In the correspondent banking relationships, banks can have “Nostro” or “Vostro” Accounts.
Let’s say Bank A and Bank B want to establish a correspondent banking relationship together.
In this example I work at Bank A and you work at Bank B.
Vostro Account: Vostro refers to your money (Bank B) deposited at my bank (Bank A). If you get lost replace the word “Vostro” by “Votre” in French which means “Yours”.
Nostro Account: Nostro refers to our money (Bank A) deposited at your Bank (Bank B). If you get lost replace the word “Nostro” by “Notre” in French which means “Ours”.
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