Compensating Balance

Business, Legal & Accounting Glossary

Definition: Compensating Balance


Compensating Balance


Full Definition of Compensating Balance


The amount of money a bank requires a customer to maintain in a non-interest bearing account, in exchange for which the bank provides otherwise free services.


Cite Term


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Page URL
https://payrollheaven.com/define/compensating-balance/
Modern Language Association (MLA):
Compensating Balance. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
December 06, 2021 https://payrollheaven.com/define/compensating-balance/.
Chicago Manual of Style (CMS):
Compensating Balance. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/compensating-balance/ (accessed: December 06, 2021).
American Psychological Association (APA):
Compensating Balance. PayrollHeaven.com. Retrieved December 06, 2021
, from PayrollHeaven.com website: https://payrollheaven.com/define/compensating-balance/

Definition Sources


Definitions for Compensating Balance are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 20th November, 2021 | 0 Views.