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Circular No. 2 F E DE R A L RESERVE BANK Series of 1921 OF DALLAS January 13th, 1921. T E L E G R A P H IC A D V I C E O F O F F E R IN G S A C C E P T E D T O TH E MEMBER BAN K AD DRESSED: With the volum e o f rediscounts that are handled by this bank, where mails are delayed, it is at times impossible to get all offerings before our Executive Committee on day of receipt. W here this cannot be done, offerings are han dled, as far as possible, in the order in which they are received. Subsequently, when they have been approved and are credited, discount is calculated from day o f receipt and member banks’ reserve balances improved for the time intervening so that they may not suffer by the delay. In order that banks may be informed as soon as possible of the fate, of their offerings, and as an additional service, it has been decided that, effective at once, telegraphic advice will be sent them, at this bank’s expense, o f the approximate face amount o f accepted notes placed to their credit. Discount will be calculated and debited on the next business day and the customary detailed advices o f discount will be forwarded by our Loan Department. The telegrams referred to will not show the exact amount credited in dollars and cents, but, instead, will give the amount as nearly as possible in even hundreds, and the mail advices will show the exact figures. As a matter o f privacy, and in order to expedite the forwarding of these telegrams, a set o f cod e words has been devised which are intended to cover the phrases most frequently used in telegrams from this bank in connection with offerings. No provision has been made for amounts, which will be wired open. The w ord “ F edco” will be used as an introduction to all messages wired under his cipher indicating that the cod e referred to is being used. It is believed that this service will be o f benefit to our member banks, as mail advices are often delayed. TH E SUGGESTION IS, THEREFORE, M A D E T H A T THIS C O D E BE CAREFU LLY PRESERVED for use in translat ing messages from this bank relative to paper submitted for rediscount. It is further suggested that no member bank charge the account o f the Federal Reserve Bank on its books with the amount o f any offering forwarded for consideration until these wire advices have been received, and preferably not until final detailed advices have been received by mail. The reserve balance o f a member bank consists only o f its collected balance on the books o f the Federal Reserve Bank, and the showing o f its own records cannot be con sidered as indicating the true status o f its reserve account with any reasonable degree o f safety. Envelopes containing rediscount offerings should be marked conspicuously “ FO R ATTEN TION CREDIT DE PARTM EN T” , and in this manner they will be delivered direct to proper department. If member banks will bear this in mind it will often result in a considerable saving of time. Member banks’ collateral notes, (Bills Payable), should be addressed to the Loan & Discount Department. Yours very truly, Governor. This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org) ABASH Your rediscount offering o f (D ate) ABDUCE Has been approved in full ABEAM Has been approved in part ABED W e are today crediting your account $....................... ABIDE Notes accepted and today placed to your credit, aggregate, approximately, $...................... ..... ABORT Notes rejected and returned, accompanied by letter giving reasons for non-acceptance, aggregate, a p proximately, $............................ ABRADE Balance o f offering has been returned, with letter giving reasons for non-acceptance. ABRIDGE Notes aggregating, approximately, $............................. have been approved by our Executive Committee, but are being held for further advice from you as to necessity for rediscounting. ABROACH Your bills payable secured by eligible paper ABRUPT Your bills payable secured by U. S. Government obligations ABSCESS Y ou have apparently failed to provide for your bills payable maturing (D ate) Please advise b y wire at once. ABSCIND Y ou have apparently failed to provide for your rediscounts maturing (D ate) aggregating, approximate ly, $............................. Please advise by wire at once. for $............................. ABSONANT Y ou hold our trust receipts for (Certificates) (B onds) offered as collateral to your note for $................... It will be necessary to return to us before note can be credited. ABSTERGE Your note for $....................... received today is unsigned. Please forward new note. ACADEMY Your note received today is made payable (Date or number of days). Maturity limited by law to fifteen days. W ire authority to change date to (Date or number of days). ACARUS B ody and figures o f your note dated....................... d o not agree. W ire authority to change amount to $ ............................. ACCEDE Bonds offered as collateral to your note in registered form. Resolution of your board o f directors and power o f attorney naming an officer o f this bank as agent to execute assignment will be required before note can be credited. W e are forwarding necessary blanks by this mail. ACCOST Note sent to cover your obligation for $....................... incorrectly dated. W ire authority to change date to ( ...................... ) to correspond with maturity of old note. ACE W ire authority to reduce your bills payable to $.................. in order to agree with available collateral held. ACID W e have made transfers requested by you, charging your account to cover. CABAS Application form accompanying not signed, therefore, certificate excess liability required of member State banks under Section Nine Federal Reserve A ct not afforded. Upon receipt of telegram from, you over authorized signature giving substance of certificate incor porated in heading o f our application form, offering will be considered. (This ap plies to State Bank members on ly ). (Suggested reply to above) “ W e hereby certify that none of borrowers whose notes submitted our offer ing (date) are liable to this bank in excess o f 10 per cent our capital and sur plus and that no one will be permitted to becom e liable in excess that limit while their obligations are under discount with Federal Reserve Bank. First State Bank, Blank, Texas, John Doe, Cashier.” CABINET Endorsement your bank omitted on items offered. Advise. CABOOSE Figures indicating total liability to your bank of makers of notes offered omitted. CACAO Figures indicating estimated worth makers notes offered omitted. CACH O U Rates interest charged makers notes offered not stated. CADI Cannot consider notes offered unless accompanied b y application form, giving all information called for thereon. Advise. CAFE Application form accompanying this offering signed by Assistant Cashier. Signature not authorized by our records in rediscount transactions for your bank. Advise by wire over signature o f authorized officer, confirming b y letter. CAHOOT Application accompanying this offering not signed. firm by letter. Advise. Advise. Advise. Advise by wire over authorized signature and con
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