Cleared Funds
Money that has been fully processed and is available for trading or withdrawal.
Cleared funds are deposits fully processed by the banking system and available to trade or withdraw. Until funds clear they may show in your account but cannot be used.
Cleared funds are deposits that have been fully processed by the banking system and are available for immediate use. Until funds clear, they may show in your account but cannot be traded with or withdrawn.
How It Works
- Deposit initiated by trader
- Bank processes the transaction
- Clearing period varies by method (instant to 5 days)
- Funds become available for trading
Trading Tips
Credit cards often clear instantly
Bank transfers may take 1-5 business days
Plan deposits ahead of trading needs
Cleared Funds Example
Say you wire $5,000 Friday evening and the broker shows it as pending. Monday the funds clear and margin becomes available. A trade opened on uncleared credit in between could be unwound, profit and all.
How Traders Use Cleared Funds
Fund accounts a full week before you need the margin, and confirm cleared status in writing for large wires. Never start a challenge or meet a margin call on money still in transit.
Related Terms
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