8o WAR BORROWING among the certificates tendered in payment of the first installment was the entire issue maturing June 30, 1917, there would have remained outstanding some $300,000,000 certificates retained by the banks or their customers as investments instead of being tendered in payment of bond subscriptions. To this extent the over-payment resulted in swelling the Treasury balance at the expense of leaving a cor responding amount of the certificates of indebted ness unliquidated. The significance of payment by credit, as distinct from cash or certificate payment, has to do with the general question of credit ex pansion consequent upon the certificate issues and will be examined in another connection. 3 The fiscal results of the Loan flotation appeared in an abrupt increase of the Treasury balance from $299,830,457 on June 29 to $1,064,086,250 on June 30. Of this latter amount $305,743,526 was in the form of government deposits with the Federal Reserve Banks, and $714,841,218 with member banks qualified as special depositaries — this in turn being distinguished as $560,662,218 on account of Loan proceeds and $154,179,000 on account of cer tificates. Moreover the flotation had made possible by redemption at maturity and by acceptance in pay ment of the Loan installment the discharge of $626,- 196,844 certificates of indebtedness, reducing the amount then outstanding to some $260,000,000. The issue of the “ daily statement ” of the Treas ury was suspended on June 29, 1917, and not again renewed until July 23, 1917, on which date the statement for June 30, 1917, was first made public. 3 Page 129, below.