Business Definition for: available balance
available balance
checking account balance a customer actually has use of: the current balance, less deposits not yet posted to the account. Abank may sometimes include checking account
cash reserve
in computing the available balance.
See also
collected balance
Related Terms:
checking account cash balance after deducting checks drawn on other banks. Generally defined as account ledger balances, less unpaid checks in the process of collection. A bank may count a deposited check as funds available for use by its customer in two business days, but usually will not include it in the depositor's collected balance for five or six days. This allows time for the drawer bank to return the check because of insufficient funds in the check maker's account or for other reasons. Contrast with available balance.
Referring Terms:
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