The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1912-08-03
PLANS TO REDUCE
SIZE OF BANK NOTES
MacVeagh Thinks 1t Will
Save Uncle Sam Money
ONE : THIRD SMALLER
About $500, 900 Year Would Be
Saved for Paper Alone-Uni-
form Denominations to
Be Adopted

Washington, August 2.-lspeeial)-sec-
rotary of the Treasury MacNeagn Is CON
templating reducing the size OF all lniteu
states currency and national bank notes
bv one-third and revolutionizing their de-
signs for the sake of economy to the
government. convenience TO the public ana
safety against counterfeiting. This oe-
eision has practically been reached by the
secretary.
II Is proposed to make the dimensions
6x21h inches, The paper money now IN CIT
culation measures 7.2Sx3.o4 inches The de-
signs of all pape-money-united states
notes and certificates and national bank
notes-would be systematized and made
uniform for every demonstration.
This move is expected to save the gov
eminent about 100000 annually, and the
national banks, which pay for the plates
for their notes and part of the cost for
redemption. about 100000. The economies
would be effected in steel for the plates,
in paper and In labor.
For many months the only deterrant to
the step by executive authority has been
the belief that it would be necessary for
Congress to appropriate about $1,000,0o0 to
replace the national bank note plates
which have been paid for by the national
banks. This problem has been solved by
the plan to nave the general design of
all national bank notes uniform, requiring
only one engraved plate for each denomi-
nation and to place on the notes by sur
face printing the name, location and char
ter number of the bank This does away
with separate plates for each bank.
Eighteen months would be required to
effect the change by the preparation OF
the designs. engraving the plates and
printing the notes. To meet the objection
that for time at least there would be
two sizes of currency in circulation, it has
been suggested that the government print
In advance a sufficient quantity of the
notes of the new size to be exchanged at
the sub-treasuries and national banks at
a fixed date.
The change would thus substantially be
accomplished in few days, the treasury
officials believe
There are now 10 designs of currency.
The change proposed will reduce these to
nine. Each denomination would be char
acterized by distnctively American his
torical portrait engraved In the center OF
the note. In time the portrait would be
distinguishing feature of each denomi-
nation and would prove safeguard
against counterfeiting, especially the pre-
valent practice of raising note to a
higher denomination.
The department is considering using por-
traits as follows One dollar note, WASH
ington; 81, Jefferson; IS. Lincoln; $40,
Cleveland; $50, Jackson; $50. Grant: 500,
| Franklin; $500 Chase. and $1,000 Hamilton.
Washington bank officials have so far
| declined to discuss the proposed changes,
and will not do so until they have had
| time TO study the secretarys plan in de-
tail. Presidents of one or two of the
Washington banks have expressed the
opinion that II would be mistake to re-
duce the size of bank notes, as they
claim that the present size makes notes
easier to handle.
Any way, the proposed change in the
notes will In all probability be adopted,
unless there is some well founded protest
from the bankers of the country.