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Show oo - WASHINGTON, Jau. 1. Through the practical Inslltu- Hon of the postal savings bank 4- system on Tuesday, January 3, Hie United States government 4- will give Hie people facilities for saving a part of their ear- 4- 4- nlngs Their establishment Is 4- 4- regarded as tho most far- 4- 4- reaching financial step taken 4- 4- by the government since the 4- 4- authorization of national banks 4- 4- and Hielr operation will he 4- 4- watched with Interest by flnan- 4- 4- clors throughout the world. 4- 4- 4-4-4-4-4-4-4-4-4-4-4-4-4-4-4-4-4- The eynte.m Is to be Inaugurated on a comparatively small scale. One postofflce In each state and territory has been selected as a depository Of these IS offices, a thorouph teat will be mndo. It was decided to make tho bcglnnhiR thus small, not only because be-cause no adequate appropriation was avallablo to put It Into general operation, oper-ation, but aleo becnuse tho plan adopted adopt-ed differs entirely fTom that of any other system In the world. Recult of Months' Work. Tho nows echome 1b Hie result of many months of work by committees of postal and banking experts, whose efforts were directed by a board of trustees consisting of tho postmaster postmas-ter genoral, tho secretary of the trcas-urv, trcas-urv, and the attorney general. No pass-books will "be furnished depositors, de-positors, but all doposlts will be evidenced evi-denced by engraved postal Bavlngs certificates, Issued In fixed denominations denomina-tions Qf one, two, five, ten, twenty and fifty dollars, each hearing the name of the depositors and the date on which Interest begins to accrue. The certificates arc non-transferable and non-negotiable. Interest will be payable annually at the rate of 2 per cent per annum. 4 Not Less Than $1 or More Than $500. By tho terms of tho law, no account for less than one dollar may bo opened and no person may doposlt more than one hundred dollnrs In any calendar month, or have to his credit at any one time more than five hundred dollars, dol-lars, cxcIukIvo of accumulated Interest, Inter-est, Accounts may bo opened by any person over ten years old,. In his or her own name and by married women In their own names. The accounts of wives ennnot he Interfered with or controlled by their husbands. For tho present, deposits will be limited to patrons of the postoffices at which the system is established. The servico Is entirely free, no fee being required in connection with the opening of an account or the withdrawal with-drawal of money deposited. Cannot Disclose Depositors' Namo3. No person connected with the post-office post-office department will be permitted to disclose either Uie name of a depositor deposit-or or tho amount or his deposit, unless directed to do so by" the postmastor-goticral. postmastor-goticral. Deposits may bo withdrawn at any time with nccruod Interest or tho luterest alone may he withdrawn. While deposits of Icsb than $1 will not be received, small amounts may be saved for doposlt by the purchase of postal savings cards at ten ceuts each and of ten postal savings stamps, which have been specially prepared for tho purpose, and will bo on sale at all depository offices. Each postal savings card contains blank spaces to which ten cent savings stamps may be affixed na purchased The postmaster will accept a postal Bavlngs card wlHi nine ten-cent savings sav-ings stamps affixed as a deposit of ono dollar, either In opening an account ac-count or in adding to an existing ac-counL ac-counL This feature is expected to appeal ap-peal especially to children and to encourage en-courage in them habits of thrift. Can Purchase U. S. Bondo, An Interesting fenture of the system Is the privilcgo accorded a depositor of converting his savings Into Unltod States bonds, to be issued in denominations denomi-nations of twenty, forty, sixty, eighty and one huudrod dollars, and multiples multi-ples of one hundred dpllars up to five hundred dollars. The bonds will bo issued In both registered and coupon form and will hear interest at the rate of 2 1-2 per cent payable semi-annually. The bonds are redoomablo nt the pleasure of tho United States one year from tho date of Issue, both principal and Interest being payablo twenty yenrB from date ' of Isbuo In gold coin. No limit is placed plac-ed on tho amount of theso bonds a depositor may acquire as tho bond,i aro not counted as n part of the maximum max-imum of fivo hundred dollars allowed allow-ed ono depositor. Fundo In the Local Banks, Most of tho funds received from depositors de-positors will bo placed in local banks throughout the country so that tho monoy will bo available for current commorclnl needs. These doposlta will bo secured by bonds deposited by tho banks with the treasurer of tho United States. Five per cent of the deposits will be held by the treasurer of tho United Statos as a reserve and thp board of trustees Is authorized to Invest 30 per cent lu United States bonds. Tho faith of the fulled States is pledged to tho payment of all deposits, depos-its, with accrued Interest. Savings Certificate Plan. The savings certificate plan of Indicating Indi-cating deposits wns adopted upon the recommendation of tho committee of experts appointed last Juno by Pont-mnKtor-Genoral Hitchcock. It was found that the expense of oporatlng Hie pass-books system In foreign countries was vory grenL the central offico In England requiring tho services serv-ices of several thousand book-keepers to transact the postal savings business. busi-ness. Under the certificate plan, the expense ex-pense largoly is eliminated. Each certificate cer-tificate issued will speak for Itself. It Is believed tho systom adopted will afford crory safeguard provided by the foreign plans, without their complexity com-plexity of detail. A certificate will be payable only to the person whose name it beara, and if lost may bo replaced by a new certificate upon satlafactory proof of loss by tho dopositor. Provo to Cet a Bank. Among the postoffices designated by Postmaster-General Hitchcock, pot tal savings depositories are the following, fol-lowing, all of the offices being of the second class: Globo, Ariz ; Orovllle, Cal.; Lcad-lllc, Lcad-lllc, Colo.; Coeur d'Aleno. Idaho; An-aconda, An-aconda, MonL; Carson City, Nevada; Klamath Falls, Oregon; Provo, Utah: Olympla. Wash., nnd Laramie, Wyoming. Wy-oming. If the system adopted proves successful, suc-cessful, It Is planned to extend the servico as rapidly ub practicable. In time, probably, every money ordor postofflce In the country will be a postal savings depository. |