The Birmingham age-herald., 1922-12-24
TREASURY URGING OF NATION
 ID INVEST MONEY
Saving Certificates Offer At- tfactIve Means of Invest ment for Man in Moder-
 ate Circumstances
Fly LEW WALLACE. JR., Director U. S. Savings System


 WASHINGTON, Dec. 23.-one of the most progressive movements of tho era having the sanction of the gov ernment is that providing means for national thrift and saving It started during the World war. The govern ment had to have money. It sold bonds at various times and in denom nations as low as S5e Still there were large sums of money which the government needed. 1t was held in small amounts and hoarded in scere of ways which kept 1t out of circu- lation. To reach these small sums the government offered war savings cor tificates and war savings stamps. These securities found a ready sale and about billion and half dollars flowed into the treasury. The people were interested in saving; they began 10 understand the benefits Of thrift. After the close of the war there was still a demand for government sav ings securities. The government had nothing to offer except the war say ings stamps and certificates. They did not suit peacetime conditions. War Savings" was misnomer. There had to be a change.
 For small Investor
 In the last annual repSrt of the treasury, Secretary Mellon says: The necessity of keeping constantly be- fore the small investor security adapted to his needs and at the same time giving an interest yield sui fieiently large to be attractive. led to the offering of q now issue of treas ury savings certificates on December 15. 1921. under plan whereby each certificate issued should mature five years from the date of It's issue, fn- stead of at a uniform maturity date as was the case with previous issues.'
 The war savings certificates and stamps matured at a fixed date, s625. 900 of war savings stamps sold during the year 1913, mature Janu- ary 1. 1923. The new treasury savings certificates mature five years from date of issue, they are exempt from all state and local taxation lexcept estate and inheritance taxesl, and from tho normal federal income tax.
 Sold in Three Types
 To meet the requirements of stas small investor the lowest denomna- tion is S25 and is sold for $20.50: the next Is for stOo and is sold for ss2. the third Is for s1,000 and Is sold for SS20. The face value Is the ina turity value and they will be re- deemed at that price if held for five years. Any one person can buy up to S5,000 worth, maturity value. In any one year. Because many people hesitate to tie their money up for any long period, and feel that they want 1t to meet an emergency pro- vision Is made for the redemption of treasury savings certificates at any time after one month, and interest will be paid at the rate of per cent simple interest, on the money invest ed. Redemptions of treasury savings certificates are not anticipated in any large amount by the treasury of ficials. as the rate of interest which they earn, and the tax exemption features, make them one of the most attractive savings securities to be oo- tained. That people are of a thrifty turn and Inclined to save, is shown by the fact that more than six hun dred million dollars in war savings stamps, purchased in 1918. have been held to maturity, over a most trying period of time.
 Save In Small Amounts
 Continuing the thrift and saving program of war times the treasury department has adopted a plan which seems best fitted to meet present con diticns throughout the country. It has offered savings security which goes as far as possible in interest yield and which affords investors an opportunity to save their earnings in
 
 gilt-edged government securities.
 The treasury department is also en- gagged in a campaign of education to teach the people everywhere tho ben- efits of thrift and saving. The gtv- ernment has the only organization which can reach down into every town and hamlet in the country. interest all people who earn ana want to save. And that is what it is doing with it's savings certificates. Secretary Mellon believes in saving and says that q saving nation must be prosperous nation; that thrif- ty people will be a successful people. Consequently he is earnestly aiding the saving movement It has enlist cd his sympathy and energy and he has communicated his enthusiasm t,s those who have the savings move ment in direct charge.
 In order 10 have the people con tinue the policy If saving they adcp pted in war time the treasury de- partment has made arrangements to effect an exchange of war savings stamps coming due January for treasury savings certificates. Tais exchange will be made on the best possible terms and with the minimum of red tape. The holders of war sav- ings stamps can exchange them for the new savings certificates and the difference in value of the war saw ings security and the purchase price of the treasury savings certificates will be paid in cash by the govern