Dictionary of Banking Terms: chain banking
chain banking
control of three or more independently chartered banks by a few individuals, usually through stock ownership or interlocking directorates. Chain banking differs from branch banking, or multioffice banking within a single institution and group banking by affiliate banks within a bank holding company. Its importance in the banking system has declined since the late 1980s with the rapid growth of interstate banking and, in several states, more liberalized branching laws.
