Reimbursing Bank

The printable version is no longer supported and may have rendering errors. Please update your browser bookmarks and please use the default browser print function instead.

Definition

Reimbursing Bank. In a letter of credit transaction, it is the financial institution with which the issuing financial institution maintains an account and which is authorized by the issuing financial institution to charge that account to pay claims received from the negotiating financial institution for documents that have been presented.