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KembaraXtra- Financial Terms- agency agreement refers to an arrangement between a customer and a bank allowing the customer to bank cheques at a branch of a bank where the customer does not hold an account.
Such agreements are usually made for logistical or convenience reasons, especially where branch access or geographical factors make normal banking difficult.
The bank providing the service acts on behalf of the customer’s main bank to process the cheque transactions.
Customers are generally charged a fee for the use of this service because it involves additional administrative handling by the bank.
Agency agreements improve banking accessibility and operational convenience for businesses and individuals handling cheque transactions.
Such agreements are usually made for logistical or convenience reasons, especially where branch access or geographical factors make normal banking difficult.
The bank providing the service acts on behalf of the customer’s main bank to process the cheque transactions.
Customers are generally charged a fee for the use of this service because it involves additional administrative handling by the bank.
Agency agreements improve banking accessibility and operational convenience for businesses and individuals handling cheque transactions.
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