Custodial Inventory Program

A custodial inventory is currency transferred to the Federal Reserve Banks' books, but physically held by a financial institution within its secured facility, thereby reducing the investment cost of holding currency long enough to recirculate it to customers. The Federal Reserve Banks' Custodial Inventory Program is available only for $10 and $20 notes. For more information regarding the Custodial Inventory Program, or to begin the application process, please review the following:

Ready to begin the application process? Please complete the Custodial Inventory Application (PDF).

Custodial Inventory Manual of Procedures

Effective November 16, 2015, a revised Custodial Inventory Manual of Procedures governs the operations of institutions participating in the Custodial Inventory Program. The revised manual, along with a high level summary of changes, is available below. For additional information regarding the updates, please refer to the November 16, 2015 customer announcement (PDF).

If you have questions regarding your institution’s Custodial Inventory Program or the updated Manual of Procedures, please contact your local FedCash® Services contact.

Custodial Inventory Manual of Procedures

Custodial Inventory Skip Weeks

On the first business day of each business week, FLWeb provides a Minimum Holdings Requirement (MHR) and Inventory CAP (CAP) for the current business week for each CI Vault. These figures are based on the Institution’s Average Daily Payments from a prior business week. Typically, the MHR and CAP are based on the Institution’s Average Daily Payments from the business week two weeks prior. However, data from business weeks exhibiting high payment activity prior to a holiday (as determined by the Federal Reserve) will not be used to determine the MHR and CAP. In these cases, the most recent available business week that does not include pre-holiday payment spikes will be used instead.

In general, for holidays that fall on a Monday, the previous business week will be excluded from the MHR calculation; for holidays falling later in the business week, the business week of the holiday itself will be excluded. Business weeks that will be excluded from the MHR calculation due to the impact of holiday payment activity will be available from the Federal Reserve at the beginning of each calendar year.

The remaining skip weeks for 2015 are as follows:

Holiday 2015 Skip Week (starting:)
Columbus Day October 12 Monday, October 5, 2015
Veterans' Day November 11 Monday, November 9, 2015
Thanksgiving Day November 26 Monday, November 23, 2015
Christmas Day December 25 Monday, December 21, 2015

The confirmed weeks for 2016 are as follows:

Holiday 2016 Skip Week (starting:)
New Year's Day January 1 Monday, December 28, 2015
Martin Luther King, Jr. Day January 18 Monday, January 11, 2016
Presidents' Day February 15 Monday, February 8, 2016
Memorial Day May 30 Monday, May 23, 2016
Independence Day July 4 Monday, June 27, 2016
Labor Day September 5 Monday, August 29, 2016
Columbus Day October 10 Monday, October 3, 2016
Veterans' Day November 11 Monday, November 7, 2016
Thanksgiving Day November 24 Monday, November 21, 2016
Christmas Day December 26 Monday, December 19, 2016

Service Disruption Procedures

If you are experiencing a major service disruption, and believe your financial institution qualifies for a cross-shipping waiver, complete the Cross-Shipping Waiver Request form.

For more information about FedCash® Services processing and operations, visit the service offerings pages or consult your local FedCash Services contact.

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