Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1917-07-22
HOW SOLDIERS IN FRANCE
WILL ORA W THEIR PAY
May Get French Currency or United
States Checks, as They
Prefer.
BIG CREDIT IS ESTABLISHED
Plan Denies to Germans Any Oppor.
tunity to Sink or Capture Any
Gold or United States Money, Says
State Council OF Defense.

Because OF the erroneous impression
that men sent abroad should carry as
much American gold with them as pos
sible, the Virginia Council of Defense.
after communications with the War De-
partment. issued a statement vest err ~
ummarizing the system b. which
Americans in military service in
Europe will be paid. The council has
.:ceived numerous inquiries during the
past few days. because Of Inc great
interest in the matter. and Immediate
~ requested intlliScnt informal ion
from the Federal authorities with
which to answer these Inquiries
The council was advised by the War
department that the methods :; pay
Ing the soldiers i'll Franc. are the
best from every point OF view over
devised under such conditions The
plan. as worked out by the govern
ment gives the American soldier the
benefit OF every fraction Of the OK
change rate. no matter which way it
goes. and, in addition. insuroS the abSo-
lutte safety of the funds Of those men
who wish to send sums Of money 10
relatives in the States.
This plan denies the Germans any
opportunityN;o sink or CAPTURE any gold
or United States money.
Each disbursins- officer with the
United States soldiers in France will
simply draw on Uncle Sam. \ big
credit has been provided for this pur-
pose-just what the sum is rhe war
Department prefers should not be
stated. 1t is more than ample for
needs.
CHOICE OF FRENCH CURRENCY
OR UNITED STATES CHECK
Each soldier Will have the choice of
being paid in French currency or In a
check on the Treasurer of the United
States II he is sending his pay homo.
he will prefer the check safer 20
mall. Periodically, probably once
month, announcement will be made of
Che exchange rate at which soldiers
will be paid. This rate will be fixed
with the aid Of the Treasury Depart
ment and will apply until the date
when the next announcement Of ex-
cange rate is due.
For example: the present rate is
about $40 % 10-100 francs to the dol
LARD Assume that 1t is announced that
b.1o Is the conversion rate If this an
nouncement should be Immediately fol-
lowed by big French victory or some
economic development. which sent
French exchange higher. the American
soldier would be the winner. for he
would get $40 francs for each dollar
OF pay TO which, he was entitled al
though n bank might be willing TO
give him only $50 for each American
dollar.
On the other hand. II exchange fell
SO that the banks were willing to give
him $50 francs for each dollar the
soldier would not have 10 accept the
paymaster's fixed rate OF $40 He
would be free TO get his pay by check
for the amount due him in American
money. This he could take TO a bank
and get converted at tho current rate
which In that case would be hic her
than the fixed rate which the last
official statement permitted the dis
bursting officer 10 pay. Thus tho sol
dier stands to win, but need not ever
lose by the fixed COVER. mont CONVEX
sion rate.
American soldiers are said TO have