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Circular No. 8. 1920 FEDERAL RESERVE BANK OF DALLAS DALLAS, TEXAS, March 23, 1920. Method of Handling Local, Non-Cash Collection Items TO TH E M EM BER BANK ADD RESSED : Until further notice the follow ing method of procedure will be followed by the Federal Reserve Bank of Dallas and its Houston and El Paso Branches in the matter of non-cash items payable in the cities mentioned and received from member banks or Federal Reserve Banks and Branches for collection and credit when paid. P R E S E N T A T IO N O R N O T IC E : Presentation will be made, where necessary, of items payable within the city collection district as established by banking custom in the cities mentioned. In the case of paper payable outside of the established collection district, no presentation will be made, but the payers will be notified, either by mail or telephone, and requested to make proper provision therefor. This bank will undertake no liability for failure to present such items. P A Y M E N T for collections must be made in funds available to this bank before the close of its business hours on day of payment, otherwise credit will not be given sending bank until the following business day. Pri vate'checks of individuals and others will not be acceptable unless certified by the bank upon which drawn. Certified checks and Cashier’s checks of banks will be accepted, and immediate credit given sender, if received by us in time to present through the local Clearing House on day of receipt, as follow s: Dallas O ffice: 10:30 A. M. Houston Branch: 11:30 A. M., except Saturday, 10:30 A. M. El Paso Branch: 10:15 A. M. Payment made after the hours mentioned must be in cash or by check drawn on this bank or its branches, otherwise credit will not be allowed until the next succeeding business day. SPECLAL IN S T R U C T IO N S : W here instructions of a special nature accompany items sent to us for col lection they will receive our careful attention, provided they are not contrary to this bank’s policy and do not impose upon it any unnecessary liability. In' following such instructions this bank and its branches will act as agent, only. Items will be protested only when we receive definite instructions to this effect. Otherwise, dishonored items will be returned in' the ordinary course of business on day of dishonor, with reason, if any, given by drawee or payer for dishonor. Especial attention is directed to items of the various classes listed below, which will be handled in the mannei indicated: M A T U R IN G N O T E S A N D B IL L S : W here time will permit, notice will be sent by mail, notifying mak ers or payers of maturity of such items. Presentation will be made on day of maturity where necessary, and provided payers are located within the city collection district. R A IL R O A .D IT E M S : Demand items drawn on railroads, sent to us for collection, will be presented, at the op tion o’f the sender, either at their offices or at the bank which is the depositary for the railroad. In the event that payment is not made during business hours on day of presentation in funds acceptable to this bank, such items will be treated as dishonored, and returned to the banks from whom received. Where instructions accom panying items will permit of it, if especially requested by Treasurer to ao’so, items will be left with them for ex amination and investigation, proper receipt being taken therefor, but with the understanding that original items must be returned or payment made therefor to this bank, in available funds, during banking hours, on the same day. A R R IV A L D R A F T S : Drawees will be notified of the receipt of drafts that are to be held for arrival of shipments, with request that provision be made therefor as soon as shipments are received. Inasmuch as we have no facilities for knowing when such shipments are received, this bank cannot assume responsibility for de lay in payment. SIG H T A N D D E M A N D D R A F T S : W here necessary, drafts of this nature will be presented on day of receipt, if received soon' enough before our closing hour, and provided they are payable within the city collection district, otherwise drawees will be notified by mail or telephone. Dishonored items will be promptly returned in accordance with the instructions of the sending bank. This bank, acting in the capacity of agent, will assume no responsibility beyond the exercise of reasonable care and diligence in the handling of items received by it for collection. Respectfully, This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)