In those localities where state savings banks are adequately provided for the convenience of the people. as in the large cities. the class of depositors that will be mainly attracted by the postal savingsbank system will be those who for whatever cause are not willing to intrust their hardearned savings to existing banking institutions and who consequently now make enormous contributions to the hoarded funds which are annually diverted from the natural channels of trade. I frankly concede that the state savings banks are among the safest depositories in this country and that the danger of loss from the failure of such institutions is very small. The fact. nevertheless. remains that there are millions of our population. particularly among the foreign born. who have a deepseated distrust of existing banking institutions and who are not possessed of sufficient information to enable them to discriminate between safe and unsafe depositories. Consequently large numbers of such people who. by the hardest kind of hard work and by the most painful economy. have saved a few dollars. prefer to keep their reserve funds in hiding. The Government. however. does not incur their distrust and every one of them has absolute and implicit confidence in the credit of the Government of the United States.
Identified stereotypes
Foreign born people distrust banks and hide their money.