Surplus Reserve

Cash - i. e. "lawful money" - held by national banks in excess of the "reserve" requirements. (See " Reserve.")

Surrender Value

The "surrender value" of an insurance policy is what the company agrees to pay to the holder of the policy upon surrender of the same. This value is figured on the policy reserve and at a lesser sum than what has been paid in in premiums.

Suspense Account

An account under which items are entered, the final disposition of which has not been determined. An account in which an item is held in suspense until the proper account is ascertained, to which it is afterwards transferred.

Imagine a corporation to be sued for $10,000 damages. There is a chance that but a small part, or none of it, will be allowed by the courts. The company may see fit to transfer the full amount to "suspense account" pending the litigation.

Suspension

A temporary delay in meeting payments on the part of a concern perfectly solvent, but which, owing to a financial crisis or some unusual existing condition, may not be able to get its resources in shape to meet demands for a brief time.

Suspension Of Specie Payment

This took place about Jan. 1, 1862, and continued until Jan. 1, 1879; both gold and silver practically disappeared from circulation except on the Pacific coast, where, it is estimated, there was generally about twenty-five million specie in circulation. Small change was so scarce that Congress authorized, first, the use of postage stamps, then, a modified form of the latter called " postal currency," and, finally, paper money in fractional amounts of a dollar. There is practically none of the last in use now as money, but $15,245,183.88 is still outstanding, a little more than half of which is officially estimated as destroyed.

Sweating

A method of diminishing the weight of coins by shaking them in a confined space, as a bag; the dust so collected and retained being a dishonest profit. This used to be a wide-spread evil in England and strenuous efforts were made to break it up.

Sweeten

To give more "collateral" or "margin." When a loan is asked for and the collateral offered is not satisfactory to the lender, the borrower "sweetens" it by improving the grade or adding more to it.

Switching

See " Grain."

Syndicate

A group of men, bankers, or any combination of the same, who combine their mutual interests for the purchase or control of certain properties or securities. The members of the syndicate are generally bound by what is called a "syndicate agreement;" in other words, a written instrument to carry out the terms of the agreement, signed by the parties. (See also "Underwriting.") Some person, firm, bank, or trust company is usually selected as a "syndicate manager," whose duty it is to see that the terms of the " syndicate agreement " are fulfilled by all parties to it.

Before signing a "syndicate agreement," it is desirable to note carefully its provisions, it being especially important that it should not become operative until a sufficient amount of the issue in question has been subscribed to ensure its success.