Check Clearing
/ˈtʃek ˈklɪərɪŋ/
Definitions
- (n.) The process by which a bank or financial institution exchanges and settles checks to debit and credit the appropriate accounts.
The check clearing process typically takes one to two business days.
Forms
- check clearing
- check clearings
Related terms
See also
Commentary
Check clearing involves interbank procedures that ensure funds are correctly transferred and accounts updated; timing and regulations may vary across jurisdictions.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.