Schedule III Banks
Definition
- Foreign banks that have been given permission to conduct business in Canada. Schedule III banks are not incorporated with the bank act, and operate under restrictions not required by schedule I or II banks. Examples of schedule III banks include Bank of America and Capital One.
Synonyms
foreign-owned bank
Related Terms and Acronyms
- Bank — Definition,
- An institution that acts as a financial intermediary by receiving money from depositors and lenders and also lending to borrowers.
- Bank of Canada (BC, BOC) — Company Est. 1935, Ottawa, Ontario, Canada, Important,
- Canada's central bank.
➥ Canada's central bank. - Canadian Bankers Association (CBA) — Company Est. 1891, Canada, Very Important,
- Professional industry association that provides information, research, advocacy, education and operational support services primarily to the banking industry.
➥ One of Canada's oldest business associations. - Chartered Banks — Definition,
- Financial institutions regulated under the Bank Act. Chartered banks are designated as Schedule I or Schedule II depending on their ownership.
- Closely Held — Definition,
- Schedule II banks may be closely held, i.e., one party (owner) may hold more than 10% of the outstanding shares. Schedule I banks are prohibited from this type of ownership.
- Commercial Bank (CB) — Acronym,
- A financial institution that provides a broad range of services, from chequing and savings accounts to business loans and credit cards.
- Regional Bank — Definition,
- A bank with a primary market in a regional or metropolitan area but takes deposits from throughout the province in which it is located. Usually called a Credit Union in Canada.
- Schedule I Banks — Definition,
- A designation in the Bank Act that refers to Canadian-owned banks that are widely held, i.e., ones in which no one owner holds more than 10% of shares.
- Schedule II Banks — Definition,
- A designation in the Bank Act that refers to foreign-owned banks and closely held Canadian banks, i.e., banks in which an owner may hold more than 10% of outstanding stock.
