Funding
Settlement to merchantSettlement
The transfer of settled card funds from the acquirer to the merchant's nominated bank account, after netting any rolling reserve, refunds, chargebacks, and acquirer fees. Funding cycles are typically T+0 to T+5 depending on the acquirer, vertical, and risk profile.
In practice.
Funding is when settlement actually reaches your bank account, and the lag between capture and funding is a core commercial term of any acquiring agreement. High-risk merchants weigh funding speed against reserves: a slightly slower settlement with a lower reserve often beats the reverse.
Related terms: Settlement · T+N · Rolling reserve
Settlement