In the larger banks foreign departments are operated on a branch bank basis. That is to say, a general ledger is kept within the foreign department which is balanced each day in the same way as the general ledger of the bank proper. Under such a condition there is a so-called balance or contact account between the foreign department and the general bank. The foreign accounts, of course, under such a relationship are not shown on the general ledger of the bank. The difference between the assets and liabilities shown on the foreign department general ledger would be the balance due to or from the general bank department. There would be a similar account on the latter's general ledger showing the amount due to or from the foreign department, depending upon whether there is a credit or debit balance.