check clearing
Funds become available
Check clearing is the process by which funds move from one bank account to another after a check is deposited.
The check travels through a network of financial institutions—often via a clearinghouse—where banks settle what they owe each other.
Until a check clears, the funds remain unavailable to the recipient: The deposit is pending check clearing, which takes two to three business days.
- clearinghouseCentral settlement agency
- settlementResolved dispute or colony
- reconciliationRestoration of friendly relations
- batch processingRunning queued jobs automatically
- depositPlace for safekeeping
presentment · routing number · overdraft · withdrawal · float · teller · payment · Federal Reserve · fraud detection · money order · SWIFT · available · compliance · audit trails · account · pending · bank draft · drawee
- bankingbank, banks, ATM, ATMs, account
- clearingclearinghouse, CCP, netting, settlement, novation
- Federal ReserveBoard of Governors, FOMC, regional banks, monetary policy
- negotiable instrumentsbill of exchange, promissory note, promissory notes, bank draft, cheque
check clearingcontactless payment
Purchase via near-field technology
mobile payment · electronic funds transfer · Apple Pay · digital payment · peer-to-peer payment