If you are using R12, you can transfer through Bank Account Transfer functionality in Cash Management Module. There are lot of threads on this subject. One of the thread is <b>
topic.asp?TOPIC_ID=7191</b>
If you are using R11i, you need to use AP and AR to complete the bank account transfer.
1. Create Banks as supplier
2. Create a payable invoice for Bank2 with debit account as AP-AR clearing account (This is just a name, you can have any account description).
3. Make Payment from Bank1
4. Create a Receivable activity with AP-AR Clearing Account
5. Create a Receipt Method (if not available)
6. Create a misc receipt with the above defined receivable activity.
7. Reconcile (if applicable) for both AP and AR transactions.
Note: While creating AP invoice, you can debit bank2 cash account without creating the misc receipt, however I don't recommend this process.
Cheers,
Saravanan