clearing bank
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clearing bank

Commercial bank that is a member of a cheque-clearing system for the purposes of clearing cheques drawn against each others' funds. In the UK, all the major high-street commercial banks are clearing banks. Clearing a cheque means that a customer of one bank can write out a cheque to a customer of another bank. The clearing system then works so that when the cheque is deposited in the system, money is transferred from one bank to the other.

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clearing bank (redirected from Clearing (finance))

clearing bank

clearing bank
(redirected from Clearing (finance))