Evening star., 1911-01-12
Doubt Regarding Deposits in
Postal Savings Banks.
GET ENCOURAGING REPORTS
Some Interesting Problems for Post
masters to Solve.
CHILDREN ARE ENTHUSIASTIC
Newspaper in Western Town Refuses
to Make Any Mention OF New
Institution.

Are deposits in postal savings banks
subject TO taxation is question that
is being put to the Postmaster General by
several OF the postmasters at the cities
where such banks are located. While the
law expressly exempts from taxation In
any form whatsoever the 21a per cent
bonds issued by the government Tor
postal savings certificates. 1t says nothing
at all about the taxation OF postal de-
rosits. The department.. therefore. Is IN
clined to believe that such deposits are
subject to local taxation, the same as any
other personally where the state law
taxes deposits placed in state or national
banks.
Chief Clerk Weed. who is secretary OF
the board OF trustees is receiving many
reports daily from the new savings In
situations. Some of them present novel
questions, and others merely indicate the
progress of the system.
A postmaster in the middle west has
written that he is receiving many remit
tances by mail for deposit, in sums rang
ing from 80 cents to 500. All have TO be
returned. because the regulations require
the depositor's signature, among other
things on the duplicate certificate which
is retained on file in the post Office
Gets Around Difficulty.
\, arrangement has been effected. how
ever. whereby the deposits of several
persons brought into the office by mas
senger have been accepted and the orig
inal certificates of deposit withheld until
after each individual depositor has signed
and returned the duplicate certificate
which is sent 10 him for the purpose.
In Ashtabula Ohio, a woman depositor
called with $50. She said she had vowed
never to trust bank again. because she
had lost money in a bank failure years
ago.
The postmaster at Brunswick. Ga, re-
ports that the interest among the school
children of his city in the new bank is so
great that he has asked permission OF
the school authorities to deliver an ID
dress to all the pupils. in which he viii
explain all about the new institution.
The postmaster at Rumford. Me-, re-
ports the receipt of large number Of re-
quests for the postal savings cards in
quantities, and the postmaster at Pekin.
H.. reports the receipt of a deposit from
citizen of Memphis. Tenn.
Rural carriers report that patrons on
thicr routes wanting to know If they
are authorized to receive savings for de- /,
post and later bring the certificates to
the depositors.
Banks Existence Ignored.
The first discordant note In the form of
disapproval of the new banks comes from
a city in the middle west. where the post |
master writes the daily newspaper abso
lutely refuses to acknowledge the exist
ence of the bank or TO print a word about
It, He says the proprietor is interested in
a private savings bank. and that Is prob
ably his reason for disapproving of the
postal bank.
The postmast at Gulfport. Miss.
states there is a great demasd for the
postal savings cards at his offce by chill
dren, who seem to be enthusiastic over
this means of saving their money.
Mr.. Weed said the reports generally in
dicate a growing interest in the banks.
and many instances are reported of the
receipt of money for deposit that has
long been kept out of general circula-
ton.