The daily telegram. [volume] (Clarksburg, W. Va.) 1901-1926, 1915-02-01
THE HAS KIN LETTER
THE POSTAL SAVING SYSTEM
By Frederic j HasiSin.

| By Fredel
The postal savings system is one Of
the few financial institutions in the
world to which the war has brought
growth and prosperity. The pfir-
cipal reason for the establishment OF
the system was that It would bring
into circulation savings that would
otherwise be boarded, or sent to for
etgn countries. Its strongest appeal
Is, and always has been, to the for
eign born citizen: for the bulk OF
his sayings-and In the aggregate, 1t
I is enormous-goes either into the
proyerbtal sock under the hearth
stone, or back to the home country.
Last June the system was approx
nately forty-three months old, and
the deposits amounted to about $43,-
100000. In August, the month that
the war broke out, this average Of q
million month, increased to $4,000
600, and by the end OF December the
total deposits had Increased by near.
~ $4,000, 900.
This sudden growth was, Of course,
explained by the fact that foreign
born Americans who had been send
ing their savings back to Europe,
found It both difficult and dangerous
to do so because of the condition
created by the war. Nearly all OF the
European countries had postal saw
ling systems fifty years before ours
was established, and the immigrant
Is accustomed to that method Of saw
ing. Finding such a system in this
country, he naturally turned to 1t in
1.-the emergency created by the war;
and millions Of dollars which would
otherwise have been boarded were
kept In circulation by means Of the
deposits Of postal savings in local
banks, at time when money in cir
culation was most urgently needed,
and the danger from boarding was
Igreatest.
According to the postal savings law,
no one may have on deposit more than
$500 at one time, and no one, Is per
mitted to deposit more than 500 in
any calendar month This restriction
according to postofiice officials, re;
suited in the turning away Of thous-
ands OF depositors. Asbill, which has
the sanction Of the postofice depart
ment, has been introduced in Con;
gress to increase the amount which
any person may have on deposit al
interest to $1,000; with the privilege
OF depositiong an additional Thousand
upon which no interest is to be paid
This measure, 1t is believed. vii
result in bringing millions OF dollar,
into circulation that would otherwis,
be boarded or sent abroad. Safety Il
what the immigrant wants for hi,
savings, and he seems comparativel,
Indifferent to rates Of interest. H,
prefers to send his savings back I,
Europe, because he knows that th,
institutions Of that country are safe
while about American banks he know
nothing. For the American govern
ment, however, he has the creates
/ respect and confidence, and this b
has shown by bringing his saving
to Uncle Sam, when he was unabl
s to send them home. These deposit
:. by foreignlborn wage earners mea
more than money brought into circu
lation and kept in the United State:
They mean tangible relations estat
lished between the United States gov
eminent and hundreds Of thousand
OF new citizens, who thus learn. I
trust the government Of their adopte
country.
How strongly the postal saving
system apeals to the foreign4bor
American is best shown by the fac
that OF the $4,000 depositors, in poi
tai savings banks at the end of De
cember, forty per cent were foreign
born; and that these owned MOI
than one-half Of the total deposits.
The list Of foreign deposition
which patronize the system show
that one-third are not gainfully en-
ployed, and further analysis show
that eleven per cent Of all the d.
positors are school children, Will
nine-tenths of the other depositol
who do not earn money are wome.
OF the remaining two-thirds, the gre,
majority are skilled and unskille
laborers. In word, 1t is to wag,
earners, women and children that tt
4 postal savings system affords I'll
: greatest convenience because 1t a.
cepts and pays interest upon Il
smallest amounts and Its value as a
encouragement to thrift can scarcel
be overestimated.
Typical Of the spirit in which Il
postal savings system is managed
the record made in the payment
the balances Of deceased depositor
In any savings bank, great man
deposits are made by persons wi
never reappear to claim them, al
often 1t IL extremely difficult to loca
the heirs Of deceased depositors, e
pecially when they are foreign Dor
The government, however, has facil
ties for such work which no priva
Institution could possibly maintai
and the officials Of the postal savin;
system take the greatest pride
finding the rightful owner OF eve
unpaid balance on deposit. Payne
OF such claims has been made in Il
4 last year to persons in Canada, En-
B land, Germany, Italy. Montenegr