Finance companies open FI settlement accounts (master accounts) and the members of corporations open general settlement accounts (sub-accounts) with CMB. By signing the Agency Settlement Agreement, CMB provides 3 functions: 1. Fund collection - the automatic collection of funds from sub-accounts to master accounts; 2. Fund payments – the finance companies make payments through the master accounts of their members; and 3. Overdraft facilities – daytime and overnight overdrafts in the master accounts of the finance companies are available within set credit limits.
1. Helps finance companies upgrade their settlement mode from “fund management” to “settlement service”, enhances the settlement function of finance companies, and escalates their status as “internal banks” for the corporations they represent.
2. Unifies corporations’ external settlement channels, which improves settlement efficiency and lowers corresponding risks.
3. Integrates fund collection, payments, and overdrafts to meet finance companies’ settlement and liquidity management needs.
4. Enables the service easily and non-exclusively.
1. CMB's corporate business offices enable the settlement function for the finance company after the following processes have been approved by CMB: a Renminbi settlement agreement, the maintenance application for the settlement agreement, the maintenance application for corporate members’ accounts, and the letter of authorization for Renminbi settlement.
2. CMB’s product manager and technical staff install the online corporate banking system, set direct interface parameters, and perform debugging to connect the settlement agency function to the enterprise’s internal system.
3. To perform financial operations, the enterprise logs in to the online corporate banking client for the clearing agency or their own internal system.
All the contents stated above are for your reference only. Please consult the local branch of China Merchants Bank for further information. China Merchants Bank reserves the ultimate right of interpretation for the contents in this page.