[Code of Federal Regulations]
[Title 31, Volume 2]
[Revised as of July 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 31CFR343.3]

[Page 255-256]
 
                  TITLE 31--MONEY AND FINANCE: TREASURY
 
         CHAPTER II--FISCAL SERVICE, DEPARTMENT OF THE TREASURY
 
PART 343--REGULATIONS GOVERNING THE OFFERING OF UNITED STATES MORTGAGE GUARANTY INSURANCE COMPANY TAX AND LOSS BONDS--Table of Contents
 
                      Subpart B--Tax and Loss Bonds
 
Sec. 343.3  Redemption.

    (a) General. Tax and loss bonds may not be called for redemption by 
the Secretary of the Treasury prior to maturity, but may be redeemed in 
whole or in part at the owner's option at any time after three months 
from issue date. The Director of the Internal Revenue Service District 
in which the owner's principal place of business is located will be 
given notice of all redemptions. Partial redemptions of bonds may be 
requested in any whole dollar amount; however, an account balance of 
less than $1,000 will be redeemed in total.
    (b) Method of payment. Payment will be made by the Automated 
Clearing House (ACH) method for the owner's

[[Page 256]]

account at a financial institution designated by the owner. To the 
extent applicable, provisions of Sec. 357.26, Payments, and provisions 
of 31 CFR part 370, shall govern ACH payments made under this offering. 
The Department of the Treasury may employ alternate payment procedures 
in lieu of ACH in any case or class of cases where operational 
considerations require such action.
    (c) Book-entry. Bonds will be redeemed automatically upon maturity. 
Payment will be made in accordance with the ACH payment instructions on 
file. Redemptions prior to maturity will be made upon receipt of a 
redemption request. Notice of redemption prior to maturity must be 
submitted in writing on company letterhead to the Division of Special 
Investments, or faxed to (304) 480-7786 or to (304) 480-6818. The notice 
must be received by the Division of Special Investments not less than 
three business days prior to the requested redemption date. It must 
contain the owner's name and Tax Identification Number, the requested 
redemption date, any changed payment routing instructions, the case 
number(s) to be redeemed, including original issue date(s), and the 
amount to be redeemed.
    (d) Registered. To obtain redemption, a bond with the assignment for 
redemption properly completed and executed must be presented to the 
Division of Special Investments. Payment routing instructions must also 
be included with the bond at redemption. Upon partial redemption of a 
registered bond, the remaining balance will be reissued in book-entry 
form with the original issue and maturity date.

(Approved by the Office of Management and Budget under control number 
1535-0127.)