WELLINGTON NEWS

Hokitika Guardian, 8 September 1925, Page 4

WELLINGTON NEWS

TIIK P.O. SAVINGS HANK

(Special to "Guardian”.)

WELLINGTON, September 1

Although it appears to be a pleasant past-time with some people to jibe at the extravagance ami spending propensity of the people these censures are not really merited lor it can be claimed with confidence for the people of New Zealand that they are thrifty. Mr 11. I). Kdwards, Assistant Controller of the I'.O. Savings Hank recently delivered a lecture belore the Welling-

ton Students Accountants Society on ••The Kinnncial System and Accounts of the I’.O. Savings Hank,” in which he pointed out that out of a population of 1.32.7,000 there were over 730.0f)0 depositors. That is well over oO per i cut ol t la* population, made Use of the I’.O. Savings Hank, ami that in itself

is ;! wonderful tribute to the value oi the institution. The I’.O. Savings Hank was first established in New Zealand on February 1. 1 Go, and he maintained that the Host Office ol till institutions seemed to he the best adapted to carry the influence of the Saving Hank to every fireside, having a post office in every centre, largo and small. The number of depositors have grown very considerably in re-

rent years anil that may he attributed in part to the fact that women arc more generally employed now than ten or fifteen years ago, and women arc naturally thrifty. The P.d. Savings Hank does a wonderfully effective service in encouraging thrift, and is real-

Iv generous in the rate of interest it allows on what are essentially deposits at. call. In so encouraging thrift the Government benefits, for it obtains loan money without going upon the market, for all the money deposited with the P.d. Savings Hank, with the

exception of a small portion used as till niotiev, is invested in Government

securities, and those represent loans made to the Government. Last year the amount paid to depositors as interest Wits kb.fiSO.Plil, and this means that the aggregate* of the deposits exceeded L‘ 10.000,0 PM. Children are encouraged in the habit of thrift lor lorm> are provided to which can he affixed Id postage stamps until the card hears twelve stamps. The card is then accepted its a deposit to open an account. Another facility was the home savings bank box. into which could tie inserted paper money, its well as anv size of coin. Those boxes could he opened only b.v the I’.O. In recent years the office has provided many facililios and privileges. A recent innovation has been llie nomination system whereby a depositor could nominate anv one or more persons to receive, upon bis or her death. the amount at credit of the savings bank account, a class of nomination not alfected by a will. Another considerate arrangement was that, provided the amount at credit of the account did not exceed L’l'OU at the date of tile death of a depositor, the Department could pay the amount to the person entitled thereto, without requiring probate or letters of administration. There was also in operation a reciprocal arrangement between New Zealand and Australia, and New Zealand and the I'nited Kingdom for the transfer of accounts of persons changing their domicile. .MONEY EOlf HOUSINC. It was stated in the House by the .Minister for Finance that the solution ol the housing problem could not lie completed by the Government alone, and that the help of private capital was necessary. It was pointed out then liy many people that the conditions evolved l,v the (tin eminent in its efl'orf to maintain its political supremacy wen- such as to make it impossible for private capital to assist in

the enterprise to any great extent. The Government is willing to lend at

a per cent and up to 95-per cent of t‘‘e value. No private capita I i- 1' would think of doing .such a foolish thing for lie knows that ,'trli financing spells loss. The Covenimenl does it because it lots the power to plunder from the taxpayers the loss that may be incurred. A private capitalist mu.t bear the loss bin. ‘self and that makes him card til. 'I In* members of lbe (lovernmont do not bate to mala good any smlt Ins-, neither do they snlfer in prestige, on tlie contrary it is considered statesmanship lo indulge in "high nuance.” The Housing Committee of the Christchurch City Council has been nosing around trying to raise CT0.090 I ruin ordinary financial r|tiartor.s al a cost somewhat, eouiv.ilent to dial paid tor (loveriimoni housing bains and lailed in its (|iiest. The notion of Ibis housing comnnltee proves that •• ordinary financial (pinners ” do not harbour congenital idiots, or statesmen who play in the "high finance” key. Ibe CIO.(100 could not he rat-etl tinder 0 per cent, and ns filings stand to-day it was a cheap rate. It a local body cannot raise money at |e>s than 0 per tent in “ordinary financial (putrtors ” what, elm tu e lias tile home builder got el raising money at a cheaper rale and up In 95 per cent of the value of (he property. The f.'overninenl stepped in ami set a •• Nurmi ” pace across the country anil must rnntiniie nit.