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

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F ederal Reserve bank of Dallas
DALLAS, TEXAS

August 12, 1957
DISCOUNT RATES
To the Member Banks of the
Eleventh Federal Reserve District:
Effective August 13, 1957, this bank will increase its rates on
discounts and advances, as follows:
The rate on discounts for, and advances to, member banks under
the provisions of Section 13 and 13a of the Federal Reserve Act will
be increased from 3% per annum to 3j-4% per annum.
The rate on advances to member banks under the provisions of
Section 10(b) of the Federal Reserve Act will be increased from
3^ 2 % per annum to 4% per annum.
The rate on advances to individuals, partnerships, and corpora­
tions, including nonmember banks, under the last paragraph of Section
13, secured by direct obligations of the United States, will be increased
from 4% per annum to 4
per annum.
There is printed on the reverse side hereof a copy of revised Bulle­
tin No. 1, dated August 13, 1957, which sets forth all of the rates in
effect at this bank with respect to discounts, advances, and commit­
ments. This bulletin should be inserted in the ring binder previously
furnished your bank, in place of Bulletin No. 1, dated August 28, 1956.
Please acknowledge receipt of the bulletin on the enclosed postal
card.
Yours very truly,
Watrous H. Irons
President
(over)
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
August 13, 1957
(Superseding Bulletin No. 1,
dated August 28, 1956

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 fo r and advances to m em ber banks:

Per Annum

(a) Discounts and advances under sections 13 and 13a.............................
(b) Advances under section 10(b)...............................................................

3J4%
4%

Advances (u p to 90 days) to individuals, partnerships, and corporations,
including nonm em ber banks, but excluding m em ber banks:

Advances under the last paragraph of section 13 secured by direct obli­
gations of the United States...................................................................
Industrial advances and com m itm ents under section 13b:

(a) Advances direct to established industrial or commercial businesses,
including advances made in participation with other financing insti­
tutions ....................................................................................................... 4 to 6%
(b) Commitments to make advances direct to established industrial or
commercial businesses............................................................................ 10% to 25% of
loan rate, with a
minimum of )4%.
(c) Advances taken over from financing institutions under commit­
ments :
On portion for which a financing institution is obligated.......... The rate charged
b o r r o 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............................................................. 14%
On disbursed portion of loan................................................................... 10% to 25% of
loan rate, with a
minimum of J4%.
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.
Yours very truly,
Watrous H. Irons
President