£3m., “But Little From P.O.S.B.”

Press, Volume CIII, Issue 30562, 3 October 1964, Page 3

£3m., “But Little From P.O.S.B.”

(N.Z. Press Association) WELLINGTON, October 2. Approximately £3 million, a figure far above most expectations, was deposited with trading banks’ savings banks on their opening day yesterday, the chairman of the Bankers* Association (Mr D. M. Arnold) said today Last night he estimated the deposit at between £1,500,000 and £2 millionBut the money deposited in

some 600 saving bank branches of trading banks does not represent withdrawal money from the Post Office Savings Bank. Judging from reports received by the Wellington head office from P. 0.5.8. branches throughout New Zealand, the department did not fare badly on the opening day of trading banks’ new branches. An officer of the P. 0.5.8. said today that business, as usual on the first day of the month, was heavy at most branches yesterday but nothing particularly disconcerting occurred. . “Deposit and withdrawal figures for yesterday have not yet been compiled—but, if there is an excess of withdrawals over deposits, it is

an insignificant amount compared with the £2 million the trading banks are reported to have taken in savings bank deposits,” he said. Yesterday, 99 accounts in the Wellington chief post office branch were closed compared with 78 on September 1. “We normally get 80 or so accounts closed on the first day of the month in this branch,” said the official. The proportion of accounts closed remained much the same in other P. 0.5.8. branches. “So you see nothing really out of the ordinary has happened after all,” he said. . But today Mr H. J. Barrett, general manager of the Auckland Savings Bank, said he was sure the new trading bank savings facilities would

definitely have a detrimental eSect on trustee savings banks. This was because the trading banks were now able to offer cheque and sayings account business under the one roof. “We are able to offer cheque accounts for societies, and it’s ridiculous that we can’t extend them to individuals,” be said. “This is the only country in the world where smaller savings banks do not have the authority to offer individual cheque accounts. We will be pressing tor a change. I think it’s only a matter of time.” Mr Barrett said about 300 accounts were opened in the bank’s new Northland branches yesterday.