Full text of District Notices (Federal Reserve Bank of Dallas) : [Bulletin No, 8 Instruction Card, Dated March 4, 1958]

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F e d e r a l R e s e r v e Ba n k
O F D A LLA S

Dallas, Texas, March 4, 1958

To the Member and Par Remitting Nonmember Banks
of the Eleventh Federal Reserve D istrict:

The printed instructions on our cash letter form, Tr. 1, have been omitted
on new supplies recently obtained. Our Dallas and El Paso offices have begun
using the new forms, and our offices at Houston and San Antonio will begin
using them as soon as their supplies of the older forms are exhausted. The
removal of these instructions does not change in any way the application
of Bulletin No. 8 with respect to the handling of items received in our cash
letters.
We believe, however, that it would be helpful to officers and employees
handling our cash letters to have for convenient reference an instruction
card highlighting certain pertinent provisions of the bulletin. With this
thought in mind, we have prepared the enclosed card which is arranged for
hanging or mounting in a suitable place or for placing in a three-ring binder
that will be easily accessible to such personnel.
In requesting additional copies of the card please specify “ Bulletin No.
8 Instruction Card, dated March 4, 1958.”
Yours very truly,
Watrous H. Irons
President

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

FEDERAL RESERVE B A N K
O F D A LLA S

Bulletin No. 8
IN STR U C T IO N C A R D
M a rch 4, 1958

THE FOLLOWING SU M M ARY OF INSTRUCTIONS, BASED O N PARAGRAPHS 22 TO 28 A N D OTHER
PROVISIONS OF OUR BULLETIN NO. 8, IS FOR CONVENIENT REFERENCE IN THE HANDLING OF ITEMS
RECEIVED IN CASH LETTERS FROM THE FEDERAL RESERVE BANK OF DALLAS AND ITS BRANCHES
Remitting for cash letters
(a) R e m it f o r ca sh le tte rs o n d a y o f re ce ip t a t p a r in im m e d ia te ly a v a ila b le o r acc e p ta b le fu n d s.
(b) Return w hite copy of cash letter w ith remittance a n d retain y e llo w copy for you r records.
(c) In case of error in listing or item m issing, correct total of cash letter an d tape list; e xplain correction a n d give p o si­
tion on tape list w here difference found.
Return of u n p a id checks
(a) W e w ill re c e iv e f o r cre d it o r re fu n d c a sh ite m s w h ich a r e re tu rn e d to us b y co lle c tin g a n d re m ittin g b a n k s in
a c c o rd a n c e w ith p a r a g r a p h (4 ) o f Se c tio n 5 o f R e g u la tio n J, se t fo rt h b e lo w :
“(4) A n y check w hich a Federal Reserve b a n k or an agen t thereof presents to the d raw ee b a n k for paym ent
or se nd s to the draw ee b a n k for collection, a n d for w hich remittance or settlement is m ad e b y the draw ee
b a n k on the d a y on w hich it receives3 such check, m a y be returned for credit or refund at a n y time prior to
m idnight of the d raw e e ’s next b u sin ess d a y follo w in g such d a y of receipt or prior to the time provided b y
ap plicable clearing house rule or special collection agreement, w hichever is earlier, except that this p a ra ­
g ra p h shall not a p p ly to checks presented over the counter.
>>8A check received b y a draw ee bank on a d a y other than its business day, or received on a business d a y after its regular business hours or
during afternoon or evening periods w hen it has reopened (or rem ained open) for limited functions, shall be deemed to have been received
on its next succeeding business d a y.”

Such provision of Regulation J d oe s not m ean, how ever, that a n y b a n k is required to follo w the practice of d e la y in g the
return of u n p a id cash items; a n d a n y collecting or remitting b a n k m ay continue to return unpaid cash items w ith its
remittance on the d a y of receipt.
(b) If u n p a id items are returned on the d a y of receipt, they sh ou ld be deducted from a n d returned w ith the remittance for
the cash letter in w hich the items w ere received. Those items for w hich remittance h a s been m ade on the d a y of
receipt an d on w hich paym ent is revoked in accordance w ith p a ra g ra p h (4) of Section 5 of Regulation J m ay be
returned the fo llo w in g b u sin ess d a y a n d m a y be deducted from the remittance for the cash letter received on such
fo llo w in g b u sin ess day; h o w e v e r, if n o c*ash le tte r is re c e iv e d o n such f o llo w in g b u sin e s s d a y , th e ite m s sh o u ld
n o t b e h e ld b u t sh o u ld b e re tu rn e d to u s s e p a r a t e ly f o r cre d it o r re fu n d . The tra n sm itta l le tte r re tu rn in g
such u n p a id ite m s s h o u ld b e c le a rly m a r k e d R ET U R N IT EM LETTER a n d s h o u ld n o t in clu de o t h e r ite m s.
(c) A b a n k m a y return to us w ithout entry a n u n p a id item w hich it h as failed to return in time, w ith a request that w e
a s k our se nd ing b a n k to m ake refund.
(d) Each item returned u n p a id sh ou ld bear a notation clearly indicating the reason for return.
(e) C o m p le te d e sc rip tio n sh o u ld b e m a in ta in e d o n all re tu rn ite m s, in c lu d in g a m o u n t, m a k e r , p a y e e , d a te o f
cash le tter in w h ic h re ce ive d , a n d tra n sit n u m b e r o r n a m e o f o u r im m e d ia te ly p re c e d in g e n d o rse r. It is n o t
n e c e s s a r y to se n d d e sc rip tio n a lo n g w ith ite m s re tu rn e d b u t co m p le te re c o rd (b y m icrofilm o r o th e r su ita b le
m e a n s) sh o u ld b e k e p t b y re tu rn in g b a n k . Su ch re c o rd s a r e e sse n tia l in tra c in g lo st item s.
Uniform instructions regarding protest a n d wire advice of n onpaym ent
(1) D O N O T PROTEST items of $ 5 0 0 or less.
(2) PROTEST dishonored items of $500.01 or over, except those b earin g on their face the A.B.A. no protest sym bol of a
Federal Reserve b a n k or of a preceding b a n k endorser.
(3) D O N O T W IR E A D V IC E of n on p aym e n t of items of less than $1,000.
(4) W IR E A D V IC E of n on p aym e n t of all items of $1,000 or over, except those not p a id because of m issing, irregular or
unsatisfactory endorsem ent a n d those bearing on their face “ D O N O T W IR E N O N P A Y M E N T ” w ith the A.B.A. transit
num ber of a Federal Reserve b a n k or of a preceding b a n k endorser. Include in the w ire advice of nonpaym ent the
A.B.A. transit num bers or the nam es of the two endorsers im m ediately preceding the Federal Reserve bank.
(5) D O N O T PROTEST A N D D O N O T W IR E A D V IC E of n on p aym e n t of a n y check, regardless of amount, endorsed by the
Treasurer of the United States, or endorsed for credit to the Treasurer of the United States, or b earin g on its face or
in an endorsem ent the legend “This check is in paym ent of a n ob ligation to the United States a n d must be p aid at
par. N.P. Do not w ire n on p aym e n t” or w ord s of sim ilar import.
Preparation of wire ad vices of non p aym en t
In fu rn ish in g w ire advices of nonpaym ent, please prepare w ires in the fo llo w in g specim en form:
“ Returning $ 1 ,5 1 3 .2 4 insufficient funds yours 18th endorsed (A.B.A. numbers or nam es of our two preceding e ndorsers)"

A w ire prepared in this form give s all essential inform ation.
F O R DETAILED IN S T R U C T IO N S REFER T O P A R A G R A P H S 2 2 T O 2 8 O F BULLETIN N O . 8 A S W ELL A S O T H E R A P P L I­
C A B LE P R O V IS IO N S , A S REFERRED T O IN F O O T N O T E 1, P A G E 1 O F BULLETIN N O . 8.