JANUARY 1, 1911 - US POSTAL SAVINGS SYSTEM OPENS

1911 - US POSTAL SAVINGS SYSTEM OPENS
The Postal Savings System offered savings accounts to depositors, but no loans. When banks failed after the Great Depression, many people shifted their remaining funds. With post officers serving as bank branches, the Postal Savings System held upwards of 20% of the nation’s savings in the mid 1940’s. Commercial/corporate banks lobbied against their expansion and for their elimination — which occurred in 1967.