Circular No. 1197 — Refinancing Instituted by Resolution 1335 of June 10, 1987: Determination That Fund Movements Between the Central Bank and Financial Institutions Without a 'Bank Reserves' Account Must Be Effected Through a Commercial Bank's 'Bank Reserves' Account

CIRCULAR NO. 001197

To
Financial Institutions

The movement of funds between the Central Bank and financial institutions that do not have a "BANK RESERVES" account shall be effected, necessarily, through the "BANK RESERVES" account of a commercial bank, subject to an agreement between the parties and submitted to this body.

2. It is clarified that the agreement for the purpose referred to herein shall not imply any responsibility on the part of the commercial bank towards the Central Bank, provided that the provisions set forth in item 3 of this Circular are observed.

3. The commercial bank that allows the use of its "BANK RESERVES" account for the mere transit of funds between the contracting institution and the Central Bank may only challenge the postings in said account up to the first business day following the day on which they were made.

Brasília-DF, June 25, 1987

Wadico Waldir Bucchi Luiz Aranha Corrêa do Lago Director Director