Are all U.S. dollar transactions routed through the United States?
Payments
Asked by Question Bot04/Apr/20151 answer
1 Answer
F
Faisal Khan
Answered 04/Apr/2015
It depends on which Bank you use. If you have an account with Citibank and you use the Citibank equivalent in Saudi Arabia, then the transaction is a global system debit/credit, but because Citibank is a US Bank, the reporting is done to the US.
Since no bank in Pakistan has a branch in Saudi Arabia (other than NBP and they too use US correspondent banking), any transaction you do, is typically via US correspondent banking channels.
Most of the correspondent banking from the large banks in Saudi Arabia like Al-Rajhi, Al Bilad, Samba, NCB, HSBC all do correspondent banking via JP Morgan Chase (NY) with the exception of HSBC.
So yes, your money does get routed via NY.
Since no bank in Pakistan has a branch in Saudi Arabia (other than NBP and they too use US correspondent banking), any transaction you do, is typically via US correspondent banking channels.
Most of the correspondent banking from the large banks in Saudi Arabia like Al-Rajhi, Al Bilad, Samba, NCB, HSBC all do correspondent banking via JP Morgan Chase (NY) with the exception of HSBC.
So yes, your money does get routed via NY.