96

POSTAL  SAVINGS

(H.  R.  7967)  had  no  reference  to  the  provisions
of  the  bill  raising  the  limits  on  deposits.  In  the
next  session  of  Congress  a  new  bill  providing  for
the  raising  of  the  limits  was  introduced  by  Representative ­
  Moon.  By  this  time  the  Postal  Savings
Bank  Legislative  Committee  of  the  Savings
Bank  Section  of  the  American  Bankers  Association ­
  had  withdrawn  its  opposition  to  the  legislation. ­
 41  With  the  bankers’  organized  opposition
removed,  the  proposed  legislation  had  fairly  clear
sailing,  and  the  bill  (H.  R.  562)  became  law  by
the  signature  of  the  President  on  May  18,  1916.
The  new  act  repealed  the  provision  of  the  organic
law  which  imposed  a  limit  of  $100  on  the  amount
that  could  be  deposited  in  one  calendar  month,
raised  the  interest  bearing  limit  from  $500  to
$1,000,  and  provided  “that  the  Board  of  Trustees
may,  in  their  discretion,  and  under  such  regula-41
  The  committee  reported  to  the  Savings  Bank  Section
of  the  American  Bankers  Association,  September  7,  1915:
“It  is  understood  that  the  Sixty-fourth  Congress  will  enact
legislation  raising  the  limit  of  interest  bearing  deposits  to
$1,000  and  giving  discretionary  powers  to  the  Board  of
Trustees  to  accept  an  additional  $1,000  without  interest.
From  the  knowledge  acquired  by  your  committee  in  its
efforts  to  have  the  original  Moon  bill  amended,  and  from  a
frank  interchange  of  views  with  the  Director  of  the  postal
savings  system,  we  feel  that  the  desire  of  the  trustees  for
this  increase  of  authority  is  not  unreasonable  and  will  not
work  any  hardship  upon  our  savings  banks.  .  .”  Com.  &
Fin.  Chron.,  A.  B.  A.  Conv.  Suppl.,  Sept.  18,  1915.  p.  181.