Correspondent Financial Institution
From Open Risk Manual
Revision as of 14:12, 13 February 2020 by Wiki admin (talk | contribs)
Definition
Correspondent Financial Institution. It is a financial institution that provides services on behalf of another financial institution.
A correspondent financial institution can conduct business transactions, accept deposits, and gather the proceeds of procurement transactions on behalf of the other financial institution. Correspondent financial institutions are more likely to be used to conduct business in foreign countries and act as a domestic financial institution's agent abroad.
