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Circular No. 7.
Series of 1929.

Federal Reserve Bank
of Dallas

M O N E Y S H IP M E N TS
A N D R E C E IP T S

August 17, 1929

Dallas, Texas

This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)

To the Member Banks of District No. 11:
This circular supersedes all previous circulars governing the shipment of currency and
coin.
The following information and procedure apply to shipments of money forwarded to the
Federal Reserve Bank of Dallas, and to shipments made by the Federal Reserve Bank of Dal­
las, at the request of member banks.
Unless otherwise stated, the term “ Federal Reserve Bank of Dallas” includes its El Paso,
Houston and San Antonio Branches.
Section I. GENERAL PROVISIONS.
In accordance with the terms of this circular, the Federal Reserve Bank of Dallas will pay
charges on necessary telegrams and will absorb all expense of transportation and insurance
incident to the shipment of currency and coin to member banks. Transportation and insurance
costs will also be absorbed on shipments of currency and coin from member banks when pre­
pared and forwarded in accordance with the following provisions, otherwise such costs will not
be allowed.
Section II. PREPARATION FOR SHIPMENT.
1. Paper Currency:
(a) Assort all currency by denominations and keep separate the old-size and the new
small-size currency. Old-size and new-size currency must never be placed under same
strap nor in any way mingled.
(b) Mend mutilated or torn notes with paste or adhesive paper, preserving, as far as
possible the original size of notes. Pins, clips and other metallic substances should
be removed, since they will damage the machinery used in punching and cutting
currency and might cause injury to the handlers.
(c) Enclose each 100 notes of the same size and denomination, face and top up, under
a paper strap with the amount and name of the remitting bank thereon.
(d) Send one copy of advice of shipment by regular mail and enclose one copy with
shipment.
(e) In the presence of a witness count packages, tie securely in bundles, place in canvas
sacks, and seal bags with lead or wax seals. If wrapped in paper, use three thick­
nesses of good quality paper and seal securely with wax.
(f) Because a registration fee of 15c is charged on each bag or package, put shipment
in as few sacks as possible.
2. Coin:
(a) Prepare coin for shipment by putting it loose in cloth bags— a separate bag for
each denomination, each bag tagged plainly to indicate amount and denomination

enclosed. Do not include any coin in wrappers, envelopes, or rolled m paper.
(b) Do not ship in any one sack more than $5,000 in gold coin, $1,000 in silver, $250 in
nickels, or $100 in 1-cent pieces. Double sack all gold.
(c) Do not include in shipment any foreign or mutilated coin, or coin to which paper or
any other substance is attached, or upon which any name or advertisement is stamped
or impressed.
(d) Send one copy of advice of shipment by regular mail, and enclose one with shipment.
(e) Seal bags with lead or wax seals, and ship by express collect.
(f) Preserve express receipt for use in case of loss.
Section III. METHOD OF SHIPMENT.
1. Ship by registered mail:
(a) All currency in denominations of $5 and over.
(b) $1 and $2 bills in amounts not to exceed $1,000.
Shipments on which a registration fee of 15 cents per package is paid are handled in
exactly the same manner as those on which a higher fee is paid, any amount over 15 cents
being to cover insurance. As all shipments are insured under our policy, no additional insur­
ance is necessary; therefore, all shipments, regardless of amount, should be registered under a
15-cent fee for each package.
Registry receipt should be preserved for use in case of loss.
2. Ship by express collect:
(a) One and two-dollar bills in amounts over $1,000.
(b) Gold coin, silver dollars, subsidiary silver and minor coins.
Section IV. ADVICE OF SHIPMENT.
On date of shipment an advice must be sent by regular mail to the head office or branch
to which shipment is consigned. Advice must state:
(a) Total amount shipped.
(b) Whether sent by registered mail or by express. (If by registered mail, request in­
surance under our policy.)
(c) Instructions as to disposition. (If no instructions, shipment will be credited to reserve
account.)
(d) Amount of postage paid on shipment.
(e) Number of packages composing shipment.
Advices of shipments by registered mail and express should be made separately.
A copy of advice should be placed in shipment, and if shipment consists of more than
one package, a memorandum should be placed in each package showing amount of contents.
A supply of special forms for your convenience in making shipments will be forwarded to
you upon request.

Section V. ADDRESSING SHIPMENTS.
All packages or bags of money sent by registered mail or by express should be addressed
either to the Federal Reserve Bank of Dallas or to the branch to which the member bank is
attached.
Mark each package with the name and address of the sending bank, and when shipped
by express, see that amount contained in each sack or package is shown on tag or wrapper.
A branch of the Dallas Post Office known as “ Station K” is located in the Federal Re­
serve Bank Building, and, to insure prompt handling, all registered mail forwarded to the head
office at Dallas should be addressed “ Federal Reserve Bank of Dallas, Station K, Dallas, Texas.”
Section VI. ENTRIES IN RESERVE ACCOUNT OF MEMBER BANK.
The reserve account of the member bank will be charged to cover all shipments of cur­
rency or coin. In case a draft is enclosed with the request for shipment, the draft will be
entered for collection and the proceeds will be passed to the member bank’s reserve account as
soon as available for reserve and checking purposes.
Immediate credit, subject to count and verification, will be given upon receipt of ship­
ments of currency or coin. Credits covering currency shipments will include an amount to
cover necessary postage and registration fee. Amount of postage prepaid on shipment should
be indicated in advice of shipment.
Foreign, mutilated, altered, or counterfeit currency or coin included in shipment through
oversight will be charged to the account of the sending bank after examination and verifica­
tion have been completed.
While it is necessary that a member bank’s reserve account be charged with the total
amount of a money shipment on date made, and credited with amount of shipment on date re­
ceived, in instances where a member bank’s reserve balance is deficient because of a charge
covering a shipment made or credit covering a shipment received, the Federal Reserve Bank
of Dallas will make analysis adjustments in the reserve balances of member banks covering
the ordinary time in transit of both incoming and outgoing shipments.
Section VII. GOLD COIN— ABRASION AND LIGHT WEIGHT.
Gold coin shipped to the Federal Reserve Bank of Dallas will be credited at face value on
date received subject to weight and verification. Any loss due to abrasion will be charged back
to the sending bank at the Government rate of 2 cents for each half grain under standard
weight.
The “ standard weight” and “ least current weight” of gold coin are given in the following
table:

$20
Standard weight ........................................-..... 516

grains

Least current weight....... ............................... 513.42 grains

$10
258

grains

256.71 grains

$5
129

grains

128.36 grains

Section VIII. MUTILATED CURRENCY AND COIN.
Do not include part bills or mutilated coin in shipments; send under separate cover.
1. Currency:
Any portion of a note will be redeemed at face value by Treasury Department when ac­
companied by acceptable affidavit showing that missing portions have been destroyed. Affi­
davit should show cause and manner of destruction of missing portions, and must be subscribed
and sworn to before a notary public, who must impress his seal and show date of expiration
of his commission. In addition to affidavit, there should be furnished a certificate, to be exe­
cuted if possible by an officer of an incorporated bank or trust company, setting forth the fact
that said officer has read the affidavit and that the affiant is a reputable person in the com­
munity and, in the judgment of the officer worthy of belief.
Redemption value of mutilated currency where no affidavit is furnished is as follows:
(a) More than 3/5 of a note................. ............. ........... ...................... ....... ....... .....Face Value
(b) Less than 3/5, but clearly more than 2/5..__ ______ __ ____________ _____ Half Value
(c) 2/5 or less............ ............. ............. .............................. —----- ------------------- ------ No Value
2. Silver Coin:
No mutilated coin is redeemable at face value. It may, however, be forwarded to the Fed­
eral Reserve Bank to be sold to the United States Mint at bullion value.
Coin is mutilated when punched, clipped, chipped, or otherwise appreciably reduced in
weight by any means except natural abrasion.
Coin to which paper or any other substance is attached or upon which any name or other
mark is impressed is considered mutilated and not redeemable at face value.
Uncurrent coin, that is, coin reduced in weight by natural abrasion, when it can be clearly
identified as to denomination and genuineness, will be accepted at face value.
Section IX. NATIONAL BANK NOTES.
National Bank Notes will be received on a parity with other forms of currency when sent
to us in the regular natural course of business, but new uncirculated National Bank Notes will
not be received when sent to us by the issuing bank in order to place the notes in general cir­
culation, or when sent to us in bulk by any member bank to which the issuing bank may
have sent them.
Section X. FOREIGN CURRENCY AND COIN.
Foreign currency and coin will not be accepted and when tendered will be returned to
the shipping bank.
Section XI. COUNTERFEIT OR ALTERED MONEY.
In accordance with the regulations of the Treasury Department a receipt will be issued
to the depositing bank for currency or coin that is found to be counterfeit or altered, and the
notes or coin will be delivered to the operative in charge of the United States Secret Service

Department. If inspection of such specimens is desired for reclamation purposes, request should
be made direct to that office.
Section XII. INSURANCE ON MONEY SHIPMENTS WHILE IN TRANSIT.
Upon receipt of advice forwarded by regular mail covering shipments made by registered
mail, such shipments will be insured under our policy without cost to member banks.
Our policy covers money shipments from the time of leaving the office of sender until de­
livered to the office of addressee, except it does not cover loss through dishonesty on the part
of the employes of any bank by whom or to whom the package was shipped.
In order to effect insurance, shipments must be prepared and dispatched as provided in
this circular, and in advice of shipment insurance under our policy must be requested.
In the event of loss, the Federal Reserve Bank will make claim on behalf of the member
bank for the amount of the insurance involved.
Section XIII. SHIPMENTS OF CURRENCY AND COIN MADE AT THE REQUEST OF
MEMBER BANKS.
Requests for money shipments may be made by letter over properly authorized signa­
ture, or by telegram followed by officially signed confirmation. Telegrams in A. B. A. code,
with proper test word, may be sent collect, but member banks are asked to make their requests
by mail unless immediate shipment is important. No telegrams pertaining to money shipments
should be sent except in code. In order to safeguard the interests of our member banks and
ourselves, it is our policy not to accept telephone orders for money.
Currency, silver and minor coin can be furnished in all denominations, and gold coin in
denominations of $5, $10, and $20.
For your information, coin is put up in standard sized sacks as follows:
Dollars ...... ..... .... ............ —$1,000
Halves ............ -_____ _____ 1,000
Quarters .................. —......... 1,000

Dimes .............. ....... ....... .... $1,000
Nickels ........ ..................... .
250
Cents ............... ........... ........ 100

In addition to the standard sized sacks, we also carry, for the convenience of banks un­
able to use larger quantities, a small supply of dollars, halves, and quarters in $500 and $200
sacks; dimes in $500 and $100 sacks; nickels in $50 sacks, and cents in $20 sacks. It will greatly
facilitate handling if shipments are requested accordingly.
At the request of member banks, shipments of currency or coin will be made to their
correspondents. Transportation charges on such shipments made to non-member banks will
not be absorbed by the Federal Reserve Bank of Dallas, but will be charged to the account
of the requesting bank.
Payment of new currency by Federal reserve banks is governed entirely by the amount
of used currency, fit for circulation, on hand. The payment of new currency may be suspended
temporarily at any time without notice, depending upon the amount of fit currency on hand.
Money shipments will be forwarded by registered mail, insured under this bank’s regis­
tered mail policies, and in the event of known loss this bank will make claim on behalf of the
member bank for the amount of insurance involved.

Mail advice is sent member banks covering each shipment. Where shipments are not re­
ceived promptly, please give notice by telephone or telegraph to our office making the ship­
ment.
There is enclosed with each shipment an invoice describing contents, a receipt to be signed
and returned, and an addressed envelope. Immediately upon receipt, shipment should be veri­
fied, receipt officially signed and returned in envelope provided for that purpose.
Requests for shipments of currency and for coin (when ordered in standard sacks) which
are received prior to 3:00 p. m., (Saturday 1:00 p. m.), will be acted upon the day received.
Requests received after 3:00 p. m., (Saturday 1:00 p. m.), will be acted upon the following
business day.
Member banks availing themselves of the currency and coin service will be understood
to have agreed to the foregoing terms and conditions.

Yours very truly,

Governor.

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