Mail float

Refers to the part of the collection and disbursement process where checks are trapped in the postal system.

Similar financial terms

Greenmail
Situation in which a large block of stock is held by an unfriendly company, forcing the target company to repurchase the stock at a substantial premium to prevent a takeover.

Inverse floaters
Bonds whose coupon rate moves in the opposite direction from the change in interest rates.

Floater
Floating rate bond

Payment float
Company-written checks that have not yet cleared.

Net float
Sum of disbursement float and collection float.

Managed float
Also known as "dirty" float, this is a system of floating exchange rates with central bank intervention to reduce currency fluctuations.

Collection float
The negative float that is created between the time when you deposit a check in your account and the time when funds are made available.

Corporate processing float
The time that elapses between receipt of payment from a customer and the depositing of the customer's check in the firm's bank account; the time required to process customer payments.

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