Due From Banks

Overview

This booklet focuses on the risks inherent in deposits that banks maintain in other banks to facilitate the transfer of funds. Those funds, known as due from bank deposits or correspondent bank balances, are a part of the primary, uninvested funds of every bank. The booklet also discusses prudent risk management practices and regulatory requirements.

Applicability

This booklet applies to the OCC's supervision of national banks and federal savings associations. For statutes, regulations, and guidance referenced in this booklet, consult those sources to determine applicability to federal savings associations. References to national banks in this booklet also generally apply to federal branches and agencies of foreign banking organizations. Refer to 12 USC 3102(b) and the "Federal Branches and Agencies Supervision" booklet of the Comptroller's Handbook for more information.