Beneficiary leg

Payments - correspondent banking - SWIFT.

The beneficiary leg is a concept in correspondent banking.

A correspondent banking payment over SWIFT - and the total time it takes to be credited to the beneficiary's account - can be viewed as comprising:

• Originator leg

• In-flight leg and

• Beneficiary leg.

The beneficiary leg is the time from the beneficiary bank receiving the payment until the funds are credited to the end-customer’s account.

The beneficiary leg can form a large element of total processing time, and be a source of undue delay.

(Source - Annual Progress Report on Meeting the Targets for Cross-border Payments p45 - October 2024 - Financial Stability Board.)

See also

• Agency
• Beneficiary
• Correspondent banking
• Deduct from beneficiary
• Documentary collection
• In-flight leg
• Network bank
• Nostro account
• Originator leg
• Payments and payment systems
• SLA partner banking
• Society for Worldwide Interbank Financial Telecommunications (SWIFT)

Other resource

• Annual Progress Report on Meeting the Targets for Cross-border Payments - October 2024 - Financial Stability Board