One , What is on balance sheet business ? On balance sheet business refers to the business reflected on the balance sheet . Like bank deposits , Loans, etc . Two , What is off balance sheet business ? 1, Off balance sheet business
Off balance sheet （ middle ） Business refers to assets that do not constitute on balance sheet assets of commercial banks , Non interest income business of commercial banks formed by on balance sheet liabilities . Off balance sheet （ middle ） Business is based on asset business and liability business , Using technology , information , service network , capital , Credit advantages , Do not use or directly use their own assets , liabilities , To handle all kinds of entrusted business matters for clients in the capacity of agent , Or provide all kinds of financial services as a party to the transaction , Business activities with service charge or difference .
2, Off balance sheet business
Off balance sheet business , It is the bank that develops assets vigorously , Other business other than liability business . Definition of off balance sheet business according to Western authoritative textbooks , Off balance sheet business is divided into two categories ： One is the sum of /
Or expenses but will not bring potential assets or liabilities to the bank , Some domestic scholars call it off balance sheet business of financial services , Mainly including various bank agents , Settlement and consulting services ; The other involves various commitments and contingent claims of banks , Some domestic scholars call it contingent assets
/ Off balance sheet business . 3, Off balance sheet business
So called off balance sheet business , Refers to what commercial banks are engaged in , Not included in the balance sheet in accordance with current accounting standards , Business that does not form real assets and liabilities but can increase bank income . Off balance sheet business is a risky business activity , Contingent assets and contingent liabilities of the bank , Some of them may also be converted into the bank's real assets and liabilities , Therefore, it is usually required to disclose in the notes to the accounting statements .
Off balance sheet business generally includes the following three types ：
1） Guarantee business , It refers to the business that the commercial bank accepts the entrustment of the customer and bears the responsibility to the third party , Including guarantee （ Guarantee ）, Standby letter of credit , Documentary credit , Acceptance, etc .
2） Committed business , It refers to the agreed credit business provided by commercial banks to customers in accordance with the conditions agreed in advance on a certain date in the future , Including loan commitments, etc .
3） Financial derivative transactions , It refers to the currency used by commercial banks to meet the needs of customer hedging or self position management （ Including foreign exchange ） And interest rate forward , Swap , Options and other derivative transactions .
Three , Difference between off balance sheet business and intermediate business ?
In a narrow sense, off balance sheet business refers to those not included in the balance sheet , But it is closely related to on balance sheet asset business and liability business , Under certain conditions, it will be converted into the operating activities of on balance sheet asset business and liability business .
Intermediate business refers to assets not included in the balance sheet , On balance sheet liabilities ,
Business forming non interest income of Bank , For example, collecting electricity charges , telephone rate , Pay wages on behalf of others , Agency insurance and other agency intermediary business ; Bank card business ; There are many kinds of settlement business, etc Four , On balance sheet business and off balance sheet business .
Off balance sheet business is not reflected on the balance sheet , But in a certain period of time, it can be converted into contingent liability business on the balance sheet . such as , Guarantee business , Committed business .
On balance sheet business refers to the business reflected on the balance sheet . Like bank deposits , Loans, etc .