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TREASURY CHECK PROCEDURES FOR CUs
updated 07/14/14 01:58 PM
Special Rules Apply
A Treasury check, more than any other type of check, calls for special attention regarding proper endorsement of this monetary instrument. They are subject to the next-day availability rule under 12 C.F.R. Part 229 (Regulation CC), and are a favorite target of thieves and fraudsters.

Although the California Uniform Commercial Code generally covers check endorsements, Treasury checks are governed by 31 C.F.R. §240.4, which addresses endorsement and presentment guarantees.

Endorsement and Presentment Guarantees
A credit union presenting a check to the Treasury Department guarantees to the Treasury all of the following:

  • That all prior endorsements are genuine, whether or not an express guarantee is placed on the check.
  • When the first endorsement has been made by a third party, the presenting credit union and the endorsers are deemed to guarantee to the Treasury that the person who endorsed it had unqualified capacity and authority to endorse the check on behalf of the payee.
  • That the check has not been materially altered.
  • That the guarantors have no knowledge that the signature of the drawer was forged or unauthorized.
  • That the guarantors have made all reasonable efforts to ensure that a check is not a counterfeit.

Credit unions should take care to ensure their staff is appropriately trained to secure proper endorsement of Treasury checks, and to identify abnormalities in these negotiable instruments that may indicate an alteration to, or counterfeiting, of the check.

Click here to read the entire Research and Information column on Page 19 within the June/July edition of Credit Union Digest!

 
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ANNUAL FED WEBINAR ON REGS, GUIDANCE updated 11/21/14 10:32 AM
Also, FinCEN Issues Advisories
Senior staff at the Federal Reserve will host an annual webinar to provide a recap of recent regulatory changes and highlight various inter-agency guidance. The webinar will also discuss current hot topics in the financial services industry and give a glimpse of future regulatory changes.

DIANA DYKSTRA RECEIVES 'EAGLE AWARD' updated 11/20/14 10:41 AM
Outstanding Record of Achievement
Diana Dykstra, president and CEO of the California and Nevada Credit Union Leagues, was presented with the American Association of Credit Union Leagues’ highest honor—the Eagle Award—this week during AACUL’s winter meeting in Hawaii.

LEAGUE SURVEY EXTENDED TO NOV. 21 updated 11/19/14 10:57 AM
Overdraft and Courtesy Pay
The deadline for the California and Nevada Credit Union Leagues’ survey to obtain information about credit unions’ overdraft and courtesy-pay programs has been extended to Nov. 21.

CUs RECEIVE UNRIVALED SURVEY SCORE updated 11/18/14 11:10 AM
Ranked First in 'Customer Satisfaction'
Credit unions are ranked first in customer satisfaction, significantly outpacing all other financial services, according to findings released Tuesday by the American Customer Satisfaction Index (ACSI).