Functions of Clearing Banks

Clearing Bank acts as an important intermediary between clearing member and clearing corporation. Every clearing member needs to maintain an account with clearing bank. It’s the clearing member’s function to make sure that the funds are available in his account with clearing bank on the day of pay-in to meet the obligations. In case of a pay-out clearing member receives the amount on pay-out day.

The following banks are providing clearing bank services at BSE

Bank of India
HDFC Bank Ltd.
Oriental Bank of Commerce
Standard Chartered Bank
Centurion Bank Ltd
Axis Bank Ltd
ICICI Bank Ltd
Indusind Bank Ltd
Union Bank of India and
Hongkong & Shanghai Banking Corporation Ltd

The following banks are offering clearing bank services at NSE

 Axis Bank Ltd
 Canara Bank
 HDFC Bank
 IndusInd Bank
 ICICI Bank
 Bank of India
 IDBI Bank
 Hongkong & Shanghai Banking Corporation Ltd.
 Kotak Mahindra Bank
 Standard Chartered Bank
 Union Bank of India
 State Bank of India and
 Citibank N.A.

Multiple clearing banks facilitate introduction of new products and clearing members will have a choice to open an account with a bank which offers more facilities.
 

Related posts

August 3, 2008 | Filed Under Stocks 

Comments

Leave a Reply





Add to Technorati Favorites