Bank Float

Bank Float
Bank float refers to the time interval between when a check is written and when it's actually cleared in the payer's bank, during which the funds are not available to either the payer or the payee.
Collection Account
A collection account is a specific type of bank account opened with the purpose of reducing bank float for remittances from specific customers or groups of customers, often those located abroad or who remit payments in a foreign currency.

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