to any party's account, you see at once the whole of his engagements to the bank, whether arising from bills that have been discounted for himself, or bills to which he is only the accepter.

3. BILL-JOURNAL.

In these Journals the DISCOUNT-JOURNAL. Sbills are entered under the respective days on which they fall due. For this purpose the day of the week and of the month is placed at the top of each page. This book may be made to last exactly a year, by having headings for every day, from the 1st January to the 31st December, omitting Sundays. The entry includes the register number-name of depositor, or for whom it was discounted-accepter-and amount. The Discount-Journal has three cash columns; one for the amount of each bill, another for the bills paid, and another for those unpaid. The entry is made in the first column on the day the bill is discounted; and in the other two on the day the bills fall due. The total amount of bills paid each day is copied from the Journal into the Received side of the Day-Book. Those unpaid are entered in the transfer column of the Day-Book, and in the Past-Due-Bill-Book. The Bill Journal need only have one cash column, as most banks find it more convenient to credit their customers' accounts with all the bills on the day they fall due, and debit them on the following day for those that remain unpaid. Those banks, however, that prefer it, may have separate columns in the Bill-Journal for the paid and the unpaid bills; and in that case the unpaid bills are returned on the following day to the depositor, without being passed through his cash account. This is sometimes called, being "entered short." Some banks make one book serve the purpose of both a Bill-Journal and a Discount-Journal; one page of the book being used as a Discount-Journal, and the opposite page being used as a Bill-Journal.

4. THE LISTS. Each banking-house divides Lon

don into a certain number of districts, according to the extent of its business. Each district is called a Walk, and usually takes its name from the direction in which it lies; as the East Walk, the West Walk, and so on. To each walk is assigned a book, in which is entered every day a list of the bills due in the walk ; and hence the book is called a List. Each List takes its name from the walk to which it belongs, as the East List, the West List, &c. The page is divided into four columns; the first and third of which are cash columns. In the first column is entered the amount of the bill-in the second the name of the accepter and the Register number. This is done the day before the bills are due. After the teller has returned from presenting these bills for payment in his walk, he "answers" each bill; that is, he places against it an account of the cash he has received for it, whether cheques, bank notes, or money. The amount is entered in the third column; and in the fourth the description of each kind of cash. If the bill be not paid, he writes L. D. for "left direction," and then enters the bill in the "Unpaid List."

In the UNPAID-LIST are entered all the bills not paid when presented for payment. In the course of that day or the following these bills are " answered" either by being paid, or by being passed to the debit of a customer's account, or by being transferred to the Past-Due-Bill-Book. In some banks the Unpaid-List is called the "TAKE-UP-BOOK."

Cheques upon other banks are entered in the Lists in the same way as bills, unless the bank sends a clerk to the clearing house, and then they are entered in the "Clearing-out-Book."

From this description it will be seen that when a sum is received to the credit of a current account, it is entered in the Received-Waste-Book, copied from thence into the Day-Book, and from thence into the CurrentAccount-Ledger. When a cheque is paid to the debit

of a current account it is entered from the cheque itself into the Paid-Waste-Book, the Day-Book, and the Current-Account-Ledger.

When a sum is received for a deposit receipt, the sum is entered before the receipt is granted in the Deposit-Receipt-Book- and afterwards in the Receipt-Waste-Book and Day-Book. When a deposit receipt is paid, it must be discharged in the DepositReceipt-Book, then entered in the Paid-Waste-Book, and afterwards in the Day-Book.

When a bill is discounted, the discount is calculated by the Accountant, who at the same time observes if it is drawn on a proper stamp, and is in every respect a regular and negotiable instrument. If the party for whom it is discounted have a current account, the full amount of the bill is placed to his credit, and he is debited for the interest. If he have no account he is paid the amount minus the discount, and the entry is made in the Paid-Waste-Book. The bills discounted each day are entered individually in the Discount-Register, and the total amount copied into the Day-Book. The bills are also entered individually in the respective accounts in the DiscountLedger, and under the days they fall due in the Discount-Journal. When these bills are due, the amount paid each day is entered in the Day-Book in the cash column, and the amount unpaid is transferred to the Past-Due-Bill account, and is entered in the Day-Book in the transfer column.

When a bill is deposited, it is entered in the BillRegister, the Bill-Ledger, and the Journal. When due it is placed to the credit of the party by whom it was lodged, and is copied from the Journal into the Day-Book, thence into the Current-Account-Ledger. If unpaid, the account is debited on the following day, and the bill is returned to the depositor.

At the commencement of each day all the entries made the preceding day in the Day-Book, are marked

against the respective books by the Accountant, or under his superintendence. He also marks the CashBook, and checks the adding up. The Customer's Books are then compared with the Current-AccountLedger. The debit side of these books is usually written up the preceding evening from the vouchers by the tellers, or out-door clerks. The Accountant writes up the credit side, and sees that both sides agree with the Current-Account-Ledger.

III. THE COUNTRY DEPARTMENT.

In this department is managed the business of the country banks, and of those customers who live in the country. When the letters are delivered in the morning by the postman, one clerk takes them and enters in the Waste-book the cash enclosed in the letter to the credit of the respective parties. Another clerk takes the letters and enters the bills in the Country-Bill-Register, the Bill-Ledger, and the Bill-Journal. The letters are then handed to a third clerk, who copies off into a book all the payments, which are to be made immediately in cash. This book is usually called the Draft-Book, as the party receiving the money signs a draft for the amount, which is as good as signing a receipt. If the payment is to be made to a banker, he receives notice in a printed form, called a memorandum; but if the payment is ordered to be made to a private individual, he must call for it, and claim the exact amount. The following is the form sent to a bankinghouse. The right-hand side is filled up by the house to whom it is sent, and the memorandum is paid through the clearing.

London, December 1, 1834. Messrs. Steady and Co. Receive of [the country bk.] per Messrs. Hope, Rich & Co. the sum of £100

on account of [E. F. Esq.]

London, December 1, 1834.

Messrs. Hope, Rich, and Co.

Pay E. F. Esq. or bearer, the sum of one hundred pounds, on account of [the country bank.]

£100

For Messrs. Steady and Co.
A Clerk.

A fourth clerk now takes the letters, and enters all the advices (that is, bills advised to be paid when due) in the Advice-Book and in the Advice-Journal. The corresponding clerk who answers the letters usually manages the stock department. Hence he observes the orders to purchase or sell stock, to procure powers of attorney, and other business of that kind. When writing a reply to the letters received, he notices if all the items in the letters are marked by the proper clerks. If any thing is wrong he is informed of it. Bankers' letters are usually short and plain, comprising only two or three lines. The following example includes all the ordinary topics.

Messrs. HOPE, RICH, and Co. Bankers, London.

GENTLEMEN,

Country Town, May 1, 1827.

Enclosed we remit you sixteen bills, value £1750, and cash £250, making together £2000 to our credit; and we subjoin a list of payments, and advices to be made to our debit. We will thank you to purchase £10,000 new fours in the name of James Wealthy, gentleman, of Stately House, near Prince Town; and forward us a power of attorney for sale, and dividends of £200 consols, now standing in the name of Susan Thrifty, spinster, of this place. Please inform us of the respectability of Messrs. John Careful and Co. of Southwark-they bank at Messrs. Steady and Co. Lombard Street. The bill you sent us to present here for payment has been paid, and we credit you £50, the amount. We herewith send you the signature of our relative, Mr. John Keen, who is going to London, and whose drafts to the extent of £3000, we wish you to honor to our debit. On Mr. Keen's return, which will be in about a week or ten days, he will bring with him our paid notes.

We

We are, Gentlemen,

Your obedient Servants,

KEEN, BUSY, and Co.

(REPLY.)

Messrs. KEEN, BUSY, and Co. Bankers, Country Town.

GENTLEMEN,

London, May 1, 1827.

We have received your favor of yesterday's date, enclosing sundries, value £2000, which we have passed to your credit, and note