Funds Availability

Clearing Cycle
The clearing cycle is the process by which a payment made by cheque or other methods through the banking system is transferred from the payer's to the payee's account. Different stages of clearance determine when the funds are available for use.
Value Date
Value Date marks the specific day when funds from a remittance become available to the payee, denoting the culmination of the banking clearing cycle.

Accounting Terms Lexicon

Discover comprehensive accounting definitions and practical insights. Empowering students and professionals with clear and concise explanations for a better understanding of financial terms.