clearinghouse

clearinghouse definition - business

clearinghouse

  1. A corporation established by an exchange in order to facilitate the execution of trades by transferring funds, assigning deliveries, and guaranteeing the performance of all obligations.
  2. In banking, a cooperative funds transfer system for interbank clearing of checks and electronic entries.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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