What is bank chain in SAP FI - Financial Accounting?

SAP Term: bank chain

• Component: FI

• Component Name: Financial Accounting

• Description: Chain of banks involved in processing a payment &EXAMPLE& All USD payments by Citibank Berlin to a bank in the USA are to be processed by Citibank New York.

Smart SAP Assistant

• Key Concepts: 
  Bank chain is a feature in SAP Financial Accounting (FI) that allows users to define a chain of banks for payments. This chain of banks is used to route payments from the originating bank to the beneficiary bank. The chain of banks can be used for both domestic and international payments. 
  
  How to use it: 
  To use the bank chain feature, users must first define the chain of banks in the system. This is done by creating a bank chain ID and assigning the relevant banks to it. Once the bank chain is defined, users can assign it to payment documents when making payments. 
  
  Tips & Tricks: 
  When defining a bank chain, it is important to ensure that all the banks in the chain are correctly assigned and that all relevant information is entered correctly. This will ensure that payments are routed correctly and that there are no delays in processing payments. 
  
  Related Information: 
  For more information on how to use the bank chain feature in SAP FI, please refer to the SAP Help documentation.