Financial Institutions Focus on Customers as Y2K Approaches

  FedFacts

Eighth District Offers New Float Pricing Option

The St. Louis Fed has begun offering a new check enhancement called Explicit Float Pricing. This option enables financial institutions to receive a single credit for the total dollar amount of each Mixed and Other Fed cash letter deposited. The daily float fee includes the aggregate float charge, reduced by 10 percent, and multiplied by the New York fed funds rate. This total is then divided by 360. Like other Fed services, fees may be offset with monthly earnings credits. While accounting statements will reflect a single credit, institutions will still be able to track deferred dollars. The Fed will continue to provide a mixed advice with a complete breakdown of cash letter deposits.

U.S. Treasury Unveils Designs for New Bills

On Nov. 15, the U.S. Treasury Department unveiled new designs for the $10 and $5 bills. Like the changes made to the higher denominations, the new designs incorporate security features intended to deter counterfeiting. The new series 1999 bills will not be issued until mid-2000. In the interim, the Treasury, Federal Reserve, Secret Service and Bureau of Engraving and Printing will launch a comprehensive public education effort to provide informational materials and training for bank tellers, retailers and other cash handlers. For more information, visit the Treasury’s web site at www.bep.treas.gov.

CALENDAR

2000 Legal Holiday Schedule for the Eighth Federal Reserve District

								Monday	January 17
								Monday	February 21
								Monday	May 29
								Tuesday	July 4
								Monday	September 4
								Monday	October 9
								Thursday	November 23
								Monday	December 25