Notional pooling

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Revision as of 09:54, 9 October 2013 by imported>Doug Williamson (Category added 9/10/13)
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Banking.

The technique used by banks for calculating interest on balances in a notional cash pool.

Excess funds in the accounts of a company or its subsidiaries are used to offset deficits in other company accounts for the purpose of determining interest earned or owed.

Notional pooling is also referred to as interest offset pooling.


See also