Adjusted Service Certificates were given to members of the US military who served during WWI as a bonus. The bonus measure was approved by Congress in the 1920s. Servicemembers were given an additional $1.00 per day for stateside service and $1.25 per day for overseas service. The payment was in the form of an annuity that was payable in 1945. Here is an example of an Adjusted Service Certificate. They were printed by the BEP. When the Depression hit, the veterans demanded immediate payment of the bonus. The march of the Bonus Army on Washington, D.C. is one of the low points in the history of the US Army as troops under General Douglas MacArthur stormed the camps of the bonus marchers to break them up. Enough pressure was put on Congress that immediate payment of the bonus was approved in 1936. Veterans exchanged their Adjusted Service Certificates for Adjusted Service Bonds. The bonds were issued in $50.00 denominations. If a veteran was due $1,142.00 on his Adjusted Service Certificate, he was issued 22 $50.00 Adjusted Service Bonds (totalling $1,100.00) and a check in the amount of $42.00. The bonds could be cashed immediately or held unto 1945. If held, they paid 3% interest. Most veterans cashed their bonds immediately. Here is an Adjusted Service Bond.
Very interesting, I have studied the Bonus Marchers in the past, I hadn't heard of these adjusted service bonds before. Obviously these were not redeemed, and unless the servicemen is still alive, they cannot be. I have some WWII War bonds that were a relatives, they cannot be redeemed now. But they are interesting.
We found the receipt for my husband's grandfather's adjusted service bonds in some old files; he redeemed 14 bonds for $700. With that he bought land near Tamassee, SC that is in the family still.
Great topic! I had heard about the Bonus Army, but never had much understanding of it. Thanks for connecting the dots with a visual example!
