Posts

LeoGlossary: Correspondent (Fed)

0 comments·0 reblogs
leoglossary
-2
·
0 views
·
1 min read

For reserve maintenance purposes, a financial institution acting as a correspondent passes through balances maintained to satisfy reserve balance requirements for respondent institutions directly to the Federal Reserve. A correspondent holds pass-through balances in a single master account along with the correspondent's own reserve balance requirement.

Posted Using LeoFinance Beta