidence Of de-
pcsit being shown by the punched
slip. which would be honored upon
presentation at any Office. This slip
would not bear the name of the in
dividual making the deposit.