Full text of District Notices (Federal Reserve Bank of Dallas) : Discount Rates

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Fe d e r a l R e s e r v e

bank

of

Da l l a s

D A L L A S .T E X A S

April 23, 1954

DISCOUNT RATES

T o the Member Banks o f the
Eleventh Federal Reserve D istrict:
Effective April 23,1954, this bank will reduce its rates on discounts
and advances, as follow s:
The rate on discounts for, and advances to, member banks under
the provisions o f Section 13 and 13a o f the Federal Reserve A ct will
be reduced from
Per annum to 1 /4 % per annum.
The rate on advances to member banks under the provisions of
Section 1 0 (b) o f the Federal Reserve A ct will be reduced from 2 )4 %
per annum to 2 % per annum.
There is printed on the reverse side hereof a copy o f revised Bul­
letin No. 1, dated April 23, 1954, which sets forth all o f the rates
in effect at this bank with respect to discounts, advances, and com ­
mitments. This bulletin should he inserted in the ring binder previously
furnished your bank in place o f Bulletin No. 1, dated February 11,1954.
Please acknowledge receipt o f the bulletin on the enclosed postal
card.
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 BANK
OF DALLAS

BULLETIN No. 1
APRIL 23,1954
(Superseding Bulletin No. 1,
dated February 15, 1954)

RATES FOR DISCOUNTS AND ADVANCES
Under Sections 13, 13a, 13b and 10(b) of the Federal Reserve Act
To the Member Banks of the
Eleventh Federal Reserve District:
The following rates with respect to discounts, advances, and commitments under the Federal
Reserve Act are now in effect at this bank:
Discounts for and advances to member banks:
Per Annum
(a) Discounts and advances under sections 13 and 13a............................. 1J^%
(b) Advances under section 10(b)............................................................ 2 %
Advances ( up to 90 days) to individutds, partnerships and corporations,
including nonmember banks, but excluding member banks:
Advances under the last paragraph of section 13 secured by direct obli­
gations of the United States................................................................... 3%
Industrial advances and commitments under section 13b:
(a) Advances direct to established industrial or commercial businesses,
including advances made in participation with other financing insti­
tutions....................................................................................................... 3 to 5l4%
(b) Commitments to make advances direct to established industrial or
commercial businessses............................................................................ 10% to 25% of
loan rate, with a
minimum of J4%.
(c) Advances taken over from financing institutions under commit­
ments:
On portion for which a financing institution is obligated.......... The rate charged
b o rro w e r less
commitment rate.
On portion for which Federal Reserve Bank assumes the risk.. The rate charged
borrower.
(d) Commitments to financing institutions to discount, purchase, or
make advances:
On undisbursed portion of loan...................................................... %%
On disbursed portion of loan.......................................................... 10% to 25% of
loan rate, with a
minimum of J^%.
Rebates of unearned discount on member bank notes and rediscounts anticipated before
maturity will, as heretofore, until further notice, be made at the discount rate in effect at the time
such paper is rebated, but in no case at a rate greater than that at which the paper was originally
discounted.
Respectfully,
WATROUS H. IRONS

President