DEFINITION of 'One-Day Certificate'
A type of temporary financing used by the U.S. Treasury. One-day certificates are interest bearing and are used when the Treasury must borrow from the Federal Reserve System. These certificates are a type of Special Certificate that is issued to the Federal Reserve Bank of New York.
BREAKING DOWN 'One-Day Certificate'
One-day certificates have not been issued since June of 1979. Legislation prohibits the Treasury from borrowing more than $5 billion directly from the Federal Reserve and requires the approval of at least five of the seven governors of the Federal Reserve Board.