compensating balance
ریشه و کاربرد
ریشه
The word 'compensating' comes from the Latin word 'compensare', meaning 'to weigh one thing against another'. 'Balance' comes from the Latin word 'bilanx', meaning 'having two scales'.
مثال
- The bank required the company to maintain a compensating balance of $10,000 in their account.
- The compensating balance is a safeguard for the bank in case the borrower defaults on the loan.
- The compensating balance can be a significant financial burden for small businesses.
ترکیبهای رایج
Maintain a compensating balance Default on the compensating balance Reduce the compensating balance
تعریف انگلیسی
noun
- a minimum credit balance that a bank may require a borrower to keep on deposit as a condition for granting a loan; a common requirement for establishing a line of credit at a bank “the compensating balance increases the effective interest rate to the bank since the net amount loaned is reduced but the interest paid is unchanged”