The morning mail is the source of most of the credits received for the bank accounts and of fewer for the individual accounts. As described above in the proof desk work, some of the accounts current clerks assist the mail teller with the morning mail, prov ing and sorting the items into packages. The cash letters are sorted alphabetically and then posted on the accounts current sheets. Meanwhile a clerk from the transit department examines each letter and marks it for interest and deferment of credit. The bookkeeper then takes the mail and posts it into the ledgers, marking the accounts with symbols to correspond with the con ditions stamped on the letters by the transit clerk; and the mail, when posted, is turned over to the mail teller.
Whether an account is paid interest on its balance, at what rate, how the interest balance is calculated, and how deferment of credit is carried out, arc matters of contract between the bank and its customer. A separate interest sheet is kept for each account. The interest balance (the amount upon which interest is paid for the day) is determined by the bookkeeper and entered on the interest sheet. The fixing of the rate and the calculation of the interest are best lodged with the general bookkeeper, who then, once a month or oftener, according to the contract, directs the bookkeeper to sum up the interest sheet and credit the account with the accrued interest.
About ten o'clock the balances of the different brokers' ac counts are prepared by the bookkeeper and sent to the certifica tion department, where they are posted on the certification sheets.
Posting the Exchanges As described above under the proof desk work, the exchanges are sorted into sections, proved, and turned over to the signature clerks for examination. The accounts current clerks then take their respective bundles of checks and sort them into accounts, alphabetically arranged. The checks of each account are then sorted numerically. The bundle of checks for the section next passes to the bookkeeper, who examines them for "stop-pay ments" and to see that each check is drawn on the bank. Mean while the accounts current men list and total the checks of their bundles, throwing a total after each account; from these slips the bookkeeper posts the total of each account to the debit of the account.
The work of the accounts current men in posting the ex changes consists in posting the number and amount of each check on its respective accounts current sheet and carrying the totals to the extension column; if an account is one that draws a large number of checks, the checks are listed on machine sheets and only the totals entered "as per list" on the accounts current sheet.
After proving against the total of the bundle list, the "ins" are added and the "outs" subtracted, and the totals of each book are sent to the proof desk.
All stop-payments arc entered in the stop-payment book and afterwards checked by the stop-clerk. This record includes the date of receipt, name of payee, number, amount, etc.; and if a check comes in on which a stop has been placed, notation is made of that fact.
Method of Handling Overdrafts and "Holds" When all the exchanges are posted, the bookkeeper examines the ledger for overdrafts and reports any that are found to the respective bank officer who has charge of the district of the drawer. Before reporting the overdraft, a search should be made through the bank for credits to the account. To do this an over draft slip is prepared, naming the account overdrawn, the amount of the overdraft, the cause, when the last remittance was received, average balance for the past six months, and the date and amount of the last remittances or collections for the account. In the case of individual accounts this slip also contains the line of business of the drawer and who introduced him to the bank; and below these data is the question, "Do you know of any credits for this account?" A list of departments that may have received credits then follows, and the bookkeeper presents this slip to those departments to be initialed. If the account was not overdrawn in the morning and credit is found in one of the departments, the account is not reported as overdrawn. If, however, it was over drawn at the commencement of business and credits are found, the bookkeeper reports it as having "made good." All overdrafts for which no credit is found must be reported to the officer in charge of overdrafts before, say, two o'clock, so that he may, if he deems best, communicate by telegraph with the offending customer before the business clay closes. If the officer thinks it imprudent to carry the overdraft, he orders re turned a sufficient amount of checks to offset the overdraft. To protect the customer without at the same time offending him, the notice should be stated in mild terms. When credits are received to cover the overdraft in whole or part, the returned checks to an equivalent amount are recalled. A close record of overdrafts should be kept, and the credit department should be given notice of them, as they reflect on the credit title of the drawer.