Refusal to Cash Non-Customer Savings Bond

It isn't what I would traditionally call a compliance violation, but it may be a violation of your responsibilities as a federal contractor. Your bank should have access to Treasury's Guide to Cashing Savings Bonds. The Guide instructs you to cash bonds with redemption value up to $1,000 for a non-customer, if he or she can produce acceptable documentary identification. For larger amounts or if the individual cannot produce acceptable identification, you are correct to require the individual to go to a financial institution where he or she is an established customer.

First published on BankersOnline.com 9/01/08