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master contract (FS-AM-CM-MC)

Master Contract (FS-AM-CM-MC)

A contract specialization that groups account contracts together in a hierarchy and portrays contract relationships using contract element "contract relationships". Applications in Account Management include, for example, cash concentration, in Master Contract Management, overdraft protection or combined settlement.

The master contract forms the contractual relationships between the bank (contract-managing organizational unit) and a business partner's internal and external participant accounts. The master contract can have attributes and rules, but postings are only possible on the participant accounts, not on the master contract.

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