El Paso herald. (El Paso, Tex.) 1901-1931, 1913-11-26
Postal Banks Teach Thrift
Are Popular Among the working
People and Children in Europe.
Frederic J. Hasfzin-
BY FrcderIc ]. Haskin-

4" rASHINGTONs D. c., Nov. Is
M-rhe use of the postoffiee as a
" place where the people OF
small means could deposit their money
for safe keeping was first suggested
in England in 1907, when a member of
parliament introduced bill to en-
courage saving among the small wage
earners. His proposition was practi-
cally Tidiculed out of existence, and
the idea did not receive serious con-
sideratiOn until 1860. when Charles
Skies, a bank book keeper Of York
shire, drafted a plan and presented it
to Gladstone, who was then chan
cellOr of the eXchequer. In doing so
he pointed out that existing financial
Institutions were unable, even if will
ing, to reach the working classes
While the pOstoffice, with an office
in every community, came into daily
contact with them.
England Tries Experiment.
The idea appealed to the great Brit
ish statesman, and he Immediately
leadership and enthusiasm. The re-
suit was that in 1851 the English
postoffice savings bank came into be-
ing under appropriate parliamentary
legislation. And before Gladstone laid
down the cares of craftsmanship, in
a summary of the things that had been
accomplished by him he announced
that he considered the postoffice saw
stitution that had been created in the
half century under review, for the
welfare of the people and of the
state; and he declared further that he
regarded the act creating the post
office savings banks the most useful
and fruitful OF his long career.
The British have way Of fittingly
honoring those who perform a not
able service for the peOple-as witness
the honors and the material things
that came to Lister for his discovery
OF aSeptic surgery and to Jenner, who
discovered the principle Of vaccination.
And the case of Skies was no excep-
ton he was knighted in 1881, given
high government position, and was
the recipient Of a valuable public tes-
ftlmOnial of appreciation of his SER
vices to England in devising so whole
some an engine of finance for the
wage earners-
From the day the British postoffice
savings banks opened its doors down
to the present it has been a success,
growing from year to year, being
copied by other nations and standing
today with a total deposit account Of
not far from S1,OOO,00O,O00, and an
average deposit of seventy odd dol
lars for each of the 100000 or more
depOsitOrs.
Is simple Plan.
The British idea is a very simple
one Any person over the age of seven
years may deposit his savings in the
postoffice, get interest on them while
needs them. Aimed to encourage
thrift, special facilities are provided
for children. Depositors also have spe-
cial opportunities for making invest
N ents in government stock, for pur-
chasing annuities, and for securing
life insurance. Deposits may be made
in the name of children under seven
years old, but they cannot be with
drawn until the child reaches the age
OF seven and then by his own sigma
tUre only.
In opening accounts the full name
of the depositor, his occupation, and
his place of residence must be given.
and he must show that he is not
party to any other individual account
Married women may keep their ac-
counts without any control of their
husbands Any sum from a shilling
upward may be deposited, subject to 4
limit of 5000 in any one year and
$1,000 all told. Exceptions to these
limits are ma de in favor of charitable
and cooperative institutions Chill
dren who can save only a ha' penny or
so at time-a ha'penny being eQuiva-
lent to our one cent piecc-may buy
stamps and paste them on forms pro-
vided by the postoffice. and when they
have shilinGs worth the pOstOffice
opens an account and issues pass
book The depOsitOr does not have
TO 90 to his own pOStOffice to get his
money when he needs it If he hap
pen to be in Dublin. while his account
IS with his own postOffice at Maiden.
ne can get MS money Lnere. NOLlce OF {
intention TO withdraw has TO be given )
for all sums of s. and upward, how
ever. This may be given on the day /
of withdrawal by telegraph, the de-
positOr paving the cost of the telc- /
gram. while longer notice is carried !
free in the mails. All accounts are /
kept secret by the government and I:
are not subject to attachment All /
dependence between depoSitors and (!
the government with reference to saw /
irSs bank hu~ineSs X carried free in 4
The mails. Liberal interest is paid on Z
the deposits
The French Plan.
The French postal savings bank &
syG-cm is somewhat woven in with the
ordinary commercial savings bank es- I
enlistment IT is under the minister i
ns posts and telegraphs. The minimum /
deposit accepted is one franc. approx I
rately % cents, although the stamp I
card forms used in England are i
copied, so that children may fill 10 /
their cards with stamps and thus get /
20 cents together al one time. An 1
IN. institution $4,000 francs. Govern
nent bonds of so franc denomination /
may be bought through the savings
banks, without any commissions on
the tranSa elton. The rate OF interest.
calculated on the basis of income upon
securities deposited with the treasury
averages about II percent per an
lnder the supervisory oversight Of a
of 20 prominent govern
nent Officials The money deposited
must be well employed by the govern
nent. not more than 10 percent OF it I
leinE allowed 10 lie idle at any time.
All fun postOffices in Franco handle !