What is a Trading Bank?

banks that process credit cards that receive proof of the sale of bank cards from retailers; the merchant who issues proof of sale exchanges or cashes the proof of sale into a deposit by collecting a processing fee called a trade discount; if the transaction is submitted by a customer at another bank, the commercial bank which obtained the information knows the evidence of the sale, through the exchange system for bank card information, collects the bill amount and proof of sale less the exchange fee from the card issuing bank; 2) investment banks in Europe that have joined as merchant banks.

Financial Fervices Authority

What is a Trading Bank?

Trading banks are companies that provide underwriting, loan services, financial consulting, and fundraising services for large companies and individuals with high net worth. Unlike retail or commercial banks, commercial banks do not provide services to the general public. They do not provide regular banking services such as checking accounts and do not take deposits.

Trading banks usually carry out financing and international guarantees including real estate , trade finance, foreign investment, and other international transactions. They may be involved in issuing letters of credit and in transferring funds. They can also consult about trade and trade technology.


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