Milford chronicle. [volume] (Milford, Del.) 1878-1974, 1927-11-18
DELAWARE CHRISTMAS
CLUBS WILL PAY TO
MEMBERS $l,78O,OOO
Total In State Has Increased 26
Per Cent Over Last Year Sta.
tistics Show.
INCREASE In NATION
Huge Total OF $500, 100000 Will
Be Distributed In United States
For Holiday Savers.

Banks, in Delaware, through their
Christmas Savings Clubs, will pay
out to their club members a total of
$1,780,000-00 within the next few
weeks. This is an increase of 26 per
cent over last year. Both Milford
banks have had these savings fea-
lures for several years and their
membership increases steadily,
About 100000, 100000 will be dis
tributed to 100000 members of the
Christmas Club in the United States
during the next few weeks. This
figure represents an increase in
Christmas Club savings over 1926 of
about $1O2,000,00O.0O, or 2695, while
the increase in the number of men,
bers over 1926 is 12b@o. This is five
times the amount in 1920.
The average distribution per mem
Der amounts to $3.50. This is an
increase of about 10 over 1926
when per member distribution was
$51324
In addition to being a record. dis
tribution for the Christmas Club to
record membership, more banks
participated in the movement during
1927 than ever before.
This is the result of a growing
number of banking institutions in
the United States realizing the ben
efits to be derived from making the
Christmas Club plan availabler to
their communities.
Banks all over the counRSy Will
begin the distribution Of this money
within tho MI
Christmas Club, organized seven
teen years ago by Herbert F. RaWll,
is designed to promote a systematic
weekly saving plan, for a fifty week
period, for the purpose of accumu-
lating at the end of the year a,cer-
tain fixed amount that can be used
for any anticipated purpose. About
5000 banks are participating in the
undertaking. Reports from member
banks are almost universal in. the
opinion that the percentage of the
Christmas Club deposit diverted for
constructive uses; for permanent in
Vestment and for de-deposit in. say
ngs accounts has materially in
creased each year.
Starting about the middle of De-
eember and before the middle of
January, enrolment for the Christ
mas Club for next year will be I'M
dertaken. These accounts are open
ed at the bank, trust company or
financial institution, and the men,
bers select the class of payments
best suited to their individual re-
quirements, varying in amounts
from 25c a week, to $4,000 a, week,
and continue the payments in the
classes selected for period of fifty
weeks. There are no fines, no, dues
and all the money is returned by the
bank in one lump sum just before
Christmas. 1t has been conserva-
lively estimated that over ten mil
lion new permanent savings. ac-
counts have been opened as a. direct
result of the Christmas Club plan.
The plan encourages saving on a
systematic" basis through the unique
method that it offers, and while in
its early stages it met with consid-
cradle criticism on the part of many
bankers, there are few, if any, today
that do not admit it has been the
means Of encouraging thrift on a.
tremendous scale, principally by Gre
ating a point of contact between the
individual and the bank and break
ing down certain misunderstand7l
ing tflat so many people had wi
reference to the size of deposit al,
ceptable' IN the savings or thrift de-
partments of banking institutions.