The herald and news. [volume] (Newberry S.C.) 1903-1937, 1911-05-19
POSTAL BONDS
Will be Available To Postal Savings
Bank Depositors on July l.
Washington, May u, 1911

public announcement to the effect tha
postal savings bonds will be availabl
for purchase by depositors of tn
Postal Savings System on July l, 1911
in denominations of S2U, SlUO and $500
Your attention is invited to sections
40, IL and ~ of the instructions Il
postmasters and to paragraphs 80 t.
81, inclusive, of Form PS 4, which
contain information as to the term:
OF these bonds and The procedure to bs
observed in converting postal savings
deposits to their purchase. AS stated
therein, postal savings bonds bear in
terest at the rate of 2 1-2 per cent
per annum, payable semiannually
and are exempt from taxation in any
form by the United States or by any
State, municipal, or local authority.
Postal savings bonds can only be
procured by the conversion Of postal
savings deposits and will not be issued
to persons who are not depositors, but
they may be sold and assigned by a
depositor at any time to any person
desired
The bonds viii be issued in both
registered and coupon form, and ap-
plications by depositors on Form Ps
300 must indicate which form is desir-
ed.
Coupon bonds are preferable for a
depositor who intends to hold them
for a short time only and who mas am
ple facilities for their safekeeping.
These bonds are payable to bearer
and the title will pass by delivery
without endorsement. In case Of their
loss the government does not under
take to protect the owner against the
Y wron sfut holder, hut recognizes the
bearer only. Interest on coupon
bonds is collected by means Of inter-
est coupons, which are detached by
the holder as they become due.
- Registered bonds are preferable for
persons intending to hold them for a
considerable period, and they differ
from coupon bonds in the following
respects:
/. They have inscribed upon their
face the names of the persons to
whom they are issued.
2. They are payable only to the per
sons to whom issued or their assigns.
8. The ownership of registered
bonds can be transferred only by as
signment in proper form.
Registered bonds are assigned by
the use of forms printed on their
backs. A ledger account is opened in
the treasury department at Washing
ton with each holder of one or more
registered bonds, and payment on
bonds that have been lost or stolen
may be stopped by notifying the Sec
retary of the treasury division of
loans and currency at Washington.
When registered bonds are assigned
they should be Transmitted by the
new owner to the secretary Of the
treasury division of loans and cur
rency) for transfer on the books OF
the departm ent-
Interest on registered bonds is paid
BY checks drawn at the treasury de-
partnent il favor of the registered
holder. These checks will be sent by
mail to tie postoflce address of the
holder, and the holder of registered
bond should notify the secretary Of
the treasury division of loans and
currency of any change in his post
Office address at least fifteen days be-
fore the interest falls due. Checks
for interest on registered bonds, as
well as interest coupons detached
from coupon bonds, are payable on
presentation at the United States
treasury, or at the Office Of any assist
ant treasurer of the United States. IN
terest checks and coupons sovering
interest on postal savings bonds may
be cashed by postmasters under the
same conditions as other government
paper.
Your attention is invited to the fact
that all applications by depositors for
the purchase of postal savings bonds
under date Of July must be made
prior to June Is. Applications should
be fo?. cded at as early a date as
practicable. A supply OF the deposi-
tors application form (PS 309) has
been mailed to you under separate
cover.
Very truly yours,
For the Postmaster General,