What Does FBO Mean on a Bank Account?
Last Updated Mar 27, 2020 6:39:26 AM ET
On bank accounts, the abbreviation FBO stands for “for benefit of.” When this phrase is used, it means that funds received by a party are intended to go toward another party. When FBO is used, clear instructions are given as to who should receive the funds.
An FBO is when a wire transfer ends up in a bank account and that money is not going to stay in that bank account because it will be moved to another account.
An FBO can be a special bank account set up where donations are made for someone, such as a child with a terminal illness or family with a crisis.
More From Reference
Will 5G Impact Our Cell Phone Plans (or Our Health?!)
The Secret Science of Solving Crossword Puzzles
Racist Phrases to Remove From Your Mental Lexicon
Is the Coronavirus Crisis Increasing America's Drug Overdoses?
Fact Check: What Power Does the President Really Have Over State Governors?
Festival of Sacrifice: The Past and Present of the Islamic Holiday of Eid al-Adha