[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: 31CFR356.25]

[Page 366]
 
                  TITLE 31--MONEY AND FINANCE: TREASURY
 
         CHAPTER II--FISCAL SERVICE, DEPARTMENT OF THE TREASURY
 
PART 356--SALE AND ISSUE OF MARKETABLE BOOK-ENTRY TREASURY BILLS, NOTES, AND BONDS (DEPARTMENT OF THE TREASURY CIRCULAR, PUBLIC DEBT SERIES NO. 1-93)--Table of Contents
 
         Subpart C--Determination of Auction Awards; Settlement
 
Sec. 356.25  Payment for awarded securities.

    Payment for securities is to be accomplished by the issue date. 
Payment will be accomplished as follows:
    (a) Payment with tender. When payment is made with the tender as 
provided for in Sec. 356.17 (a)(1) and (b)(1), settlement is 
accomplished as follows:
    (1) When an amount is due the submitter. When the payment previously 
remitted by the submitter exceeds the settlement amount, the balance 
will be refunded to the submitter following the auction.
    (2) When the submitter must remit an additional amount. When the 
settlement amount exceeds the payment previously remitted by the 
submitter, the submitter will be notified of the additional amount due 
and is responsible for remitting it immediately. Such additional amount 
may be due if the auction calculations result in a premium or if accrued 
interest and/or inflation adjustment is due.
    (b) Payment by authorized electronic means. Where the method of 
payment is by an authorized electronic means as provided for in 
Sec. 356.17 (a)(2) or (b)(2), the settlement amount will be charged to 
the specified account on the issue date.
    (c) Payment by authorized charge to a funds account. Where the 
submitter's method of payment is an authorized charge to the funds 
account of a depository institution as provided for in Sec. 356.17 
(a)(3) or (b)(3), the settlement amount will be charged to the specified 
funds account on the issue date.
    (d) Amount of payment for awarded securities. The payment amount for 
awarded securities will be the settlement amount as defined in 
Sec. 356.2. (See formulas in appendix B.)

[58 FR 414, Jan. 5, 1993, as amended at 61 FR 54910, Oct. 22, 1996; 62 
FR 852, Jan. 6, 1997]