BROWSE

Immediate Credit

What is 'Immediate Credit'

The Federal Reserve practice of "clearing" checks deposited by member banks on the same day they're deposited. This service is only available when the Federal Reserve has one of its branches in the same city as the bank wishing to process the check. Normally, checks are subject to "deferred availability" which means the amounts are made available within two days of deposit.

Explaining 'Immediate Credit'

The Federal Reserve's policies on immediate credit and deferred availability often have little to do with the actual policies at your local bank. Some banks make funds immediately available on any checks deposited by their customers, some place limits on the amount available, while still others hold all checks over a certain amount. Consumers should be wary of banks that routinely hold checks even when there is no history of bounced checks. This is often a bad sign, in that a bank may be trying to earn a little extra interest off their customers' money.


Further Reading


The Immediate and Lasting Impacts of the 2008 Economic Collapse-Lehman Brothers, General Motors, and the Secured Credit Markets
heinonline.org [PDF]
… This article analyzes the early days of the credit crisis as well as two of the largest casualties of that period-Lehman … be seen, but the impact of the crisis on the secured lending market-the lifeblood of most major corporations-was immediate and in … 2008 ECONOMIC COLLAPSE …

An economic model of trade creditAn economic model of trade credit
www.jstor.org [PDF]
… This article analyzes the early days of the credit crisis as well as two of the largest casualties of that period-Lehman … be seen, but the impact of the crisis on the secured lending market-the lifeblood of most major corporations-was immediate and in … 2008 ECONOMIC COLLAPSE …

Privacy in electronic commerce and the economics of immediate gratificationPrivacy in electronic commerce and the economics of immediate gratification
dl.acm.org [PDF]
… This article analyzes the early days of the credit crisis as well as two of the largest casualties of that period-Lehman … be seen, but the impact of the crisis on the secured lending market-the lifeblood of most major corporations-was immediate and in … 2008 ECONOMIC COLLAPSE …

Immediate challenges for the European central bankImmediate challenges for the European central bank
academic.oup.com [PDF]
… This article analyzes the early days of the credit crisis as well as two of the largest casualties of that period-Lehman … be seen, but the impact of the crisis on the secured lending market-the lifeblood of most major corporations-was immediate and in … 2008 ECONOMIC COLLAPSE …

Brazil and India in the global economic crisis: Immediate impacts and economic policy responsesBrazil and India in the global economic crisis: Immediate impacts and economic policy responses
papers.ssrn.com [PDF]
… This article analyzes the early days of the credit crisis as well as two of the largest casualties of that period-Lehman … be seen, but the impact of the crisis on the secured lending market-the lifeblood of most major corporations-was immediate and in … 2008 ECONOMIC COLLAPSE …

Mexico: Large, Immediate Negative Impact and Weak Medium-Term Growth ProspectsMexico: Large, Immediate Negative Impact and Weak Medium-Term Growth Prospects
elibrary.worldbank.org [PDF]
… This article analyzes the early days of the credit crisis as well as two of the largest casualties of that period-Lehman … be seen, but the impact of the crisis on the secured lending market-the lifeblood of most major corporations-was immediate and in … 2008 ECONOMIC COLLAPSE …

Changing college students' financial knowledge, attitudes, and behavior through seminar participationChanging college students' financial knowledge, attitudes, and behavior through seminar participation
link.springer.com [PDF]
… This article analyzes the early days of the credit crisis as well as two of the largest casualties of that period-Lehman … be seen, but the impact of the crisis on the secured lending market-the lifeblood of most major corporations-was immediate and in … 2008 ECONOMIC COLLAPSE …

Should access to credit be a right?Should access to credit be a right?
link.springer.com [PDF]
… This article analyzes the early days of the credit crisis as well as two of the largest casualties of that period-Lehman … be seen, but the impact of the crisis on the secured lending market-the lifeblood of most major corporations-was immediate and in … 2008 ECONOMIC COLLAPSE …


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