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Compensating balance
/kˈɒmpənsˌeɪtɪŋ bˈaləns/
/kˈɑːmpənsˌeɪɾɪŋ bˈæləns/Compensating balance
01
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
word family
compensating balance
compensating balance
Noun
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