Exam CRCM topic 1 question 173 discussion

The correct answer is B. The Reserve Bank. This description outlines the role of the Reserve Bank as an agent (or subagent) of the owner of an item in the process of clearing and settlement. The agency relationship is considered terminated when the Reserve Bank receives payment in finally collected funds for the item and makes those proceeds available to the sender, and when the period within which legal actions against it could be initiated has expired. This definition encapsulates the Reserve Bank's role in facilitating financial transactions, ensuring the secure and efficient transfer of funds, and its position within the legal framework governing these transactions.