"Redeeming" Credit

[David Merrill]

Update - "Redeeming Credit" confirmed. On December 18, 2011 a charge was placed for $22.16. I didn't notice this before but there was already a $0.10 credit balance from my prior payment that also had my demand stamped on it. The resulting balance due was $22.06 which was paid via PMO on or after January 5, 2012 for the same amount. On the coupon I stamped "DEPOSITED FOR CREDIT ON ACCOUNT OR REDEEMED IN LAWFUL MONEY PER TITLE 12 U.S.C. 411" in red letters.

On the new statement I recently received the Previous balance shows "$0.00" but shows Other Credits as "5.00." Under New Balance it shows "$5.00-"

Go figure. Definitely something interesting there.

Indeed, that is interesting. This is classical coupon redemption and it appears there is an account to draw from when there is not. It is a mechanism of credit I am sure of it. I have used POMC's long ago and observed this too. The real mechanism is that if you offer legal tender and the creditor refuses it, then the debt is waived. The coupon is legal tender.

About the Credit Card confusion.

It is difficult to ponder about. I spent over an hour discussing this with a very informed suitor the other day and a couple hours later it became clear. The moment you pay for something with a credit card you have accepted private credit. The confusion - in my mind at least during the conversation was that the credit started in 30 days! That is when the penalties begin, not the credit.



I hope that helps.

David Merrill.

[freedave]

Today I sent to my brokerage firm the check I have been holding onto.

On the back it has
Deposit for credit on account
to be redeemed in lawful money
USCA12 section 411
above my signature.

[David Merrill]

Today I sent to my brokerage firm the check I have been holding onto.

On the back it has
Deposit for credit on account
to be redeemed in lawful money
USCA12 section 411
above my signature.

Everything will go smoothly I bet. Thanks for letting us know.

Lawful;

Thank you too.

[Chex]

(a) In this section?
(1) ?gold clause? means a provision in or related to an obligation alleging to give the obligee a right to require payment in?
(A) gold;
(B) a particular United States coin or currency; or
(C) United States money measured in gold or a particular United States coin or currency.

(2) ?public debt obligation? means a domestic obligation issued or guaranteed by the United States Government to repay money or interest.
(b) The United States Government may not pay out any gold coin. A person lawfully holding United States coins and currency may present the coins and currency to the Secretary of the Treasury for exchange (dollar for dollar) for other United States coins and currency (other than gold and silver coins) that may be lawfully held. The Secretary shall make the exchange under regulations prescribed by the Secretary.

(c)
(1) The Government withdraws its consent given to anyone to assert against the Government, its agencies, or its officers, employees, or agents, a claim?
(A) on a gold clause public debt obligation or interest on the obligation;
(B) for United States coins or currency; or
(C) arising out of the surrender, requisition, seizure, or acquisition of United States coins or currency, gold, or silver involving the effect or validity of a change in the metallic content of the dollar or in a regulation about the value of money.

(2) Paragraph (1) of this subsection does not apply to a proceeding in which no claim is made for payment or credit in an amount greater than the face or nominal value in dollars of public debt obligations or United States coins or currency involved in the proceeding.

(3) Except when consent is not withdrawn under this subsection, an amount appropriated for payment on public debt obligations and for United States coins and currency may be expended only dollar for dollar.

(d)
(1) In this subsection, ?obligation? means any obligation (except United States currency) payable in United States money.
(2) An obligation issued containing a gold clause or governed by a gold clause is discharged on payment (dollar for dollar) in United States coin or currency that is legal tender at the time of payment. This paragraph does not apply to an obligation issued after October 27, 1977.

[freedave]

Everything will go smoothly I bet. Thanks for letting us know.

Lawful;

Thank you too.

Hello David,

I just saw your response.

The check now shows online as being credited to my account.

I also sent out another one a few days ago -- I added "without prejudice" above the signature.

I forgot to make a copy of the front and back like I did for the first one, but I have another one ready to go, with copy already made, when I see that the second one has cleared