Concentration account


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Concentration account

A single centralized account into which funds collected at regional locations (lockboxes) are transferred.

Concentration Account

A large account kept by a bank or other financial institution for its own internal purposes. Financial institutions use the funds in their concentration accounts to settle numerous transactions that occur on a particular day. For example, if a customer closes his/her bank account, the money given to him/her likely comes from the concentration account. Often, the money in a concentration account comes from regional branches of a bank, which transfer funds to a central location. This is the origin of the name.

It was formerly relatively common for customers to transfer their own money through the concentration account of their banks, for both legitimate and illegitimate purposes. However, the USA PATRIOT Act forbade this practice.
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Documentation for NewStar Clarendon Fund CLO LLC (NewStar Clarendon) allows for a so called concentration account which may hold collection proceeds for no more than two business days before being swept into the issuer's bank accounts.
The general account serves as the concentration account for deposits and disbursements, including payroll and accounts payable.
ZBA accounts are brought to zero at the end of each day and placed into a central concentration account where the funds can be distributed to other outstanding accounts (Larson, 2004).
dollar amount swept into a concentration account to be used by treasury to pay down commercial paper or for other corporate purposes.
Only when the concentration account is in a negative position are funds required from Canada.
In routine fashion, Citibank set up a dummy offshore corporation, provided Salinas with a secret codename, provided an alias for a third-party intermediary who deposited the money in a Citibank account in Mexico, and transferred the money in a concentration account to New -York, where it was then moved to Switzerland and London.
Accordingly, ENA is expected to pay to the related Panamanian Concentration Account of ENA Norte Trust USD1, 390,000.
Eight leading correspondent banks have signed acknowledgement agreements, according to which they must deposit the DPR collections in a concentration account.
The account structure features hundreds of zero-balance sub-accounts that roll up to one master concentration account, dramatically simplifying reconciliation and improving visibility and control.
All transaction accounts will be controlled by the Indenture Trustee domiciled in New York, except for the Panamanian Concentration Account which will be controlled by the Panamanian Trustee.
The Kitsap County Treasurer Currently Utilizes A Primary Concentration Account To Centralize Banking Activity.
The County Maintains One Main Concentration Account Through Which Most Activity Flows, Either