Correspondent Banking Law and Legal Definition
Correspondent banking is a relationship between banks that permits funds to be transferred and checks paid in different areas of the country. It is a working relationship between a smaller community bank and a larger metropolitan bank which enables the community bank to have access to the larger banks' facilities such as the Clearinghouse Inter bank Payment System or an automated clearinghouse.
Legal Definition list
Related Legal Terms
- Abstraction [Banking]
- Accommodation Maker(Banking)
- Account [Banks & Banking]
- Acting in Concert [Banks & Banking]
- Affiliate [Banks & Banking]
- Alternative Mortgage Transaction [Banks & Banking]
- Application for a Deposit Facility [Banks & Banking]
- Appropriate Federal Banking Agency
- Appropriate Federal Financial Supervisory Agency [Banks & Banking]
- Appropriate Financial Regulator [Banks & Banking]
