COMMERCIAL BANKS

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COMMERCIAL BANKS
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COMMERCIAL BANKS

• I. BASIC BANKING FUNCTIONS ABROAD
• A. Four functions
• II. LENDING
• A. Organization
• B. Analyzing and Making Loans

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COMMMERCIAL BANKS

• C. Types of Credit
• 1. Unsecured Line
• 2. Lines for Opening L/Cs
• 3. Refinancing sight payments
• 4. Financing foreign receivables
• 5. Puchasing foreign currency drafts

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COMMERCIAL BANKING

• III. INTERNATIONAL OPERATIONS
• A. International Payments
• 1. Nostro Accounts
• 2. Vostro Accounts
• 3. Dollar payments
• 4. Foreign exchange futures contract
• 5. Term Loan

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COMMERCIAL BANKS

• 6. Revolving credit
• 7. Importer/exporter information
• 8. Introductions
• IV. BRANCH BANKING
• A. Major U.S. Restrictions
• 1. McFadden Act, 1927
• 2. Glass-Steagall Act, 1933
• 3. Bank Holding Act, 1956

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COMMERCIAL BANKING

• V. CORRESPONDENT BANKING
• A. The Importance of International
• Business to Small Banks
• 1. Definition
• 2. Letters of Credit
• 3. Disadvantages

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