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F E D E R A L R E S E R V E BAN K
O F NEW YORK

r
Circular No. 3 0 8 0 , April 24, 1946
LSuperseding Circular No. 2532, dated October 29, 1942..

DISCOUNT RATES

To all Member Banks, and Others Concerned,
in the Second Federal Reserve D istrict:

Effective April 25, 1946, we have discontinued the differential rate of
per
annum on advances to member banks under the eighth and thirteenth paragraphs of
section 13 of the Federal Reserve Act secured by obligations of the United States
maturing or callable in one year or less. The rate of 1% heretofore applicable to
advances to member banks secured by obligations of the United States which do not
mature or become callable until after one year will hereafter be applicable to advances
to member banks secured by any obligations of the United States irrespective of the
date upon which the obligations mature or may be called.
We have also discontinued the rate of 1% per annum on advances to nonmember
banks under the last paragraph of section 13 secured by direct obligations of the
United States. The rate of 21
/£% heretofore applicable to advances to individuals,
partnerships and corporations other than banks under such paragraph secured by
direct obligations of the United States will be applicable hereafter to similar advances
to nonmember banks.
On the following page is a schedule of the rates with respect to discounts,
advances and commitments made under the Federal Reserve Act which are now in
effect at this bank.




A

llan

S

proul,

President.

R A T E SCHEDULE OF FE D E R A L R E SER V E B A N K OF N EW Y O R K
In Effect A p ril 25, 1946

Per Cent
Per Annum

Discounts for and advances to member banks:

(a ) Discounts and advances under sections 13 and 13a o f the Federal Reserve A c t . . . .

1

(b ) Advances under section 1 0 (b ) o f the Federal Reserve A c t .........................................

V/2

Advances to individuals, partnerships and corporations other than member banks:
Advances under the last paragraph o f section 13 o f the Federal Reserve A ct secured
by direct obligations o f the United States..................................................................................

2^

Industrial advances and commitments under section 13b of the Federal Reserve Act:
(a ) Advances direct to industrial or commercial businesses, includ­
ing advances made in participation with financing institutions..........................
(b ) Commitments to make advances direct to industrial or commercial businesses .............................................................................

(c ) Advances taken over from financing institutions under
commitments ......................................................................................

(d ) Commitments to financing institutions.............................................

2^

to 5

10 to 25% o f rate to be
charged borrower with a
minimum o f V^/o*
rate charged borrower on
portion fo r which Federal
Reserve bank assumes the
risk, and rate charged bor­
rower less the commitment
charge on portion on which
financing institution as­
sumes the risk
10 to 25% o f rate charged
borrower with a minimum
o f V2 % , provided that no
commitment shall be given
on loan on which borrower
is charged more than 5%.*

* N ote: The foregoing rates for commitments (subparagraphs (b ) and (d ) above) are subject to the following
exception:
With respect to any loan as to which a guarantee is issued under Regulation V o f the Board o f Governors
of the Federal Reserve System, the maximum commitment rate will be % % per annum or in the alternative a
flat fee of not to exceed $50.





Federal Reserve Bank of St. Louis, One Federal Reserve Bank Plaza, St. Louis, MO 63102