It is a term used to define the concluding step in getting the payment for some services, the receiver or the financial institution obtains the payment, after this procedure the money are available for the trader. This word describes the actual process of conducting a payment to someone.
It is also used to talk about a payment which was made for buying or selling. The word is applied in commerce and signifies the series of actions when the safety changes hands. Generally, it happens after a couple days after the deal was made. Once the settlement is successful, all parties of the trade are free from their obligations.
Example of the term’s usage:
Settlement infrastructures have developed, so we need more facts about the complexities of the payment procedures.