From time to time there have been added to the functions of the Post Office Department certain activities generally termed the "special services." The first special service was registered mail, inaugurated in 1855, to provide for greater security of valuable letters. Since that time other services have been added as the needs of the public dictated. At the present time the special services of the Department may be conveniently grouped under seven headings as follows: registry, money orders, special delivery and special handling, postal savings, collect-on-delivery, insurance, and certified. (Tables XI to XIX.)

The registration service began in 1855 with a simple fee of 5 cents a piece, applicable only to first-class mail and providing no indemnification or liability for loss. Later this service was extended to all classes of mail. In 1898 a nominal indemnity, not to exceed $10, was added and from then on this protective feature was gradually extended. The basic rates for registered mail are indicated in Table XI.

As shown in Table XII, certain surcharges are also applicable, depending on the declared value of the item being mailed. The surcharges are computed on the excess of the stated value of the registered article over the limit of indemnity covered by the regular registry fee paid. Until 1954 the surcharge applied to any excess, but thereafter was chargeable only when the excess was $1,000 or more. The surcharges were imposed to provide additional revenue to make this service more nearly self-supporting and to help defray additional expenses resulting from the greater risk and the more costly security measures required in handling registered mail of greater value than that represented by the indemnity-based fees.

Extra charges, as outlined in Table XI, are also made for return receipts with the charge varying according to the information desired by the mailer. Also, there is an additional fee for delivery of registered letters restricted to addressee only.

The establishment of a parcel post system in 1913 raised the question of providing registration for the anticipated avalanche of parcels. It was felt at that time that the burden would be too great for the then available registration facilities. This situation led to the inauguration of a system of insurance designed especially for parcel post mailings. This service is discussed more fully under the heading "Insured Mail."

The last revision made in the registry service was in 1955. No-indemnity registered mail with a fee of 30 cents was eliminated when a new "certified" service was inaugurated, as discussed under that heading.

The domestic postal money order system, established in 1864, was designed to promote public convenience and to insure greater security in the transfer of money through the United States mails.

The main reason for inaugurating the new system was to obviate the common practice of enclosing currency in letters, which encouraged depredations and thefts. Another important reason was the demand for a convenient means by which Civil War soldiers could send money to their relatives. The service was initiated at a select group of post offices and was eventually extended to practically all post offices, stations, and branches.

Since the beginning of the service the form of the money order has undergone numerous changes in attempts to improve the service, reduce the cost, and enhance the safety factor.

The first money orders in 1864 were limited in amount to a maximum of $30. Experience soon dictated that a larger maximum was required, and by 1883 it had been increased to $100, where it has since remained.

The growth in the demand for money orders has somewhat paralleled the increased activity of the mail order business and the growing use of the COD service. Money orders have made available to the American public, at nominal fees as indicated in Table XIII, a convenient and safe method of transferring funds at low cost.

Postal notes, which were auxiliary to the money order system, were issued during two different periods, as shown in Table XIV.

The first form of postal note was issued from 1883 to 1894, as a cheaper and more convenient means than the money order for sending small sums under $5.

Postal notes were again issued from 1945 to 1951, for amounts not exceeding $10. These notes were experimentally in the form of punched cards, which feature was later adopted for a new form of money order in 1951.

Special delivery on a limited scale was first offered in 1885. It was simply another manifestation of the public's continuing desire for faster and faster delivery of the mails. Through payment of an extra fee the public was afforded extraordinary dispatch and delivery of their mailings.

Actually, there are two types of service, the relationship of which sometimes causes confusion. One is "special delivery" and the other is "special handling." The following summary of their development will point up the difference.

Special delivery service from 1885 to 1925 consisted only of immediate delivery at office of address. This service was for all practical purposes available from the beginning to all classes of mail. Special handling was started in 1925. It consisted only of expeditious treatment in transit; it did not include immediate delivery at office of address and was restricted to only fourth-class mail.

Postal Savings Bonds in denominations of $20, $40, $60, $80, $100, and $500 were made available by the original act, into which a depositor could exchange all or part of his deposit. These bonds bore 2¹/₂ percent interest per annum. Their issuance was discontinued July 1, 1935.

A 10-cent service charge was started October 1, 1953, for each postal savings certificate of any denomination surrendered for payment within 1 month of date of issue. This charge was increased to 20 cents on November 1, 1955.

(As there are no charges connected with Postal Savings, except the incidental fee mentioned in the previous paragraph, there is no table for this service.)

Collect-on-delivery service was inaugurated in 1913 as an accessory service to parcel post (COD was at first applicable only to fourth-class matter, but later was extended to third-class and to all classes of sealed mail bearing postage at first-class rates) . Since its inception COD has been invaluable to the shipper who does not wish to extend credit and to the buyer who does not wish to make advance payment.

COD service consists of collecting from the addressee upon delivery of the item mailed the price of the item and the charges thereon (including, if desired, the postage and fee prepaid), and remitting the proceeds by postal money order to the sender. This service also includes indemnification within specified limits against injury or loss of the COD matter or non-receipt of COD returns.

In 1929 a new COD service was provided for registered mail. Since that time there have been two schedules of fees—one for nonregistered and the other for registered matter. As indicated in Table XV, the collection limit has remained the same for both nonregistered and registered, but the latter is afforded greater indemnity protection.

In addition to regular COD fees, special charges as indicated in Table XVI are made for special features of the service, such as notification of inability to deliver COD articles, restricted delivery, and alteration or cancellation of charges.

Under authority of the same law that established the parcel-post system in 1913, the Postmaster General issued regulations providing for insurance of fourth-class mail. This insurance was to cover loss, rifling, or damage within prescribed indemnity limits. In 1924, when the distinction between third- and fourth-class mail was placed on a weight basis, the insurance service was also extended to third-class.

At first the insurance fee was required to be paid only in distinctive parcel-post stamps affixed. After 6 months, however, the use of ordinary stamps was permitted.

As mentioned in the discussion regarding registry service, insurance was made available for fourth-class matter when parcel post was initiated in order to prevent an undue burden on the registry facilities available at that time. It is to be noted that the object of the insurance service is to provide indemnity for loss or damage, but the special safeguards accorded registered mail at the office of mailing, in transit, and at offices of delivery are not a part of the insurance service. The principal purpose of insured mail is to provide payment of indemnity in case of loss or damage.

When the insurance service was inaugurated, the maximum indemnity was $50. Over the years this maximum was increased to the present $200. Return receipts may be also requested by the mailer. The fees for this additional service vary according to the information desired on the receipt, as indicated in Table XIX.

On June 7, 1955, a certified mail service was inaugurated. This was the first new major service since airmail was established in 1918.

This service was designed to accommodate individuals and business firms desiring proof of delivery of mail that does not have intrinsic value. A mailing receipt is issued by the Department to the mailer, if he so desires, and a receipt showing delivery to the addressee is also obtained and kept by the Department for a specified period of time. For payment of appropriate additional charges, special delivery, return receipts, and airmail are available for certified mailings. This service includes no provision for indemnity.

At the time the certified mail service was inaugurated, no-value registered mail at a fee of 30 cents was discontinued. (Because of the newness of the service there is no table for certified mail.)