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General TradingC
Cleared Funds
Cleared funds are money that has been fully processed, verified, and made available in an account after all necessary checks and settlement procedures have been completed. In trading, funds must be cleared before they can be used for transactions or withdrawn. The clearing timeline varies by payment method and jurisdiction, with wire transfers typically clearing faster than checks or ACH deposits.
Example
“The broker required all deposits to become cleared funds before allowing clients to trade on margin.”