Evening star. [volume] (Washington, D.C.) 1854-1972, 1911-07-05
Opportunity for Deposit OF
Savings of Washington.
SCHEDULEDFO EARLY DAY
Postmaster General Is Deeply Inter
ested in System.
WINS CONFIDENCE OF PEOPLE
Success Shown in Number of De-
positories Demanded and
Amount Of Deposits.

Washington is soon to have a postal
I sa wings bank all It's own. The date has
not yet been definitely determined. but
the Postmaster General expects he will
be able to announce it shortly. He had
expected to be able TO install 1t within
. the present month and that hope has not
Yet been abandoned.
The month began with 1000 banks in
all sections of the country. but 400 of
which are not yet in full operation. Yes
terday fifty more were added. Thus far
Pennsylvania because of its large for
eign population, leads all the states, with
- postal savings banks. California
comes next. with 10. and Illinois third,
with 20. Michigan has Al and Indiana,
Iowa, Massachusetts,. New York, Ohio
and Wisconsin between 30 and 40 each.
Delaware as yet has but one
Hitchcock Deeply Interested.
Postmaster General Hitchcock Is TAX
ing the deepest personal interest in the
growth of the new system. He is said
10 regard it's establishment and success
ful operation one Of the great achieve
ments of his administration. He is par
ticularly pleased at the simplicity Of the
regulations provided for 1t are adequately
meeting the demands. Another source of
qualification, he says, Is the fact that the
opposition manifested by the other bank
ing institutions Of the country Is dying
out In the face of the actual operation
of the new system.
1t is daily being demonstrated, he says,
that the postal savings depositorfes-and
he Is very particular In calling them de-
positories and not banks. because. he
hoyy aY NJ "a
general acceptation Of the term-are not
rivals but powerful auXiliaries to the
banking system of the country. They are
drawing thousands and thousands Of dol
lars, he says, from hiding places which
otherwise would never have gotten into
circulation. Bank failures in the past
have made many people t1morous. ne
says. and one Is astonished at the num-
money to the soundest banks in exist
ence.
Efficacy Of Guarantee.
This condition exists. he says, and the
bankers know 1t. They see, too. now
that the government guarantee OF safety
to depositors in the postal savings de-
positories is not only establishing conf
dence in people who have heretofore kept
their money at home or in out-of-the-way
places for safe-keepfng. but that all this
money is gradually getting into the postal
repositories. whence 1t goes to regular
banking institutions and thus into circula-
| ton.
In the far west, he says. the deepest in
terest seems to be manifesting itself In
the new system. In Golddeld. New,
town Of but 5000 inha abitants, the deposits
for the first three weeks amounted to
81, 900.
Many more deposits might be obtained
but for the limit Of 500 now placed on
each depositor for calendar month. Men
and women have come with as high as
81, 800 and 5000 to deposit at one time
and seemed deeply disappointed when the
postmaster refused to accept It, Many
Of them are depositing this money at the
rate Of 500 a month with the object of
ultimately converting II into 2h per
cent bonds provided for by the postal
| savings law.
Postmaster General Hitchcock stated to-
day that applications from depositors to
purchase postal savings bonds July
amounted to about $42, 900. OF this amount
more than $35, 900 was for registered bonds.
showing the apparent intention OF de-
positors to retain them for a considerable
time as an investment. The amount OF
bonds applied for was necessarily small
as SUFFICIENT time had elapsed In only a
| few offices to permit an accumulation OF
deposits large enough to justify their con-
| version into bonds.
The department in Washington Is daily
visited by persons who are actually beg
| ging for the establishment Of a postal
savings depository here showing that even
| in the National Capital there are some
who will not part with their savings ex-
| cept to an institution the soundness Of
which is guaranteed by the national gov
ernment.
Prefer Checking Privilege.
Throughout the country many are found
| who are disposed to object that they can
not carry checking accounts in the new
repositories. But 1t is explained at the
department that the repositories were
never intended to take the place OF the
regular banking institutions. They are
intended as safe repositories for savings
That is all. except that per cent inter-
est is paid on savings which are allowed
to remain on deposit When the deposit
amounts to a sum large enough 1t can
be converted into government bond,
bearing 21s per cent interest. BY for
| bidding the checking Of money from the
! repositories the necessity of keeping in
dividual and general accounts is over
come-a matter that would be next to
| impossible at some OF the small Offices
/ which have been designated as postal
| savings depositoriee-
| There are no bank books to balance
| II one has less than a dollar he gets
savings card with stamps attached to
1t to represent the amount Of his savings.
| When the card is filled. a certificate Of
| deposit for one dollar is issued. With
| enough certificates one can purchase a
| bond at stated intervals. The certificate
| shows when and how much interest Is
due and payable on q deposit. There is
/ no chance for mistakes to arise. The
| whole thing Is as simple as q b C That
is why the Postmaster General things the
! system is a great one. why 1t 10 popular
and why 1t is going to grow to great
proportions.
THREE BUSINESS BLOCKS BURN.
Loss From Flames at Princeton. NO..