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FED ERAL RE SE R V E BANK O F NEW YORK r C ircu lar N o . 4 9 5 5 L O c to b e r 3 1 , 1 9 6 0 "1 J COLLECTION OF CASH ITEMS Revision of Operating Circular No. 5 To the Member and Nonmember Clearing Banks o f the Second Federal Reserve District ( except Banks in the Territory assigned to the Buffalo Branch): Enclosed is a copy of our Operating Circular No. 5, New York Head Office Time Schedule, Revised effective October 31, 1960. The revised circular incorporates the outstanding supplement to the superseded edition of the circular and contains changes in credit availability for certain deferred-credit items payable in other Federal Reserve Districts, as follows: Paragraph 6(b) of the revised circular provides that credit will be given for items payable in the following Federal Reserve Branch cities two calendar days after receipt by us, instead of one calendar day after receipt, if received within the applicable closing time: Denver Oklahoma City Omaha Salt Lake City The changes in credit availability have been made because suitable airline flights to the above cities are not now available to permit arrival of our check ship ments at such Federal Reserve offices in time for presentment of the items and credit to this Bank on the day after dispatch. Additional copies of the revised operating circular will be furnished upon request. A lfred H ayes, President. Federal o f R eserve N ew Yo Bank rk t Operating Circular N o. S "1 Revised effective O ctober 31, 1960 J N E W Y O R K H E A D O F F IC E T IM E S C H E D U L E To the Member and Nonmember Clearing Banks o f the Second Federal Reserve District (except Banks in the Territory assigned to the Buffalo Branch): 1. T his circu la r ap p lies on ly to m em ber and n onm em ber clea rin g banks located in the te rrito ry assigned to o u r H ea d Office in N ew Y o r k C ity . O u r H ea d Office territory in cludes a ll o f the S econ d F e d e ra l R eserve D istrict ex cep t the fo llo w in g cou n ties in the S tate o f N ew Y o rk , w hich are in the te rri to r y assigned to o u r B u ffa lo B r a n c h : A lle g a n y , C attaraugus, C hautauqua, E rie, Genesee, L ivin g ston , M on roe, N iagara, O n tario, O rleans, Steuben, W a y n e , W y o m in g , an d Y ates, O u r O p era tin g C ircu la r N o, 6 , entitled “ B u ffalo B ran ch T im e S c h e d u le /’ applies to m em ber an d n onm em ber clea r in g banks in the te rrito ry assigned to such B ranch . 2. A s h eretofore, cash items sent to us b y m em ber an d nonm em ber clea r in g banks in the te rritory assigned to ou r H ea d Office in New Y o r k C ity should be sent to su ch H ea d Office, ex cep t that such banks m ay at th eir o p tio n send cash items p ayable in the te rrito ry assigned to ou r B u ffa lo B ra n ch either to ou r H ea d Office in N ew Y o r k C ity or to ou r B u ffa lo B ranch . 3. S u b je ct to the term s an d con d ition s o f R egu la tion J o f the B o a rd o f G overn ors o f the F ed era l R eserve System , o f o u r O p era tin g C ircu la r N o. 4 rela tin g to collection o f cash items, an d o f this circu la r, we w ill give cred it on ou r books to such m em ber an d nonm em ber cle a rin g banks at the tim es in d i cated herein f o r cash item s (a ) receiv ed a n d a ccep ted at o u r H ea d O ffice; ( b ) payable in the te rrito ry assigned to ou r B u ffa lo B ra n ch an d sent d ire ct to the B r a n c h ; and ( c ) payable in oth er F e d e ra l R eserve D istricts an d sent, w ith ou r perm ission, d irect to the F e d e ra l R eserve B anks o f su ch oth er D istricts fo r ou r account. W e a ct on ly as a gen t o f the banks fr o m w h ich we receive such cash item s, o r w h ich send such cash item s d irect to F e d e ra l R eserve B anks o f oth er D istricts f o r ou r accou n t, an d we d o n ot act as agent or su bagent o f an y p r io r ow ners o r h olders o f such items. C redit fo r cash item s receiv ed and a ccep ted at H ea d Office 4. C red it is su b ject to ap p lica b le closin g tim es and to sortin g req u ire m ents as show n h e r e in ; cre d it fo r tra n sfer d ra fts re fe rre d to in p a ra g ra p h 14 is su b ject to the p rov ision s o f th a t pa ra gra p h . C redit fo r item s receiv ed a fte r the a p p lica b le closin g times w ill be com p u ted fr o m the fo llo w in g business day. W h en item s fo r w hich there are d ifferen t closin g tim es are n ot sorted and listed in accord an ce w ith requirem ents, cre d it fo r all such item s m ay be d e fe rre d fo r the longest tim e fo r w hich cre d it m a y be d e fe rre d fo r any o f such items as herein p rovid ed . Im m ed ia te C red it 5. Im m ediate cred it w ill be given fo r the fo llo w in g item s w hen received w ith in the ap p licable closin g tim e : (a ) W h en received in tim e fo r presentm ent th rou g h clea rin g houses or special collection arrangem ents on the d a y o f receip t— Item s d raw n on or payable at N ew Y o r k C learin g H ou se A ssocia tion banks C ertain oth er N ew Y o r k C ity banks N orthern N ew J ersey C lea rin g H ou se A ssocia tion banks L ists o f banks referred to will be furnished upon request. ( b ) W h en received b y 10 a.m. (1 :3 0 p.m ., i f d ep osited w ith a separate cash letter an d to ta l fo r each c la ss )— Checks on the T reasu rer o f the U n ited States P osta l M on ey O rders ( c ) W h en received b y 3 p.m .— Checks on F ed e ra l R eserve B ank o f N ew Y o r k (in c lu d in g B u ffa lo B ra n c h ) O fficers’ checks o f other F e d e ra l R eserve B anks (o n ly w hen deposited in a separate cash letter) D e fe r r e d C red it 6 . C red it fo r all item s oth er than those specified in p a ra g ra p h 5 an d tra n sfer d ra fts (see p a ra g ra p h 1 4 ), w hen received w ith in the fo llo w in g a p p li cable closin g tim es, w ill be given as specified b e lo w : (a ) Item s p a ya b le in the S econ d F e d e ra l R eserve D istrict— W h e n receiv ed b y 1 :30 p.m . (item s $500 and over deposited in a separate cash letter, 2 :3 0 p .m .) W h e n receiv ed b y 1 0 :0 0 a.m. o n S atu rd ays (n o t otherw ise p u b lic h o lid a y s ), item s o f $500 an d over deposited in a separate cash letter (b ) Item s p aya b le in oth er F e d e ra l R eserve D istricts— W h en received b y 1 2 :3 0 p.m . (item s $500 an d over d ep osited in a separate cash letter, 2 :3 0 p .m .) W h e n received b y 1 0 :3 0 a.m. on S atu rd ays (n o t otherw ise p u b lic h olid a y s) ONE CALENDAR D A Y AFTER RECEIPT Item s p a yable in the fo llo w in g F e d e ra l R eserve B ank or B ra n ch cities :* A tla n ta B altim ore B irm in gh am B oston B u ffa lo C harlotte C h icago C in cin n a ti C leveland D allas D e tro it H ou ston Ja ck son ville K ansas C ity , K a n . K ansas C ity, M o. L ou isv ille M em phis M in n eapolis N ash ville N ew O rleans P h ila d elp h ia P ittsb u rg h P o rtla n d , Ore. R ich m on d St. L ouis St. P a u l San A n to n io Seattle T W O CALENDAR DAYS AFTER RECEIPT Item s p a yable in the fo llo w in g F e d e ra l R eserve B ank o r B ra n ch citie s: D en v er E l P aso H elena L ittle R o ck Oklahom a C ity Om aha S alt L ak e C ity T W O BUSINESS DAYS AFTER RECEIPT Item s payable in the fo llo w in g F e d e ra l R eserve B ank o r B ra n ch c it ie s : L os A n g e le s San F ra n cisco an d item s draw n on or p a ya b le at (a ) banks on the P a r L ist in a ll localities outside o f F ed era l R eserve B a n k or B ra n ch cities, an d ( b ) banks in N ew Y o r k C ity oth er than those m en tioned in p a ra g ra p h 5 ( a ) . Sorting requirements 7. A n y m em ber or n onm em ber clea rin g bank w h ich has f o r colle ctio n a d a ily average o f n o t m ore than 300 im m ed iate-cred it a n d d e fe rre d -cre d it items p a ya b le outside o f the c it y or tow n in w h ich such ban k is loca ted m ay, u p on * F or purposes o f this circular, the term ‘ ‘ Federal Reserve Bank or Branch cities ’ ’ includes Kansas City, K an., and St. Paul. 2 a p p lication , be p erm itted to send its cash item s to o u r H ea d Office u nsorted w ith one cash letter. C red it f o r item s so sent, w hen receiv ed b y 1 :30 p.m ., w ill be g iv en one business d a y a fte r receipt. 8. M em ber banks an d n onm em ber clea rin g banks, oth er th an those p e r m itted to send their cash item s to ou r H ea d Office w ith one cash letter pu rsuan t to p a ra g ra p h 7, m ay be requ ired , i f volu m e w arrants, to sort the cash items they send to ou r H ea d Office in to some or a ll o f the fo llo w in g classes an d send them w ith a separate letter an d total fo r each class: Im m ed iate-credit item s su b d iv id ed into (1) Cheeks on the Treasurer of the United States (2) Postal Money Orders (3) All other immediate-credit items D e fe rre d -cre d it item s su b d iv id ed in to (1) Items payable in the State of New York (2) Items payable in Puerto Rico, the Virgin Islands, and in those counties o f New Jersey and Connecticut that are included in the Second Federal Reserve District, namely: New Jersey— Counties o f B ergen, Essex, Hudson, H unterdon, M iddlesex, Monmouth, M orris, Passaic, Somerset, Sussex, Union, and W arren Connecticut— County o f Fairfield (3) Items payable in other Federal Reserve Districts, which may be sub divided into classes according to the credit availability as provided in paragraph 6 for such items. C red it fo r cash item s sent d ire ct to B u ffa lo B ra n ch 9. M em ber an d n onm em ber clea rin g banks that send cash item s payable in the te rritory assigned to ou r B u ffa lo B ra n ch d ire ct to that B ra n ch w ill be given cred it fo r such item s receiv ed at the B ra n ch as specified b e lo w : (a ) Item s p ayab le in the C ity o f B u ffa lo— One calendar day from the dispatch thereof; provided, however, that this Bank may, by giving notice to such effect to any member or non member clearing bank, prescribe how, and the time or times before which, all items or certain items must be dispatched by such bank in order to obtain such credit. ( b ) Item s p aya ble in localities outside o f the C ity o f B u ffa lo— As indicated in Operating Circular No. 6 entitled “ Buffalo Branch Time Schedule.” C redit f o r cash item s sent d ire ct to o th e r F e d era l R eserve Banks 10. M em ber an d n onm em ber clea rin g banks that have receiv ed perm is sion to send cash items p a ya b le in oth er F e d e ra l R eserve D istricts d ire ct to oth er F ed era l R eserve B anks fo r a ccou n t o f this B ank (H e a d Office) w ill be given cred it fo r item s so sent as specified b e lo w : (a ) Item s payable in F e d e ra l R eserve B ank or B ra n ch cities— Based on the time (not in excess of two business days) normally required for the collection thereof as indicated in separate availability schedules furnished to the respective direct-sending banks; 3 ( b ) Item s p a ya b le in localities ou tside o f F e d e ra l R eserve B a n k or B ranch cities— Two business days from the dispatch thereof; p rov id ed , how ever, that this B ank m ay, b y g iv in g n otice to such effect to any m em ber o r n onm em ber clea rin g bank, p rescribe how , an d the tim e or times b e fo re w h ich, all item s or certain item s m ust be disp atch ed b y su ch ban k in o rd e r to obtain such cred it. G e n e r a l p r o v is io n s Time o f presentment 11. W e d o n o t b y this circu la r, o r otherw ise, agree to p resen t a n y item, or to cause an y item to be presented, earlier than such item is req u ired to be p resented, in the exercise o f o rd in a ry care, u n d er the p rov ision s o f the N eg o tiable In stru m en ts L aw o f N ew Y o rk . Effect o f Saturday closing and holidays upon availability 12. O p eratin g C ircu la r N o. 7 specifies the F e d e ra l R eserve B anks and B ranch es that are n orm a lly closed on S a tu rd a y , an d the ex ten t to w hich S a tu rd a y w ill n o t con stitute a business d a y in d eterm in in g the tim e when, p u rsu an t to this circu la r, cre d it w ill be g iv en f o r d e fe rre d -e re d it item s draw n on, or p a yable at, banks loca ted in the areas served b y such F e d e ra l R eserve B anks or B ranches. 13. W h e n the day on w hich cre d it w o u ld otherw ise be g iv en , p u rsu an t to th is circu lar, is a S u n d a y or a S a tu rd a y or oth er h olid a y fo r th is B ank, cred it w ill be given on the fo llo w in g business day. Credit for transfer drafts 14. C redit w ill be g iv en fo r tra n sfer d ra fts draw n b y m em ber o r nonm em ber clearin g banks on th eir com m ercial ban k corresp on d en ts based on actu al tran sit tim e, w h eth er received at o u r H e a d Office or o u r B u ffa lo B ra n ch or sent f o r o u r accou nt d ire ct to the F e d e ra l R eserve B a n k in the D istrict w h ere such d r a ft is payable. S u ch d ra fts sh ou ld b e sent w ith separate cash le tte rs ; w hen sent d ire ct to other F e d e ra l R eserve B anks, separate advices (m arked “ T ra n s fe r D r a ft s ” ) o f su ch d ire ct sen d in gs should be sent to the H ea d Office. Revision of this circular 15. W e reserve the rig h t at an y tim e, w ith or w ith ou t n otice, to revoke, m o d ify , am end, or a d d to this circu la r or an y p rov ision th ereof, effective as to all or a n y p a rticu la r m em ber banks an d nonm em ber cle a rin g banks. Effect o f this circular on previous circular 16. T his circu la r supersedes ou r O p era tin g C ircu la r N o. 5, R evised effective J u ly 1 ,1 9 5 9 , an d the F ir s t S u pp lem en t th ereto, dated A u g u st 1 3 ,1 9 5 9 . A l f r e d H a y e s , President. 4
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