Amid the labor upheavals of the late 19th century, many workers had a distrust of for-profit banks. Labor groups such as the Knights of Labor and the National Grange lobbied for an alternative place for everyday Americans to place their savings. The request only became more urgent after the financial crisis known as the Panic of 1907. As a result, American post offices doubled as savings banks for more than 50 years.
In 1910, despite heavy opposition from bankers, Congress passed the Postal Savings Bank Act, allowing the United States Postal Service to manage small savings accounts. This wasn’t without precedent: Great Britain established its own extremely popular postal savings system back in 1861, and many other countries followed suit.
Read the full article on History Facts:
https://historyfacts.com/us-history/fact/post-offices-used-to-double-as-banks/?lctg=3cd68388-06b2-4cf2-9a98-81789ff4cffa
