Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-07-09
BIC DEMAND SEEN
FOR NEW CURRENCY
ON EVE OF ISSUE
Smaller Paper Money to Be
Put in Circulation by
Banks Tomorrow.
SOME CUSTOMERS ASK
FOR OLD SIZED BILLS
Three Months Expected to Be Nee
essary to Make Change General
Throughout Country.

Washington banks and trust COM
panies are anticipating great demand
for the new small size currency that
will be made available tomorrow by the
Treasury Department. Requests for
the new currency, which is one-third
smaller than the old, have been on
file at downtown banks for ceveral
weeks.
With about 9l2,oOO,0oo pieces Of the
new money printed, the Treasury De-
partment is prepared to meet what az
first will be a curiosity demand" but
only to a limited extent. and some
Washington banks are considering ap-
portioning the new bills among their
depoSitors.
The cashier of one of the larger
downtown banks has been asked by his
ice man to let him have large guam
tity of new bills so that he may send
pieces to friends in the mountains who
said he knew Of two business houses
and chain store concern that had
arranged to advertise the new money
as available in the making of change,
anticipating that the offer would slim
ulate purchases.
Distribution Problem.
In view Of the big problem OF dis
tribution, and the necessity of avoiding
waste by keeping the old currency in
use as long as 1t Is fit for exchange,
the Treasury Department has asked
that banks limit their supply of the
new currency to an amount necessary
for business. None of the banks here
have made special arrangements for
distributing the bills, but all plan to
meet the requests of depositors as far
as possible.
Some banks have been advised by
depositors that the old money is pre-
ferable until the new is In general cir
culation. Concerns having large pay
rolls prefer to obtain their money in
one size, and one cashier professed to
expect confusion and some loss to re-
suit from the mixing of the sizes. All
the new bills will measure and 5-l6
by 2 1l-16 inches, as compared with
the old currency's dimensions Of Tile
by Ia inches.
For about three months, most folks
will have to do their spending with bills
riod practically all of the old currency in
the most widely used small denomina-
tons will be out of circulation and the
public will have freer opportunity to
test out the promised advantages of the
new money.
Advantages Cited.
These advantages, as outlined by the
Treasury, include greater convenience
in handling and carrying the money,
improved appearance, uniformity of de-
sign insofar as the backs and portraits
on each denomination are concerned to
make quick recognition easier and
counterfeiting harder, and a greater
durability. 1t is not claimed that the
quality Of greater durability will in
crease the purchasing power of the
money one hands out, but the new size
is expected to improve the sanitary con-
dition of the money one takes in.
Based on the requests received by
Washington bankers, they are consider
ing whether the new money will be out
of circulation temporarily, after all. A
great number of out-of-town reports
have been received and the disposition
of some to carry the new bills with
them as curioSities and spend the old
may, it is felt, have some effect on the
circulation, at least temporarily.
The vice president of one Of the
banks had another view. Most of II
What can you do with it? You spend
It in the bank"
One practice that has lost caste Of
late probably will find favor again
Time was when the holder of a crisp
new bill put his initials on 1t and Their
spent the rest of his natural life ex.
aiming every bill he got his hands or
trying to locate it. The Treasury De.
partment discourages the practice a.
tending to shorten the life Of The
money.
The change in currency, which is the
first undertaken by the Government
since 1851, is expected to result in 9
saving to the taxpayers of about
$1,500,000 a year. Not only are the
new bills expected to last longer, but
the cost of materials, printing, storage
and distribution Is expected to be re-
duced by that amount.
On the eve of the distribution, Treas
ury officials predicted that IL month:
from now pieces OF the old currenc!
will be looked upon with almost as mucf
curiosity as the new will arouse
tomorrow.