| |
|
THE POST OFFICE SAVINGS ACCOUNT
 The Post Office
Savings Account book has closed, after a long and happy
life in which it introduced millions of children to
Prudence, long before Gordon Brown came on the scene. It
became the final withdrawal, going to the Post Office
counter. National Savings' Ordinary Account, better known
as the Post Office Savings Account, inevitably fell
victim to the unstoppable influence of hi-tech banking.
With its famous blue pass book, and a minimum opening
balance of just £1, the account earned a cherished place
in the hearts of young savers. For many it was a stepping
stone from piggy bank to full-blown current account; a
sensible refuge for pocket money and crisp new fivers
found in birthday cards from doting grandparents.
Launched in 1861, by Chancellor of the Exchequer William
Gladstone, the Post Office Savings Account sought to
restore confidence among savers after a run of collapsed
private investment schemes (sound familiar?). It was an
instant success, helping ordinary wage earners put money
aside for a rainy day while boosting the government's
coffers.
But over time, poor interest rates and an increasingly
vigorous private banking sector led savers elsewhere.
Latterly, the savings arm of the Post Office become
National Savings, and the account renamed the National
Savings Ordinary Account.
There are still 13 million accounts in existence, but
neglect and disuse means that 80% are probably completely
forgotten about. Each week, about 250 books are returned
to be converted into decimal currency, a sign they
haven't been accessed since 1971.
The account has been replaced by the cumbersomely-named
National Savings and Investments Easy Access Savings
Account. The blue pass book has given way to an ATM card
and a £100 minimum opening balance.
|
