BANKING AFFAIRS

Detailed explanation-1: -A correspondent bank is a third-party financial institution that acts as an intermediary between domestic and international banks. Correspondent banks effectively act as an agent of a foreign bank to conduct business transactions with the domestic bank on its behalf.

Detailed explanation-2: -The term correspondent bank refers to a financial institution that provides services to another one-usually in another country. It acts as an intermediary or agent, facilitating wire transfers, conducting business transactions, accepting deposits, and gathering documents on behalf of another bank.

Detailed explanation-3: -However, Brazil uses this term for domestic agency services by individuals / entities). In some countries BC model is known as “Agent Banking".