it 
44 
POSTAL SAVINGS 
in bonds or other securities of the United States, 
but only by direction of the President, and only 
when, in his judgment, the general welfare and 
the interests of the United States so require.” 
Postal savings funds deposited in banks were 
to bear interest at a rate of not less than 2^ per 
cent. The provision in the Senate bill, that banks 
might give indemnity bonds as security for de 
posits of postal savings bank funds, was cut out, 
and in its place was inserted the provision: “The 
Board of Trustees shall take from such banks 
such security in public bonds or other securities, 
supported by the taxing power, as the board 
may prescribe, approve, and deem sufficient and 
necessary to insure the safety and prompt pay 
ment of such deposits on demand.” 
These provisions for the regular or contingent 
purchase of government securities were sup- 
offices in each locality were to be deposited “in banks located 
therein (substantially in proportion to the capital and sur 
plus of each such bank) willing to receive such deposits 
under the terms of this act and the regulations made by 
authority thereof. ... If no such bank exist in any city, 
town, village, or locality, or if none where such deposits arc 
made will receive such deposits on the terms prescribed, 
then such funds shall be deposited under the terms of this 
act in the bank most convenient to such locality. If no 
such bank in any State or Territory is willing to receive 
such deposits on the terms prescribed, then the same shall 
be deposited with the treasurer of the Board of Trustees, 
and shall be counted in making up the reserve of five per 
centum.” Sec. 9, Post. Sav. act.