DEFINITION of 'Money Center Banks'

A money center bank is similar in structure to a common bank, but its borrowing and lending activities are with govenments, large corporations and regular banks. These types of financial institutions do not borrow from or lend to consumers.

BREAKING DOWN 'Money Center Banks'

Money center banks are usually located in major economic centers such as London, Hong Kong, Tokyo and New York. With their large balance sheets, these banks are involved in national and international financial systems.

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