Collection float: Difference between revisions
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imported>Doug Williamson (Identify the components of collection float. Source: ACMF October 2016, p34.) |
imported>Doug Williamson (Link with Opportunity cost page.) |
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| Line 13: | Line 13: | ||
*[[Clearing float]] | *[[Clearing float]] | ||
*[[Disbursement float]] | *[[Disbursement float]] | ||
* [[Float]] | *[[Float]] | ||
*[[Opportunity cost]] | |||
*[[Processing float]] | *[[Processing float]] | ||
*[[Transit float]] | *[[Transit float]] | ||
[[Category:Cash_management]] | [[Category:Cash_management]] | ||
Revision as of 19:57, 2 July 2017
The time interval between a payer (or payor) making a payment and the beneficiary receiving value.
Collection float results in an opportunity cost or loss to the person collecting.
Depending on the payment instrument, collection float may include:
- Transit float
- Processing float
- Clearing float
