46 
POSTAL SAVINGS 
bonds is the provision of the act 34 that any deposi 
tor in a postal savings bank may surrender his 
deposit, or any part thereof, in sums of $20, $40, 
$60, $80, $100 and multiples of $100, and $500, 
and receive therefor the amount surrendered in 
United States coupon or registered bonds of the 
denominations mentioned above. These bonds 
bear interest at the rate of 2£ per cent, payable 
semi-annually, and are redeemable one year from 
date and payable twenty years from date. They 
may be issued “only (first) when there are out 
standing bonds of the United States subject to 
call, in which case the proceeds of the bonds shall 
be applied to the redemption at par of outstand 
ing bonds of the United States subject to call, 
and (second) at times when under authority of 
law other than that contained in this act the Gov 
ernment desires to issue bonds for the purpose of 
replenishing the Treasury, in which case the issue 
of bonds under authority of this act shall be in 
lieu of the issue of a like amount of bonds issuable 
under authority of law other than that contained 
in this act.” 
Aside from its relation to the subject of the re 
tirement of United States 2 per cent bonds and 
to various proposals for banking reform which 
were before the public in 1910, this provision of