In this book, as its name implies, are entered all the notes and bills discounted by a branch. The book is ruled so as to provide space for a full description of every item, and the notes are entered and numbered consecutively. Two or more lines can be used where a note has numerous obligants, or when the description of the security is lengthy. A form in common use is shown in Figure 7. The headings are self-explanatory with the exception perhaps of the last two - loans and trade bills.
Loans comprise all the advances made to a borrower on his own name and consist principally of the following classes:
(a) Advances made on the name of the borrower alone;
(b) Advances secured by one or more indorsers;
(c) Advances secured by produce, stocks and bonds, notes and other collateral securities.
Trade bills represent settlements for actual goods sold, and are only offered by the party who has disposed of the goods. They may consist of either drafts or notes.
The last, or remark column, is used to denote the domicil of a trade bill when it is payable at an outside
Endorser or Security
Rate per cent.
Discount and Interest
Figure 7 point. It is also used for any special memorandum regarding renewals, and the like. Some banks have an additional column for proceeds in their discount register.
As already stated, all notes and bills are entered and numbered consecutively. The loans and local trade bills are then entered in the diary and taken over, checked and initialed by the manager daily, or at least twice a week. The other trade bills are entered in the trade-bills-remitted diary and initialed by the mailing officer.